The housing market is growing tighter, and with fewer homes for sale, prices are rising accordingly. As a result, remodeling has become the way to go for many homeowners who can’t find a second home. In light of this, the National Association of Realtors (NAR) and the National Association of the Remodeling Industry (NARI) released a joint report on the 2017 remodeling market. The data shows the latest trends and the emotional and financial value that homeowners place on certain projects.
According to the report, “after completing a remodeling project 75% of owners have a greater desire to be in their home, 65% say they have increased enjoyment in their home, and 77% feel a major sense of accomplishment when thinking of their completed project. In addition, 56% felt happy when they see their completed projects, and 39% say they feel satisfied,” the report said.
The NAR president, Willaim E. Brown, said that there are a lot of reasons that homeowners are undergoing these projects, according to surveys. Whether that be to impress potential buyers, bring in better offers, or gain more equity in their homes, remodeling projects bring the most value for homeowners. For example, something as simple as bathroom remodels could bring as much as 86.4% return on investment.
NAR reports that, for exterior projects, new roofing is the most popular. The project has an average of 109% return on initial investment, more than any other exterior project. The report also stated that “though new roofing was named the exterior project that most appeals to buyers, it is followed by new vinyl windows, a new garage door, and new vinyl siding.”
“This year’s report confirms how remodeling can increase home value and day-to-day enjoyment,” said Tom Miller, President of the National Association of the Remodeling Industry. “I can’t emphasize enough how important it is to work with a contractor you can trust who adheres to a strict code of ethics and can help define a realistic budget.”
The report also had a “joy rating” system, that ranked each project on what the total enjoyment each project gives the homeowner. Projects that have a perfect score of 10 include a new master suite, which has an estimated cost of $125,000 for a full makeover, and a new steel front doors.