Last month, we discussed the shortcomings that people are finding in their homes as they continue to spend more time there. Many people want more space, nicer kitchens, outdoor space, and dedicated work and study areas. But how does this translate into dollars spent? HomeAdvisor surveyed 5,000 Americans to find out how much money they spent on home improvement in 2020 and what exactly they spent it on.
The survey found that the average household spending on home services in 2020 was $13,138, an increase from 2019’s average of $9,081. This increase can be attributed, in part, to an increase in the number of projects, but HomeAdvisor also pointed out that supply and labor costs increased during the onset of the COVID-19 pandemic, which could also contribute to the increase in average spending. Respondents said they are shifting their budgets for items like commuting, vacationing and dining out to home improvement projects.
Home improvement projects in 2020 were driven by lifestyle needs, with 41 percent of respondents noting this as their top reason for spending. In 2019, the top reason for home improvement spending was to replace or repair a damage, defect or decay. The top three completed home projects in 2020 were interior painting (34 percent of households), bathroom remodels (30 percent of households) and installing new flooring (26 percent of households).