Home renovations in the "new normal" of homeownershipCOVID-19 continues to reshape lives, changing daily routines and mandating precautionary measures that involve staying home as often as we can. With people spending more time at home than ever before, home improvement projects are increasingly becoming top of mind for homeowners.
"Remodeling home projects take time and patience, and Realtors and homeowners alike recognize the feelings of accomplishment, satisfaction and potentially higher home values that come with it," said Mary Kay Groth, president of the Silicon Valley Association of Realtors.
"During this pandemic, homeownership is invaluable. We know that home means everything to families - from protection, to safety, to comfort, so we're seeing people across our region dedicating themselves to improving their homes."
According to a survey by the National Association of Realtors, despite the financial difficulties brought on by the pandemic, 77 percent of homeowners say their home renovation budget for 2020 is the same or greater than last year. The top three home renovations that homeowners hope to complete within their budgets in 2020 are a new bathroom (28%), a new kitchen (23%), and fencing in their yards (21%).
Homeowners are attuned to how the pandemic may influence prospective buyers' preferences. A fenced-in yard, for example, the third most popular project for 2020, did not even make the top 10 Realtor-recommended projects in the national Realtor association's 2019 Remodeling Impact Report. Last year's report had examined a variety of remodeling projects and their appeal, value, and potential return on investment.
An additional 21 percent of homeowners expect new investments, such as a home office, gym or other space will offer the greatest return. These are projects Realtors would not have recommended as a top priority based on 2019 data, said Groth.
Some renovation priorities remain unchanged, such as kitchen and bathroom upgrades which are remodels that were highly recommended by Realtors last year. These projects continue to top most homeowners' current lists.
"The pandemic has changed homeowners' priorities when it comes to renovation projects. As families are spending more time together in their home, many 24-7, they are looking at their home more intently, particularly the rooms they most frequently use," said Groth. "This means improvements to bathrooms and kitchens, fencing yards for more privacy. I would add that according to local garden centers, homeowners are also spending money on landscaping to improve the curb appeal of their homes and making their backyards more comfortable and enjoyable."
Groth said Realtors are in many homes and can glean improvements that attract buyers. She suggests contacting a Realtors who can lend advice about the best renovation projects to undertake during this time.
"Realtors can help homeowners understand their local real estate markets while identifying which home renovations improve quality of life and provide a greater return on investment during this 'new normal' of homeownership," said Groth.
Groth also cautions homeowners to stay within their budget. "It's easy to start a project and keep on spending due to unanticipated costs. It can be like going to the grocery store when you are hungry. Too many items unexpectedly land in your cart! Plan your project carefully within the limits of your budget."
The Silicon Valley Association of REALTORS® (SILVAR) is a professional trade organization representing over 4,000 REALTORS® and Affiliate members engaged in the real estate business on the Peninsula and in the South Bay. SILVAR promotes the highest ethical standards of real estate practice, serves as an advocate for homeownership and homeowners, and represents the interests of property owners in Silicon Valley.
The term "REALTOR®" is a registered collective membership mark which identifies a real estate professional who is a member of the National Association of REALTORS® and who subscribes to its strict Code of Ethics.
Variations of this article have appeared in local area newspapers.
For further information, please email or call the SILVAR office at (408) 200-0100.