Mortgage News

Remodeling may seem passé as the economy strives to recover from the crisis, but research findings along with insider’s expectations show it is anything but. Far from a stagnant activity it is “poised for growth.” That is the main finding of the latest report by the Joint Center for Housing Studies at Harvard University, which indicates growth after a double-digit decline that followed the 2007 peak of the industry. Research findings indicate that everyone from homeowners, investors, and real estate owned managers are ready to take action in the next few years. JCHS said remodeling expenditures could increase at an inflation-adjusted 3.5% average annual rate, which is lower than the pace seen during the housing boom, “but sharply recovering from the recent downturn.” And as the industry starts to “return to a more typical pattern of growth,” its main characteristics will also change. If in the past remodeling was driven by higher-end markets, going forward, demand in lower-end markets also will generate considerable demand. In the next five years, “the focus of remodeling spending will shift from upper-end discretionary projects to replacements and systems upgrades. Source: NationalMortgageNews.com