The American Express Spending & Saving Tracker reports that 72% of the 1,518 people surveyed said they have at least one home improvement project on their to-do list this year and they plan to spend an average of $4,000 to get it done. That’s a 14% increase over 2012, when the average budget was $3,500.
The improvements include remodeling, new furniture, and landscaping. Here’s how folks reported what they had in mind:
- 63% plan to remodel the interior at an average cost of $3,300
- 39% said they want to redecorate or remodel one room at an average cost of $2,900
- 33% will update appliances and expect to spend an average of $1,033
For inspiration, 14% of respondents indicated that they would turn to social media sites like Pinterest – twice the percentage that reported using that medium last year. Traditional sources for decorating ideas like magazines and television are still popular though, with 29% perusing lifestyle magazines and 39% tuning in to home improvement shows.
Some respondents were planning improvements in order to sell their house. In addition to the upgrades, 70% of homeowners who were putting their house on the market were willing to make concession to entice potential buyers including:
- Appliances in the price
- Repairs as requested
- Paying closing costs
Fifty-seven percent of homeowners felt sure they could sell their homes for the asking price – that’s a 36% increase since 2012.
A quarter of those that were staying put, were planning to refinance their mortgage to take advantage of low interest rates. Here is what people said they would use the savings for:
- 38% would pay off bills and pay down debt
- 23% said they would save it for a rainy day
- 12% would put the money toward home improvements
The survey about home improvement and real estate plans for the year was conducted online between February 27th and March 1st among a random sample of 1,518 adults in the United States.