The pandemic pushed many Americans to move and others to upgrade their current home. However, about 1 out of 3 remodelers now regret their decision.
NEW YORK – Interest in home remodeling surged during the pandemic, but many of these remodeling homeowners now have some regrets, such as the surprising cost of the update. For others, family strain made the remodel less joyful than they hoped.
One-third of about 600 respondents recently surveyed said they regret their remodel, according to a survey from Lantern by SoFi, a personal finance resource. The most common regrets were using a credit card to pay for it, spending more time or money than expected, and less than ideal results after remodeling the kitchen.
Overall, 53% of respondents said their relationships were strained by a remodel.
In the survey, 15% of remodelers spent over $40,000 on their upgrade. Of the rest, 14% spent between $20,001 to $30,000 and 20% spent between $10,001 to $20,000. However, the biggest percentage, 39% spent $10,000 or less.
Homeowners paid for their upgrades largely through their savings (51%), but one in three (32%) paid by credit card. The others got a personal loan (9%), used cash (2%), inherited money (2%) or got it some other way (6%).
With both supplies of materials and labor prices on the rise, many homeowners faced unexpected higher costs, especially those remodeling for the first time. In fact, 12% said they went at least $50,000 over budget.
Due to rising costs for construction materials, many experts now advise remodelers to include a 50% buffer for both completion time and budget when tackling home remodeling projects, according to Lantern.
Source: “How Much Does It Really Cost to Remodel a House?” Lantern Credit/SoFi (May 4, 2022)
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