Over 14 million people (44%) have undertaken major work on their current property, or plan to do so within the next year in order to improve or add value to their home, according to latest Lloyds Bank research.
As house price increases, almost two million homeowners say they couldn’t afford to move, so opted to improve their current house instead.
Those aged between 25 and 34 are most likely to undertake redevelopments in the next 12 months, with 27% planning work. Within this age group, a further 30% already have already completed significant home improvements on their current property.
Improving the look of the house is the most frequent reason for undertaking home improvements, with 40% saying this was key driver. This shows that carrying out work on the house is a decision that is predominantly made to make a house a home, rather than for financial gain. However, 33% of respondents also said adding value was a reason for improvements, ahead of making improvements out of necessity, for example to accommodate their immediate family growing (22%).
When it comes to looking at the function of the new space created by home improvements, creating additional living space is the main priority, with 60% of respondents stating this as an average across England and Wales. New kitchens (40%), bathrooms (30%) and bedrooms (28%) are the next priorities for home owners looking to improve.
Almost one in five (18%), or nearly six million homeowners nationally, have previously bought smaller property than they would have liked as a result of rising house prices. In the South East, this figure rises to 21%. Of those that did buy a smaller property than they would have liked, a quarter (25%) did so with a view to extending or improving the property to add value, and a further 18% did so to extend and meet their housing needs.
Marc Page, Lloyds Bank mortgages director, at Lloyds Bank, said: “With over 14 million of us opting to carry out large scale improvements, these kind of projects are seen by many as at the best way to make a house a home.
“Rising house prices are clearly having an impact, with almost one in five buying smaller properties than they would have liked. However, this is giving more people an opportunity to undertake home improvements, whether they are trying to maximise the value of their property, or even make it more sellable in future.”