As spending on home improvements continues to decline year after year, one wonders if that could (and how) affect contractor schedules and material prices. According to the report, the main reasons for the continued decline in spending on home renovation include “high interest rates, decreased home price appreciation, and slow home sales.” Forbes Home spoke with experts who said that LIRA's prediction that home renovation expense rates would fall over the next year was accurate, and they don't expect this downward trend in spending to correct itself in the near future. With this in mind, according to data from Angi and two home renovation experts, this is the amount that Americans usually spend on various home renovations. It's almost impossible to talk about the dramatic changes in home improvement spending in recent years without reflecting on the COVID-19 pandemic and its influence on that specific market.
While the expected 5.9% drop for the first half of 2024 is much less shocking, it does highlight the fact that, for another year, spending on home improvements is expected to continue in a downward spiral.
