Millennials and first-time home buyers are spending more than in years past on home reno projects, according to the latest Houzz & Home Report. The annual survey, which tracked 100,000-plus U.S. respondents, found one of the largest increases of the year among renovators who bought their first home in 2016. In that group, $33,800 was spent on average, which is 22 percent more than in 2015.
“Recent home buyers drive a significant share of home renovations today, with repeat buyers investing twice as much in their home as first-time home buyers,” says Nino Sitchinava, Houzz principal economist. “Younger and cash-constrained first-time buyers are responding to the low inventory of affordable homes by purchasing properties that require more than just cosmetic upgrades. Not surprisingly, we are seeing their spending on home renovations increasing significantly in 2016 and expect this trend to continue through 2017.”
Other findings included the discovery that homeowners tended to renovate multiple rooms at a time, and that the investment in living spaces increased 11 percent in 2016, over the previous year. Find the full report ONLINE.