Home improvement is the renovation of a home or building to improve its comfort, appearance or functionality. Home improvements can include anything from painting and wallpapering to putting in new kitchen appliances and bathrooms. Homeowners can do home improvements to increase the value of their property, or simply to make it more pleasant to live in. When choosing home improvement projects, homeowners should consider the return on investment and whether or not the project will increase the chance of resale.
Throughout history, homeowners have sought ways to upgrade their homes and improve their living conditions. For example, in the earliest days of modern homeownership, returning veterans from World War II helped spark a boom in suburban housing. Government mortgage insurance programs and highway construction encouraged home buying, and large builders such as Levitt and Sons dominated the market, producing two-thirds of all suburban homes by 1949. As the country settled down in the postwar years, interest rates fell and a national obsession with interior remodeling took hold.
The popularity of television shows such as This Old House and Bob Vila contributed to the proliferation of DIY home improvement. These programs offered step-by-step instructions for remodeling and renovations, and promoted a fascination with olderstyle architecture. Nostalgia for the past fueled a desire to “historicize” suburban homes, and manufacturers capitalized by marketing cheap imitation molding or columns and Victorian-style fixtures.
Since the coronavirus pandemic began, however, fewer homeowners have hired professionals to do professional home improvement work, instead opting for do-it-yourself repairs and renovations. In fact, NerdWallet found that nearly half of respondents to a recent American Housing Survey said they wouldn’t allow home improvement contractors into their houses because of safety concerns about the pandemic.
Even as the economy recovers, home improvement is still a major driver of consumer spending. A recent Home Advisor study found that the average homeowner spent about $13,000 on renovations last year. While this number is expected to decline in the future, experts say that home renovations are a great way for owners to add value to their homes while making them more enjoyable to live in.
One important consideration for any home improvement project is the return on investment. A good rule of thumb is to choose an improvement that will add at least 75% of the cost in increased home value. This will ensure that you won’t lose money on the renovation and will be able to sell the home at a reasonable price in the near future.
If you are considering a major home improvement, it’s also a good idea to consult with a Realtor who can help determine the best ways to add value and increase your chances of resale. Nevertheless, it’s important to remember that your own personal enjoyment and satisfaction with your home are more important than the resale value. If you renovate solely based on what will please prospective buyers, you may end up with a showplace that doesn’t feel like your home.