How much do Americans spend on renovations every year? Take a look at average American home improvement costs and how they’re allocated.
A home is a major investment that we will probably all make at some point in our lives.
You scrounge together the down payment for your home, only to have to pay an arm and a leg for home improvement costs! Not to mention the mortgage payment.
If you’re wondering to yourself, “I wonder how much American home improvement costs on average”, you’re not the only one.
Home improvement is a very expensive industry, but just how expensive is it?
Keep reading to see the average amount that Americans spend on home improvement, and what they spend it on!
What is the Difference Between Renovation and Remodel?
Before we dive into the numbers, we should probably answer one common question: What is the difference between remodeling and renovating?
The answer is actually very simple.
When you renovate something, you are just improving what is already there. For example, if you replace your carpet, you are renovating that space.
When you are remodeling, you’re changing the structure of something. If you’re remodeling your bathroom, you are probably knocking down a wall to create more space.
Now that we know what the difference between renovating and remodeling is, let’s talk about how much Americans typically spend on home improvement.
What Are People Spending on American Home Improvement?
On average, Americans spend $9,000 per year on home improvement.
These projects can be improving the house aesthetically, maintenance projects, or home emergency projects.
Aesthetic Home Improvement
When people want to change the tile in their bathroom, paint the walls, or replace their counter-tops, this is a home improvement for aesthetic reasons.
These types of projects aren’t really necessary, however, they make the home more visually appealing.
A very common home improvement project is to renovate the floor or ceiling. On average, this home improvement project costs over $3,000.
People also commonly change the fixtures or sinks in their home, which works out to around $1,300.
Emergency Home Improvement
While home improvement can be optional, it isn’t always.
A huge chunk of what Americans spend their home improvement money on is for emergencies. Emergencies include repairing or replacing an element of the house that is decaying or damaged.
On average, Americans spend around $1,200 per year on home improvement for emergencies. These projects can include:
- Replacing a water heater
- Repairing a roof
- Replacing kitchen appliances
- Replacing air conditioning
Do you know what to do when your home needs major repairs?
Maintenance Home Improvement
Sometimes we just need to maintain the things we have to keep our home looking and functioning its best.
One of the most common maintenance projects is lawncare. On average, Americans $2,497 on lawn care every year. This includes buying grass seed, replacing a lawnmower, putting gas in the lawnmower, and planting flowers.
Buying a House is A Financial Investment
Many homebuyers think that once they put the down payment on their house, their spending for the home will go down dramatically.
Unfortunately, that’s not the case. Mortgage payments and home improvement projects are going to be very costly each year.
For more helpful information on home improvement, check out our other posts.