Whether homeowners should remodel their homes now or wait until inflation is more under control in a year or two depends on several factors. Let’s explore some of these factors below:
- Cost of materials: The cost of construction materials, such as lumber, steel, and copper, has increased significantly in recent years, mainly due to supply chain disruptions and increased demand. These higher costs can make remodeling projects more expensive, and homeowners may need to adjust their budgets or choose different materials to stay within their budget. If homeowners can afford the increased cost of materials or are willing to make changes to their plans, then remodeling now may be a good option.
- Availability of contractors: The pandemic has caused a shortage of skilled labor in the construction industry, and many contractors are booked out for months in advance. This can make it challenging for homeowners to find contractors and schedule their projects. If homeowners are in a rush to complete their remodels, waiting until inflation is more under control may not be an option.
- Interest rates: Interest rates are at historic lows, which can make borrowing for home renovation projects more affordable. Waiting until inflation is under control could mean missing out on these low rates, and interest rates may rise in the future, making borrowing more expensive.
- Home value: Homeowners should also consider their home’s value and whether remodeling now or waiting will have a significant impact. If they plan to sell their home soon, remodeling now may increase its value and attract potential buyers. However, if they plan to stay in their home for the long term, waiting until inflation is under control may not have a significant impact on the home’s value.
- Personal circumstances: Lastly, homeowners should consider their personal circumstances, such as their budget, timeline, and other financial goals. If they have the budget and can afford the increased cost of materials, remodeling now may be a good option. However, if they prefer to save money and wait until inflation is more under control, they should consider delaying their remodel.
In conclusion, whether homeowners should remodel their homes now or wait until inflation is more under control in a year or two depends on several factors, including the cost of materials, availability of contractors, interest rates, home value, and personal circumstances. Homeowners should carefully consider these factors and make an informed decision based on their individual situation.