Nationwide: Home Renovations Popular, but Many Owners Fail to Update Insurance

(Image courtesy of Nationwide)

Nationwide, Columbus, Ohio, conducted a Homeowners Survey, finding 51% of respondents say they have completed a major home renovation project within the past two years.

The biggest spenders on home renovation projects are empty nesters–while they’re undertaking home renovations at roughly the same rate, they’re spending significantly more on the projects. The average empty nester working on a home renovation project spent $8,670, compared with $5,128 for the typical homeowner.

Specifically, empty nesters are spending significantly more on kitchen remodels ($18,672 vs. a nationwide average of $9,702), full-home renovations ($90,000 vs. a nationwide average of $36,900) and window replacements ($15,375 vs. a nationwide average of $4,917).

Three-quarters of homeowners list high costs as a key challenge when seeking contractors for home maintenance work, and 38% say they have DIYed projects typically done by contractors.

The top DIY projects are basement renovations, front-door replacements, bathroom remodels, kitchen remodels, full-home remodels and home additions.

Thirty-eight percent of empty nesters report using social media for project ideas, compared with 48% overall.

And by generation, 79% of millennials say they rely on social media, compared with 63% of Gen X and 31% of Baby Boomers.

However, 55% of homeowners who have completed major renovations over the past two years have not updated their insurance policies to reflect the changes or additions they have made. That can leave homeowners at the risk of being underinsured, Nationwide noted.