The last few years have seen major changes in our lifestyles and spending, and our homes are no exception. Angi’s Household Expense Report for 2022 shows how things have changed this year, and what you can expect for 2023.
The single biggest impact on home spending in recent years has, of course, been the pandemic. As homeowners hunker down in their homes for most of 2020, they are thinking less about how home improvements can affect value, and instead how they will change and improve their lifestyles as everyone stays home more.
Now that many pre-pandemic activities and behaviors have returned, how has this affected household expenses? Angie surveyed 6,500 consumers to determine what is most important to them. It turns out that lifestyle needs are still the main driver. Prior to 2020, “return on investment” was the top motivator for home improvement spending in the Angi survey. This year, 61% of homeowners said lifestyle considerations were the most important reason to do some work on their home, whether to make it better suited to their needs or to enjoy an outdated home more.
After a big 2021, in which homeowners spent an average of over $10,000 on home improvement expenses, the average returned to $8,484 in 2022, more than in any previous year. With lifestyle changes related to the pandemic easing, inflation is a big factor in home repairs in 2022. Nearly three-quarters of homeowners say inflation affects their spending and the number of projects they undertake. And interest rates have their own impact.
Here is an overview of the top 10 projects where people are spending their money in 2022:
1. Routine maintenance, 38.2%
2. Interior painting, 33.6%
3. Bathroom renovation, 28.9%
4. New floors, 27.8%
5. Smart home devices, 22.9%
6. Exterior painting, 22.9%
7. Kitchen renovation, 21.4%
8. Landscape, 20%
9. Window, 18.2%
10. Roof repair, 18.1%
And this is where people hope to place their dollars in 2023:
1. Routine maintenance, 29%
2. Interior painting, 23%
3. Bathroom renovation, 22%
4. Floor installation, 20%
5. Kitchen renovation, 17%
6. Smart home devices, 17%
7. Exterior painting, 17%
8. New landscaping, 16%
9. Window, 16%
10. New fence, 15%
Looking ahead, though, here are 10 great investment projects that homeowners say they want to pursue in the next five years:
1. Bathroom renovation, 35.93%
2. Solar panels, 29.41%
3. Outdoor work, 26.89%
4. Dungeon purification, 26.43%
5. Improved HVAC, 23%
6. Building a head office, 22.77%
7. Build a new addition, 21.85%
8. Adding a bathroom, 20.94%
9. Turn garage into gym, 20.48%
10. Others, 5.49%
For the full report, and previous Angi reports, see angi.com/research/reports.
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