Homeowners Are Remodeling Instead of Relocating
Key Highlights
- Younger Americans, Parents More Likely to Renovate Rather Than Move
- Most Homeowners Who opt to Renovate Spend Under $20K on Upgrades
- Fresh Paint, Bathrooms, and Kitchens Are Most Popular Improvements
About 65% of homeowners who recently made renovations decided to do so instead of move, and within that group, millennials and Gen Z were more likely to remodel than were older homeowners, Redfin reported in a survey of 4,000 U.S. residents.
Most homeowners who renovated in the past year spent less than $20,000, signaling that many are opting for select improvements rather than a full-scale remodel. The most common improvements: fresh paint, bathroom upgrades, and kitchen renovations.
Younger Americans, Parents More Likely to Renovate Rather Than Move
Homeowners belonging to the Gen Z and millennial generations are more likely than their older counterparts to remodel instead of move, with 77% of each generation saying they made improvements rather than moving in the past year. Those with kids living at home are also more likely than others to choose renovations.
“Many Americans are choosing to stay put and make the home they already have work for them,” said Chen Zhao, Redfin’s head of economics research. “That could mean improving outdated spaces, adding space for a growing family or reconfiguring the existing space so it works for everyone. Younger homeowners are especially likely to renovate instead of jumping to a different house; they’re earlier in their homeownership journey and more willing to invest in improvements to build equity. Those with kids living at home are often motivated to plant deeper roots where they are so they can stay in the same school district and community.”
Most Homeowners Who opt to Renovate Spend Under $20K on Upgrades
Many homeowners are opting for meaningful improvements without busting their budget on a complete remodel.
Roughly 23% of people who renovated their home in the past year spent between $10,000 and $20,000 on improvements; the next-most common price tags were $1,000 to $5,000 (21% of recent renovators) and $5,000 to $10,000 (20%). A sizable share (16%) spent between $20,000 and $50,000 on renovations.
Fresh Paint, Bathrooms, and Kitchens Are Most Popular Improvements
Painting is the most popular upgrade; nearly half (47%) of recent renovators gave their home a fresh coat. Next are bathroom (43%) and kitchen (40%) improvements. Exterior maintenance and landscaping are also popular, with 35% of renovators opting for those upgrades.
Climate resiliency is important to some homeowners, too: About one in seven (15%) added features to make their homes more resilient to natural disasters such as flooding, wind, fire and/or heat.
