This spring, buyers won’t be daunted by major home renovation projects.
More than half of all home shoppers said they’d be willing to shell out $20,000 or more on home renovations, according to a new survey by realtor.com in which Toluna Research polled 1,015 home shoppers and found that just under 60 percent were considering a home that needed major improvements.
“The combination of rising home prices and limited entry-level homes for sale is prompting many home shoppers to consider homes that need renovating,” said realtor.com Chief Economist Danielle Hale in a prepared statement.
And almost all of the homeowners considering renovations are confident about what they’re getting into — 95 percent believe their updates will bring positive returns on their investment.
When asked about specific renovations, 30 percent of the respondents said they would choose to redo the kitchen. Meanwhile, 26 percent opted for bathroom renovations and 20 percent wanted new flooring. According to realtor.com’s data, the average cost of a kitchen renovation adds up to approximately $66,000.
Most home shoppers know that a renovation will not come cheap. Fifty-one percent said they were willing to spend more than $20,000 on improvements while 28 percent reported to be willing to spend up to $10,000 — particularly as home values rise, making it more difficult for some to buy their dream home.
“Replete with inspiration at their fingertips — like Pinterest, Instagram, and various home renovation TV shows — some home shoppers are comfortable tackling home renovation jobs to find a home that balances their needs with their budget,” Hale said.