Home renovation spending increased 15% in the last year to a median of $15,000, according to Houzz’s 2021 U.S. Houzz & Home Study.
High-budget projects in the top 10% of project spending increased to $85,000 or more in 2020, compared with $80,000 in the two years prior. Kitchen projects were the most popular among renovating homeowners, according to the study, which surveyed more than 70,000 U.S. respondents.
The study also indicated that the home renovation market boom will likely continue in 2021, as 56% of homeowners reported plans to renovate this year, the highest since 2017’s 52%.
Non-carpeted flooring made up 38% of the top home improvement-related purchases among homeowners who renovated in 2020, making it one of the most popular purchases, according to the study.
“While the pandemic caused initial concern for the residential renovation industry, many homeowners finally had the time and financial means to move forward with long awaited projects in the past year,” stated Marine Sargsyan, Houzz senior economist. “This pent up demand, along with other long-standing market fundamentals such as accumulated equity, will empower homeowners to continue investing in their current homes rather than face skyrocketing prices in the housing market.”
The full Houzz report can be found here.
