Fix it or list it?
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A majority of Canadians (83%) would rather renovate their homes than find a new place to live if their current home needed major work, according to the 19th Annual RBC Homeownership Poll.
Reasons for renovating ranged from wanting to make their home more attractive (66%), increasing the value (46%) and maintaining or repairing their home (39%). Four-in-ten Canadians (39%) said that they want to renovate to increase energy efficiency.
“Canadians are more likely to customize their homes based on their personal preferences rather than buying new. Setting a strict budget can help you stay on track,” said Richard Goyder, vice-president of Personal Lending at RBC.
“You can live in a home that you love without breaking the bank, as long as you have a prudent plan for financing your project.”
The rooms that typically add the most value to a house — bathrooms and kitchens - were the top home improvement projects on the minds of Canadians, tied at 43%, while 33% plan to renovate their basement. Almost half of respondents (46%) plan to do much of the work themselves, compared to 42% who expect to hire a contractor for their renovations — up five percentage points from 37% in 2010.
When asked about their renovation budget, more than three-quarters of Canadians (78%) estimated they would spend less than $10,000 on their renovations.
The majority of renovators (71%) said they would mostly finance these projects with cash or savings, while lines of credit (15%), home equity refinancing (13%), credit cards (10%) and personal loans (4%) trailed well behind.
“Your renovation checklist should include talking to a financial expert to assess all of your financing options,” advised Goyder.
For more information or for personalized mortgage service contact Darren Sharko, your RBC Royal Bank mortgage specialist serving clients in Edmonton and area, at (780) 441 – 9998, or e-mail him at darren.sharko@rbc.com .
