Home Remodeling Boom Continues in 2022
If you’re planning on making changes to your house this year, creating a home office, a gathering space, or perhaps making room for a loved one to move in, you aren’t alone. That’s billion with a “B” and that means a continuing heavy demand for contractors and building supplies. If remodeling is on your must-do list, contact your contractor to start discussing your project now.
Home is more than just where the heart is. Whether creating a home office, gathering spaces, or making room for a loved one to move in, people are using their homes in ways they may never have before. Experts predict homeowners will continue to focus on upgrades and home improvements that fit this evolving lifestyle in 2022 and beyond. In fact, Leading Indicator for Remodeling Activity, (LIRA), from Harvard’s Joint Center for Housing Studies predicts a significant rise in remodeling projects that is projected to reach $401 billion of annual spending by the third quarter of 2022. $401 billion! That’s billion with a “B.” That’s a huge number and and that means a continuing heavy demand for contractors and building supplies.
While spending for home improvements and repairs is expected to expand at an even stronger pace than in 2021, experts say we can expect a deceleration toward more sustainable rates of growth in the fourth quarter of the year.
“Strong increases in home sales activity, household incomes, and home equity levels are supporting a faster expansion of the home remodeling market over the coming year,” says Carlos Martín, Project Director of the Remodeling Futures Program at the Joint Center For Housing Studies. Abbe Will, Associate Project Director, is throwing a caution flag on the field. “Several headwinds may still temper growth expectations this year,” he cautions. “The rising costs of labor and construction materials, difficulty retaining contractors, and climbing interest rates could discourage owners from undertaking new or larger remodeling projects.”
By now, you’re probably aware of the challenges if remodeling is in your plans for 2022. With the anticipated demand and delays, it is not too early to touch with your contractor to begin the planning process. (BPT / JCHS)