First 2020 brought a housing boom, and now 2021 is bringing a home-renovation boom.
First-time buyers are more likely to buy fixer-uppers but older homeowners are the ones really spending on DIY.
It s yet another chapter in generational inequality, and another way homeownership is less affordable for millennials.
The other side of the housing boom is here: home-renovation projects.
As Americans were left with more time on their hands and more time in their houses, they began fulfilling their wildest HGTV fantasies. Home improvement and repair spending grew by nearly 3% to $420 billion in 2020, per a recent study by Harvard University s Joint Center for Housing Studies (JCHS).
by Tyler Durden
Friday, May 14, 2021 - 09:20 PM
What was once a feel-good story about millennials moving out of their parents basements and finally buying houses of their own has now turned into a story about them being priced out of the market.
Thanks, Federal Reserve.
The scorching hot price of housing has forced millennials to now turn to fixer-uppers as a more affordable solution for homes to buy, a new Business Insider report notes. According to Bank of America Research s sixth annual millennial home improvement survey, 82% of millennials have said they are more likely to buy a fixer-upper than a newly built home.
Justin Lambert/Getty Images
Buying old homes and renovating them has made homeownership more attainable for the generation.
But BofA Research data reveals many are taking out loans for home improvement projects.
As prices for homes reach record-highs, millennials are turning to fixer-uppers as a more affordable solution.
More than three-quarters (82%) said in Bank of America Research s sixth annual millennial home improvement survey that they re more likely to buy a fixer-upper than a newly built home. The survey polled over 1,100 members of the generation.
It s the latest takeaway from a historic housing shortage that s forcing millennials into their second housing crisis in 12 years. Contractors have been underbuilding since the Great
EATON COUNTY - The two-story Italianate farmhouse was covered in vines and obscured by green overgrowth. Leaves and branches belonging to the trees and bushes against its brick exterior surrounded it, covering everything but the 126-year-old columned porch.
When it went up for sale more than a year ago, Dave and Brittany Rademacher were knee-deep in a massive renovation they d started more than five years earlier of an 1873 Colonial Revival home in Grand Ledge.
They weren t looking for another project, but they couldn t ignore this one. Growing up in the area and driving by here we knew it existed, said Dave Rademacher, who works in sales for a building materials wholesaler.