More Homeowners Opt For Fixing Up vs. Moving
Fixer-upper or move?
It’s a question many Americans are asking due to a shortage of affordable homes on the market. And a lot of them are deciding to remodel rather than sell.
Nationwide residential remodeling is expected to increase during the next two years. Dallas-area contractors are also expecting more business from last fall’s storms as homeowners repair and renovate. “There has been a very low inventory of existing homes for sale,” said Dr. Paul Emrath of the National Association of Home Builders. “One of the alternatives to that is to remodel your own home. “It’s a strong economy, and people have the money and can get the financing.”
One reason homeowners are willing to renovate is that they have more equity in their homes. During the last decade, the average homeowner’s property has risen by $100,000. “House price appreciation tends to make you feel more like investing in your home and increasing the value of your investment,” Emrath said. Increases in home sales also cause a rise in remodeling, with sellers fixing up to attract a new owner and buyers spending more money to customize their new homes.
The National Association of Home Builders is forecasting that homeowners will spend more than $157 billion this year repairing and sprucing up their properties. “There is a desire for new things and a need to replace old things,” Emrath said. “Kitchens and baths are always at the top of the list.”
Whole house remodeling and room additions also rank high with remodeling owners. “There are more people remodeling to age in place,” Emrath said. Aging homeowners who don’t want to move are spending the bucks to make their homes more senior-friendly. Maryland remodeler Tim Ellis says he’s also doing a lot more work for younger homeowners who want to make changes to accommodate aging parents.
“One thing that has really grown in the last three years for us is in-law suites,” Ellis said. “Some people can’t afford assisted living for their parents. “They are putting on an addition...
