Home improvement projects chosen over buying new homes

Higher lending rates are having an impact on U.S. homeowners and their home improvement decisions, says a report from CRAFTSMAN, a Stanley Black & Decker brand. The report finds nearly two-thirds of homeowners (65 percent) see home improvement projects as an alternative to buying a new home, given high interest rates in the housing sector. 

The report shows the primary reasons for a home improvement project are to create more comfortable living environments (52 percent), to enhance the aesthetic appeal of their home (50 percent), and to improve overall home value (47 percent). The most commonly considered projects include painting (51 percent), bathroom improvements (44 percent), and kitchen improvements (41 percent). 

More than half of homeowners’ (54 percent) have an approximate budget for their home improvement project of $5,000 or more, and over a third of homeowners (37 percent) have a budget of more than $10,000. However, those who have refinanced their mortgage in the past three years have a much higher budget with nearly two in three (64 percent) saying their approximate budget is more than $10,000. 

When it comes to sourcing tools, 64 percent of homeowners surveyed show a tendency to buy the necessary tools rather than borrow. In fact, 44 percent of homeowners, particularly Millennials (63 percent), admit that they have given up on taking on a project altogether due to a lack of necessary tools. Most homeowners attribute their lack of tools to the cost of tools (47 percent), having a limited knowledge about which tools are needed (36 percent), or a fear of not using the tools often enough (50 percent).