Home renovation spending declines for first time in over a decade due to high interest rates and inflation.

Home renovation spending slows due to high interest rates and inflation, causing the first annual decline in over a decade, according to Harvard University's Joint Center for Housing Studies' latest leading indicator of remodeling activity (LIRA). Homeowner spending on renovations and repairs is predicted to fall to $449 billion this year, a 7% drop from 2023. The home improvement frenzy that occurred during the pandemic, as people invested in their homes for remote work and learning, appears to be cooling.

May 10, 2024
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