Nov. 26, 2013: Home Remodeling Remains Strong, Will Begin to Taper Mid-2014
Even With the Projected Tapering, Remodeling Activity Should Remain at Healthy Levels
CAMBRIDGE, Mass. — The home remodeling market continues to improve, with strong gains expected for the remainder of 2013 and the beginning of 2014, according to the Leading Indicator of Remodeling Activity (LIRA) released by the Remodeling Futures Program at the Joint Center for Housing Studies of Harvard University. While the LIRA continues to project annual improvement spending increasing at a double-digit pace in the near term, a slowdown in growth can be expected by the middle of 2014.
“The soft patch that homebuilding has seen in recent months, coupled with rising financing costs, is expected to be reflected as slower growth in home improvement spending beginning around the middle of next year,” said Eric S. Belsky, managing director of the Joint Center. “However, even with this projected tapering, remodeling activity should remain at healthy levels.”