CAMBRIDGE, MA — Home improvement spending will recover this year, according to the Leading Indicator of Remodeling Activity (LIRA) released Apr. 15 by the Remodeling Futures Program at the Joint Center for Housing Studies of Harvard University. The LIRA suggests annual spending will accelerate, with nearly five percent growth in 2010.
“The gradual recovery in the broader economy should encourage more remodeling spending by homeowners,” said Nicolas Retsinas, director of the Joint Center for Housing Studies. “This year could produce the first annual spending increase for the industry since 2006.”
Favorable market conditions support the projected increase in remodeling activity. “With house prices showing modest gains in most markets and the employment outlook beginning to stabilize, owners are likely to refocus attention on home improvements,” says Kermit Baker, director of the Remodeling Futures Program at the Joint Center for Housing Studies. “Home sales are trending up, which shows growing confidence in the housing market.”
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