Home Renovation Activity And Spend Hits Three-Year High, Houzz Survey Finds

Home Renovation Activity And Spend Hits Three-Year High, Houzz Survey Finds

Home renovation activity and spend have reached the
highest rates reported since 2019, according to the annual
Houzz
& Home survey of nearly 700 New Zealand respondents from
leading platform for home renovation and design, Houzz.
Nearly half of homeowners renovated their homes in 2021 (48
percent), up from 41 percent in 2020. Following the 13
percent growth in median spend last year, homeowners report
an additional 31 percent jump in median renovation spend at
$23,500. Homeowners with higher budget projects (the top 10
percent of spend) invested up to $140,000 in
2021.

Home renovation activity continues into 2022,
with nearly half of homeowners planning to renovate (46
percent) and nearly two-fifths planning to decorate (38
percent) this year. Homeowners report a planned median
renovation spend at $17,500 for 2022. Interestingly for the
first time since 2019, homeowners with higher-budget
renovations (the top 10 percent of spend) planned spend has
increased to $89,000 for 2022 versus $73,500, a 21 percent
jump.

“Homeowners are clearly committed to investing
in their homes despite heightened product and material costs
driven by supply chain disruptions, and are exploring
diverse funding sources,” said Tony Been, Managing
Director of Houzz Australia & New Zealand.

Cash
from savings remains the most significant source for funding
renovation projects (81 percent), however, homeowners
financing renovation projects with credit cards that can be
used anywhere gained three percentage points (16 percent).
More than one in ten homeowners funded their renovation
projects through cash from a previous sale or refinancing in
2021 (13 percent and 12 percent
respectively).

Demand for home
professionals

More than four in five homeowners
sought help from professionals for their renovations in 2021
(83 percent). Homeowners relied most heavily on the
expertise of specialty service providers such as
electricians (53 percent) and plumbers (45 percent) for
their projects. That said, builders (30 percent) were the
most hired professionals in construction and design-related
services. Interestingly, tile and stone professionals saw a
significant 12 percent jump in 2021 compared with 2020 (25
percent and 13 percent, respectively).

Switching up
interiors

Investments in interior rooms remained
the priority for seven in ten renovating homeowners in 2021
(71 percent). Kitchens are both the most popular interior
room to be upgraded and the room that commanded the highest
spend at $30,000. Kitchens saw an increase in spend of 50
percent compared with 2020 ($20,000). Interior rooms that
saw the most dramatic increase in popularity from the
previous year included primary bathrooms (23 percent),
living/family room (22 percent) and dining rooms (19
percent).

The Houzz & Home Survey

The
annual Houzz & Home survey is the largest survey of
residential renovation, building and decorating activity
published. The survey covers a wide range of renovation
projects in 2021, from interior remodels and additions to
home systems, exterior upgrades and outdoor projects. Data
gathered includes historical and planned spends,
professional involvement, motivations and challenges behind
building, renovation and decorating projects, as well as
planned activities for 2022. The 2022 study includes nearly
700 respondents in New Zealand, providing insights into the
home improvement activity of the millions of users of the
Houzz site and mobile apps.

The Houzz & Home
Survey was sent to registered users of Houzz and fielded
March through April 2022.

Houzz has over 25 million photos
of professionally designed interiors and exteriors,
including completed kitchen
and bathroom
projects, and more than 3 million active home renovation and
design professionals including architects,
interior
designers
, home
builders
and design-build
firms.

© Scoop Media

 

https://www.scoop.co.nz/stories/CU2206/S00158/home-renovation-activity-and-spend-hits-three-year-high-houzz-survey-finds.htm

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