Home Renovation Boom In Playa Del Rey
Setting A Home Renovation Budget
Rising interest rates and restrictions on obtaining mortgages have seen a massive home renovation boom in Playa Del Rey. Renovations are becoming increasingly popular for homeowners who find their homes aren’t meeting their needs for one reason or another. Rather than risk paying over the odds for a new home, choosing to renovate their current property is becoming a more attractive proposition.
How Big Is The Home Renovation Boom in Playa Del Rey?
According to Harvard University’s Joint Center for Housing Studies (JCHS) predictions, the home renovation sector may reach $30 billion by the end of 2022. Driving this boom are three significant factors; household income, the housing market, and home sale activity. All of these are persuading homeowners that staying put and investing in their current home can be more favorable than reentering the property market in its present condition.
For reference; in 2021 spend increase were;
- 7% in Q1
- 7% in Q2
- 6% in Q3
- 4% in Q4
These figures are set to increase to double figures as spending ramps up.
FOMO (Fear Of Missing Out)
There is no denying that consumer spending in any industry is heavily swayed by spending patterns. FOMO (fear of missing out) is a massive factor alongside the suggestions discussed above.
Consumers are often driven to make big-ticket purchases not to miss out. And if they are seeing others conducting home renovations with success and seeing what is possible with regards to home renovations, then the seeds are already being sown, resulting in copycat behaviors.
However, rising costs and labor shortages are driving up prices. Those requiring immediate home repairs are more easily swayed when it comes to undertaking colossal home remodeling jobs instead of those doing so for vanity or to increase the current value of their home.
What Does This Mean For Playa Del Rey?
On the surface, a home renovation boom doesn’t bode well for home sales. With more homeowners tempted to stay put and undertake repairs, buyers’ purchasing powers are set to decrease.
On top of this, with fewer homes coming onto the market, a push for more new-build homes will drive up demand, thus further increasing home prices and the cost of materials, suppliers, and labor.
That being said, consumer preferences may shift in 2022, leading to a rise or decrease in the need for renovations. Along with consumer trends, there is a good chance that inflation will continue to climb, along with borrowing rates and the cost of building materials. There is still time for home repairs, maintenance, or remodeling that has to be completed to avoid being priced out of yet another market.
While it remains to be seen how 2022 will look for the building trade and homeowners, experienced home builders are on hand to undertake home remodeling projects and newly built properties for the housing market. Contact M.D.H. Builders to find out more.
Begin by Evaluating Your Finances
Home renovations can be expensive. It’s important to know what you’ll spend before you start planning your budget, but it can be hard to find the time. One way to keep track of your finances is with an Excel spreadsheet. So just make sure you take a close look at your monthly income and savings. This is going to be the best way to determine how much you can afford such as a renovation for one room or the whole home.
Hunt Around For Quotes From Contractors
There’s no doubt about it that hunting for a reliable contractor can be rather daunting. But not to worry! While it’s something that does take a lot of time and research, it’ll be completely worth it in the end. So what are some very important things that need to be kept in mind when hiring a general contractor? Well first, you have to make sure that they’re insured and licensed.
You’re legally entitled to ask for proof of your license and insurance. It also helps to read reviews of all contractors that you come across. Facebook Reviews and Google Reviews are going to be your friends during this research.
Don’t Forget About Detailing The Budget
Once you sorted out your finances, know what you want, and have a reasonable quote from a general contractor, you’ll now want to begin creating a detailed budget. There is a lot that needs to be put into consideration when it comes to home renovation costs. This can include unexpected expenses (which is common), permit costs, labor and tool costs, and maybe some other surprise costs. While a home renovation can get expensive, just know what it is common so having a detailed budget will help you out.
If you’re completely new to home projects and would still like to get some help then feel free to contact us as we’ll help you out. MDH Builders has helped hundreds of happy customers create their dream homes You can find us here on Yelp to read more about our happy customers. So let us help you create the home of your dreams. So go ahead and contact us today to see what we can do for you!
Connect
Let's talk about your project
We provide best-in-class construction services with honesty, a passion for the creative process and a win-win philosophy.
