America's aging housing stock is creating more remodeling opportunities, but many homeowners lack the financial resources to tackle necessary repairs, according to the Harvard University Joint Center for Housing Studies.

The owners of homes built before 1960 spent an average of $6,000 on improvements and maintenance in 2023 (the most recent data available from the U.S. Census Bureau’s American Housing Survey), which is about 35% more than owners of homes built since 2010. However, spending varied dramatically by income. Owners in the highest income range invested an average of $12,700 in older homes, nearly four times the $3,400 spent by those in the lowest income range.

The findings underscore a growing challenge for remodelers. While the nation's housing stock continues to age (the median U.S. home is now 44 years old) many of the homes requiring the most maintenance are owned by households least able to pay for it.

For older homes, spending is increasingly driven by essential projects rather than lifestyle upgrades. Maintenance, along with replacements such as roofing, siding, windows, and insulation, accounted for more than 60% of improvement spending on homes built before 1960. By comparison, owners of newer homes devoted a much larger share of their budgets to outdoor improvements and expansions and additions.

The financial gap is also contributing to deteriorating housing conditions. The report found that 5.4% of owner-occupied homes built before 1960 were classified as moderately or severely inadequate, which is roughly four times the rate of homes built after 2010. In total, 2.9 million homeowners live in housing with significant structural, plumbing, electrical, or heating deficiencies.

For remodelers, the report highlights both a growing need for replacement and repair work and the affordability challenges that may prevent many homeowners from moving forward with essential projects.