Feb 3, 2025 - Real Estate
Home renovation spending surges in Nashville's pinched real estate market
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Existing homeowners are adapting as high costs and mortgage rates make moving less attainable.
State of play: Renovating has become a more appealing option for homeowners ready to upgrade, Houzz economist Marine Sargsyan tells Axios. And people are spending a lot more money on a refresh.
- A 2024 report from Houzz shows median spending on home renovations is up 60% since 2015.
Zoom in: In Nashville, the median cost of a home renovation grew from $15,000 in 2015 to $25,000 in 2023.
- Kitchens and bathrooms are the most commonly renovated rooms — and typically the most expensive, Sargsyan says.
Between the lines: Aging homes and rising labor and product costs also contribute to that striking spending growth.
What's next: The majority of homeowners who renovate plan to stay in their homes for at least another decade, Houzz found.