ADY - Plan to renovate

Most homeowners plan to renovate

Sixty-five per cent of Canadian homeowners plan to renovate their homes in the next 12 months, according to a recent Scotiabank/Ipsos-Reid survey.

The poll also found that more than one in four (28 per cent) with intentions to renovate expect to spend $5,000 or more, with cash being the preferred method of financing (59 per cent). The results of the poll are in line with Scotia Economics' most recent Real Estate Trends report, which indicates that renovation expenditures in Canada will increase by close to 10 per cent this year, largely offsetting a forecast 10 per cent decline in housing starts.

"Lifestyle trends such as 'cocooning' or 'nesting' and the popularity of home theatres are likely feeding the renovation frenzy," says Adrienne Warren, Senior Economist with Scotia Economics and author of Real Estate Trends. "Given the record-setting pace of existing home sales in recent years, the growing interest in home renovations is expected to persist."

The poll found that bathrooms (37 per cent) and kitchens (35 per cent) are the two areas most homeowners will be renovating this year. Other renovations include: the garden (33 per cent), basement (30 per cent), outdoor renovations (26 per cent), family room or living room (25 per cent) and bedroom(s) (24 per cent). According to the poll, besides cash, 26 per cent of those Canadians planning to renovate will use personal lines of credit to help foot the bill, followed by credit cards at 10 per cent.