The American real estate market is experience sustainable, double-digit growth in an important economic indicator: home renovations. This growth constitutes both an increase in total number of home renovations as well as the total amount of the investment, currently estimated to reach $310B by the end of the year, as reported by Florida Realtors.
This increase in home renovations is a direct connection the overall perception of real estate, the rising value and increase in sales according to Abbe Will, a research analyst at Harvard University’s Joint Center for Housing Studies. He argues, “So long as we’re seeing growth in sales and prices, that should be contributing to remodeling activity.”
According to MarketWatch, this increase in home renovations may also be a result of a shortage in available housing stock. According to the research, “There was 4.5 months of housing inventory for sale in the U.S. in March, according to the National Association of Realtors, meaning it would take that long for every house on the market to sell at the current pace of sales. Higher inventories benefit buyers, while lower ones benefit sellers; a market is generally considered balanced when there’s five or six months of inventory.”
With this shortage of houses on the market, many owners are choosing to reinvest in their houses rather than buy and they have realized the value of their house is increasing with the current shortage which encourages owners they will get a full return on their investment.
Overall, it is a positive and encouraging time for real estate. Whether you are looking to buy, sell, or upgrade, confidence is an excellent motivator.
If you’re interested in Sanibel real estate–whether you’re buying, selling, or just looking–contact one of our knowledgable Sanibel realtors, search our MLS for available properties, or get in touch with our office at 239-272-2411 for general inquiries. We’re also more than happy to help you find the Sanibel realtor that’s the right fit for you.
Sources: More Americans expected to remodel this year, Here's what's behind America's renewed mania for home renovation
This article is provided by John R Wood Properties, a full service Sanibel Island real estate agency made of people who love where they live as much as what they do. With local knowledge and decades of combined experience, our Sanibel and Captiva Island realtors are passionate and dedicated to exceeding your real estate needs.
About the author: Michael Rogers is a lifelong writer who joined the John R Wood Properties team in 2015 as a Communications Content Manager. He enjoys running and biking on Sanibel, donuts from Bennett's, and keeping people updated with the latest in local news and Sanibel real estate.