BETHESDA, MD / ACCESSWIRE / February 3, 2020 / As the year comes to a close, Mark Scott, of MARK IV Builders reflects on the past 12-months of progress, while also turning an eye to the future of home remodeling. During 2019, the home renovation market fared well, maintaining a consistent average of $10,000 invested annually in housing upgrades per home.
This upcoming year, however, there are notable changes facing the house renovation market, many of which are centered around homeowner stability. In the year 2020, we are expecting to see a focus on energy efficiency, a changing market structure, and an increase in overall home remodeling expenditure.
Energy Efficient – As younger generations move into the housing market, there has been an apparent shift towards energy-efficient building practices, both for environmental and fiscal reasons. Younger homeowners place a high value on smart technology, particularly when it serves to improve the energy efficiency of individual homes. They are investing in modern, tech-savvy home appliances, and taking into account the impacts of all investments for future financial stability. Considering recent government regulations to restrict wasteful energy usage, new generations are looking to pinpoint “healthy” renovations that will increase the productivity of their homes for years to come.
Functional Remodeling – The types of home remodels that are expected in 2020 are slightly different than projects that have dominated in the past. There is a newfound focus on functional, swift renovations, rather than large, overhaul transformations, with various factors contributing to this shift. One factor is the prominent need for weather-related renovations due to damage from inclement weather like hurricanes and floods. Often, these projects are focused on fixing a problem rather than completely transforming a home.
Increased Spend – Finally, though homeowner improvement spending is expected to remain relatively flat during 2020, low mortgage rates may combat this steady trajectory and push it to surpass past years. Matched with today’s healthy labor market and low unemployment rates, there is a possibility that home repair spending increases by more than initially projected. By 2025, the total home improvement market is expected to surpass $1,120 billion in total spending, representing a 4.5% increase from this past year.
Mark Scott is a home remodeling and design-build expert with over 25 years of experience working in the Washington DC area. His design-build firm, MARK IV Builders, offers quality construction services for all types of home improvement projects.
MARK IV BUILDERS Website – http://www.markivbuilders.com/
MARK IV BUILDERS Facebook – https://www.facebook.com/MARKIVBuildersInc/
MARK IV Builders, Inc. is headquartered at 1 Tomlinson Court, Cabin John, MD 20818. (240) 395-0400
“The value of a real estate declines drastically if its maintenance is neglected.”
“According to the report by GMI, the home improvement market size will grow at more than 4.5% CAGR and will surpass USD 1,120 billion by 2025. Trends towards improving energy efficiency owing to favorable government policies and necessity to reduce the electricity costs is driving the home remodeling market growth.”
“Businesses report that labor shortages, a shortened renovation season and continued weather disruptions, in addition to rising product costs and economic uncertainty, are contributing to project delays and a shift toward smaller projects.”
“At $325 billion, owner improvement and repair spending in the coming year is expected to essentially remain flat compared to market spending of $326 billion over the past four quarters,” said Abbe Will, associate project director in the Remodeling Futures Program at the Center. “However, today’s low mortgage interest rates may help counter some of these headwinds, which could buoy home improvement expenditure over the coming year.”
Press Contact: Aarti Gala
SOURCE: MARK IV BUILDERS
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