The results indicate Americans are willing to spend 30% of their home’s value to remodel, up from 25% in 2007 and 28% in 2010, though home prices were significantly higher in 2007 and lower in 2010 than they are now. People plan to spend an average of about $102,000 to renovate.

How homeowners said they’d use that money offers more insight into the consumer mindset. Based on the survey results, those looking to remodel increasingly plan to hire professionals for the work and use more expensive materials for the renovation. And as far as what they’re remodeling, homeowners surveyed in 2013 are undertaking more expensive projects by favoring kitchen updates over bathrooms.

In the news release, Planese CEO and Co-Founder Dan Fritschen added context to the numbers.

“Consumers are spending again, which bodes well for the entire home improvement industry,” Fritschen said. “More people are feeling secure enough during this economic environment that they are remodeling.”

Home improvement is more than enhancing the aesthetics and comfort of a house, because it can pay off in the long term by adding value to the property. No matter how you finance renovations — personal loan, savings, home equity line of credit — staying on budget is crucial.

How to Spend the Budget
Though 43% of those surveyed by Planese said they planned to be hands-off in the remodeling process (up from 36% in 2010 and 2007), a little do-it-yourself work may free up cash for other parts of the project. Nearly two-thirds of homeowners said they planned to hire a general contractor, and 54% said they’d hire an architect, up from 64% and 47% in 2010, respectively.

The biggest jump in the data seems to be the growing preference for pricey products. In 2007, 9% of homeowners said they would use “expensive materials” (the term is undefined in the release), and in 2010 that share was 10%. Now, 17% expressed a preference for the finer goods.

Renovations should be an investment, not a path to debt. If you need to take out financing in the form of a home equity line of credit, a personal loan or a credit card, make sure you understand the impact that new credit can have on your credit score.’s Credit Report Card will provide your free credit scores and let you see how adding a loan or credit card will impact your credit.

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Posted In: EHR News

About The Author

Joseph Sabeh Jr.

Please let me introduce myself, I am Joseph Sabeh, Jr a full time licensed professional realtor. I have been with Executive Homes Realty for over 13 years and was trained by my late father and Broker, Joseph Sabeh. I recently incorporated the company and we moved the office to 43513 Mission Blvd just last summer. I could not have found a more honorable place to work. After earning my experience selling high end Ralph Lauren suits and studying business management in southern California, I decided to pursue my dream of selling real estate and working with my father. He had already had such an excellent reputation and established a niche market of high end clientele that catered to the very best. I wanted to become the consummate professional just like him and have strived to become just that being just a phone call or email away from getting back to my client’s immediate needs! Known by my clients for my tenacity, perseverance , and excellence in negotia- tion(Certified Negotiation Expert), I have always strived to meet my clients high demands and goals. As a result of my professionalism, I have achieved an extensive portfolio of referrals from past and present clients. I credit my current values from my upbringing of my parents and the credit is due to them without question. Their integrity, pride, and willingness to sacrifice for the better of my life and my sister’s always left a mark on me that one day I will pass on. Their desire to achieve a better life and live it to the fullest is one that some families dream of and I certainly am appreciative of all of the education and etiquette I have learned from them both. I have sold condos up to 3.2 million dollar homes and I am here for any and all of your future real estate needs and wishing you the very best experience in your future real estate endeavors with me.

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