Harvard University’s Joint Center for Housing Studies has very good information for people who own hauses . Their widely-tracked Leading Indicator of Remodeling Activity (LIRA) is showing signs of life: 2+ years of year-over-year declines are not only easing , but ready to turn positive in 2010. This is valuable & timely mark that the housing recession , as well as the resulting credit crunch , are about to recover .
What is causing this retrieval? Stabilization in the extensive housing market is the issue . With sales up and inventory down, owners are seeing prices and demand creep up. As credit concerns ease , homeowners are finding it easier to get funds for renovations, remodeling, and additional home improvements . For owners who want to sell, the need to further enhance economic value with renovations or a remodel is clear . And for homeowners staying put who simply want to make their home more liveable and sympathetic, or invest for a sale down the road, now may be the best opportunity to make those improvements.
Homeowners still face a lot of challenges. Recovery is coming slowly in places, and getting credit is still way more difficult than in years past . Finding the money to fund home renovations & remodels can require quite a bit of hard work and diligence. Homeowners with many dreams in the queue – a kitchen renovation , a bathroom remodel , changing the basement into another bedroom – may have to be happy with choosing just one project for now. If present trends in the housing and construction markets continue, there may soon be opportunity for more aggressive action.
Making every dollar count is more important nowadays than ever before :
Call around for deals: Idle contractors are now more happy than ever to offer discounts for work. But don’t always take the lowest bidder … that could be a sign of a builder who is desperate and willing to cut any and all corner
Do-it-yourself: With not a lot of money , only use a home remodeling company for things you can’t handle on your own . Call in help for cabinets, floors, and roofing, but do the painting and landscaping yourself. Just be sure you’re not compromising quality by over-estimating your abilities.
New regulations: New Federal safety guidelines have recently come into effect regarding lead paint. Compliance means higher prices for many renovations. Ask contractors what effect these new regulations will have on pricing.
