Welcome to the 5th annual HomeStars Reno Report!

It’s fitting that a fifth anniversary is celebrated with wood, considering it is one of the most traditional and popular renovation materials. Since 2019, our annual Reno Reports have examined the behaviour, attitudes, trends and intentions of Canadian homeowners who have renovated in the last 12 months. It also looks ahead – to renovation plans in the next 12 months. Our comprehensive report has become a trusted resource for media, researchers and homeowners, alike, and we are thrilled to share our latest findings with you.

Sadly, Canadian economic conditions have worsened compared to last year. With homeowners experiencing intense household financial pressure. This is mostly due to inflation, which is somewhat lower but still persistent after two years of cost of living increases. In turn, the Bank of Canada has increased interest rates, which puts pressure on consumer borrowing for mortgages and other large loans, previously some of the go-to’s for home renovation financing.

Despite this, our research shows that Canadians are still optimistic about renovations in general. Only one in three homeowners we surveyed were putting renovation plans on hold this year due to the increase in interest rates. On average, the Canadian homeowners we surveyed spent $12,300 on renovations in the past 12 months. Anticipated spending in the next 12 months will likely be down however, at $10,264 on average, not surprising considering the economic environment.

While the future of the Canadian economy is difficult to predict and somewhat uncertain, we did find that 73% of homeowners surveyed do plan to do at least one renovation in the next 12 months. This speaks to Canadians’ overall continued desire to improve their living aesthetic and functionality.

Aside from the economy, there is another possible reason we are anticipating less spending and smaller projects. Weather-related emergency repairs and renovations have been a priority so far this year. In the first half of this year alone, we have witnessed out of control wildfires burning across the country, in addition to catastrophic flooding on the East coast. Our survey found that 32% of Canadians, almost a third, were forced to do renovations as a result of severe weather, surely impacting where they had anticipated spending on their homes. We expect to see this trend grow over the next several years, unfortunately.

Another trend that is receiving attention is sustainable or “green” products. While Canadians seem to love the idea, they aren’t putting it into practice in a meaningful way. Read on for more interesting insights, including where Canadians would live if they could drop their home anywhere in the country, neighbour disputes over renovations, as well as their favourite house style - hint hint, it’s not mid-century modern.

From our home to yours,

Shir Magen
Shir Magen
CEO of HomeStars

Key Findings
Average spend on renovations in the past 12 months was $12,300 - this is anticipated to fall slightly to $10,264 in the coming 12 months ahead.
One third of homeowners (32%) had completed emergency repairs due to weather-related events, peaking in Atlantic Canada at 41% due to catastrophic flooding.
Almost a quarter of homeowners prefer the Modern Farmhouse as their number one home aesthetic, followed closely by Ranch/Bungalow style homes.
The majority of respondents (79%) stated that sustainability was “important” when choosing building materials for renovations, but only 59% who renovated in the past 12 months have used green products.
While 15% of homeowners bought or sold a primary property in the last 12 months, only 28% bought a fixer-upper vs 44% in 2022, indicating they are buying newer or previously renovated homes.
79% of Canadian homeowners surveyed had the cash on hand to pay for renovations.
Just over one in three (34%) plan to postpone planned renovations due to rising interest rates.
Nearly three quarters of respondents (73%) plan to do at least one home renovation in the next 12 months.
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