Pandemic Home Remodeling? Yes, it’s A Real Thing. And It’s Big.
Of all the many industries that have suffered since the COVID-19 pandemic began, you would think the home remodeling industry would be among them. But that’s not really the case.
The Home Remodeling Industry Before COVID-19
In March 2020, home refinance applications surged by 79%. There are a few reasons to apply for refinancing but a major one is because you want to remodel your home. What accounts for this enormous increase? Some homeowners were taking advantage of low interest rates and the looming threat of COVID-19 was a factor. People were predicting that the coronavirus would hit the United States hard (and it did) and this would lead to stimulus packages. Perhaps more than anything, though, this increase simply represents a strong demand for home remodeling. It’s almost a year later and the pandemic has been worse than most of us expected. What has this done to the home remodeling industry?
The Home Remodeling Industry During The COVID-19 Pandemic
COVID-19 has dealt a tough hand to businesses across myriad sectors. Home remodeling requires one to invite strangers into their home. At a time when a highly communicable virus is keeping people stuck inside their homes, causing them to lose their jobs, and putting their social lives on pause, it would be reasonable to think that the demand for home remodeling has decreased. And it did. . .for about three months. However, things shifted quickly for the industry. According to Houzz, an online home remodeling platform, project leads for home professionals saw a stunning 58% annual increase in June of 2020.
Pandemic Home Remodeling
At first, this demand was disproportionately for outdoor jobs. This makes sense: summertime is hot, and the virus spreads much less efficiently outdoors. But the demand for remodeling interiors soon increased, too. Kitchens and bathrooms have always been popular remodeling choices, but the 40% jump in demand for kitchen and bathroom remodels in June compared with the year previous is truly remarkable. What accounts for this?
People are stuck at home, so they want their homes to be as perfect as possible. People are finally getting around to remodels they’ve wanted for years. But wait, aren’t people strapped for cash right now? Some people definitely are. But young people who have lost their serving jobs were never going to remodel their homes in 2020 or 2021, anyway. Homeowners who might have planned for a vacation are instead putting that money towards a remodeling. Furthermore, homeowners are taking advantage of record high amounts of home equity. Home prices continue to increase despite the economic downturn. The kitchen is especially a highly used area now and no longer just for eating. They are used for virtual schooling, work-from-home offices, and cooking extra meals that may have originally been eaten out.
If you want to take advantage of this home remodeling boom, you better act fast. Kitchen Solvers can help; contact us today to find out how.Back