Angi Releases 2024 State of Home Spending Report

Rhea-AI Summary

Angi's 2024 State of Home Spending Report reveals that despite economic pressures, 93% of homeowners plan home projects in 2025, even as total spending dropped 12% in 2024. The average homeowner spent $12,050 on home projects in 2024, down from $13,667 in 2023.

With high interest rates and scarce housing inventory, 67% prefer renovating over relocating. Home projects emerged as the most stressful budget item, surpassing healthcare and childcare, with 43% reporting increased stress related to home repairs.

Key spending breakdown for 2024:

• Home improvements: $9,322 (relatively flat from $9,542 in 2023)
• Home maintenance: $1,750 (down from $2,458)
• Emergency repairs: $978 (down from $1,667)

Boomers led spending at $14,140, while millennials focused on maintenance, spending $2,316. High-income households ($150,000+) increased spending to $21,958.

Positive

• 93% of homeowners planning projects in 2025 indicates strong market demand
• High-income households increased spending to $21,958 from $20,649 in 2023
• Decrease in emergency repair spending suggests effective preventive maintenance
• Strong preference for renovation over relocation (67%) indicates sustained business opportunities

Negative

• Overall home project spending declined 12% in 2024
• Home maintenance spending dropped to $1,750 from $2,458 in 2023
• 54% of homeowners struggle to find qualified professionals
• 61% of homeowners concerned about affording maintenance in 2025

• Interest rates will continue to drive “renovate over relocate” mentality in 2025
• 93% of homeowners are planning projects in 2025 despite economic pressures and rising stress levels
• Home projects emerged as the most stressful budget item in 2024, surpassing healthcare and childcare
  

DENVER, Jan. 28, 2025 (GLOBE NEWSWIRE) -- Homeownership continues to play a central role in the American dream, and despite navigating tighter budgets and rising stress levels, homeowners remain dedicated to the care and improvement of their homes. Angi’s 2024 State of Home Spending Report reveals that 93% of homeowners plan to take on home projects in 2025, even as total spending on home projects dropped by 12% in 2024.

With interest rates remaining high and housing inventory scarce, 67% of homeowners express a preference for renovating their current homes to better meet their needs rather than moving, underscoring the value they place on their homes amid economic challenges and the ongoing stress of home maintenance. The study found that 43% believe stress related to home repairs has increased in the last year. According to the survey, home repairs, maintenance, and improvement was the budget item that caused the most stress, ahead of other costs, including healthcare, debt, savings, childcare, education, and entertainment.

“Homeowners are clearly committed to their homes,” said Angie Hicks, Co-Founder of Angi. “Even as economic pressures and challenges to getting projects done mount, the desire to create functional, personalized, and well-maintained spaces is stronger than ever. The optimism for 2025 reflects the enduring value of homeownership as both a financial and emotional investment.”

In Angi’s report, pros shared that homeowners were excited to tackle upgrades like interior painting using simpler palettes and monochromatic schemes, remodeling bathrooms with larger, easier to maintain showers, making durable and budget-conscious landscaping improvements, and installing new flooring using lighter and natural shades.

The Hurdles of Homeownership
While homeowners remained dedicated to their properties, especially as they stayed in their homes due to higher interest rates, they faced some challenges in getting projects done.

• Skilled Labor Shortages: While nearly all homeowners (93%) plan to tackle projects in 2025, 54% shared that they struggle to find qualified professionals, citing delays, higher costs, and limited availability.
• Unexpected Costs: When homeowners did complete projects, over 50% shared that they encountered surprise expenses, especially for materials and labor.
• Rising Stress: Overall, 61% of homeowners are concerned about being able to afford home maintenance or repairs in 2025, with this sense of concern being heightened among younger homeowners.
  

Generational Spending Trends: Boomers Lead, Millennials Prioritize Maintenance

• Boomers led home spending in 2024, averaging $14,140, with a focus on home improvements.
• Millennials prioritized maintenance, spending $2,316 on upkeep–$1,000 more than any other generation.
• High-income households earning over $150,000 increased spending to $21,958, up from $20,649 in 2023.
  

2025 Home Trends: Sustainability, Innovation, and Multigenerational Living

• Future-Focused Budgeting: 63% of homeowners aged 18-44 are actively saving for future projects, compared to just 49% of homeowners aged 65 and older.
• Sustainability Gains Momentum: Homeowners are planning for outdoor spaces, solar panel installations, and energy-efficient upgrades, reflecting a push towards sustainable living.
• Multigenerational Needs: With 1 in 4 homeowners living in multigenerational households, these households are more likely to be taking on larger renovations and adding lifestyle-enhancing features to their homes.
  

Despite Challenges, Homeowners Continue to Invest Strategically
Even with tighter budgets, homeowners made thoughtful investments in their homes in 2024 and started planning for 2025:

• 93% Plan Projects in 2025: Popular upcoming projects include routine maintenance (36%), interior painting (22%), and flooring installations (13%).
• Long-Term Investments: 46% of homeowners plan large-scale projects over the next five years, such as kitchen remodels (31%) and bathroom upgrades (28%).
• Renovation Over Relocation: 67% of homeowners would prefer to renovate rather than move, reflecting challenges like high interest rates and limited housing inventory.
  

Home Project Spending Declines 12% in 2024, with Focus Shifting to Essentials
Homeowners spent an average of $12,050 on home projects in 2024, down from $13,667 in 2023. While discretionary improvements slowed, essential upkeep and lifestyle-driven upgrades took priority.

• Home Improvements: Home improvements remained the largest spending category, with homeowners spending an average of $9,322, relatively flat compared to $9,542 in 2023.
• Home Maintenance: Spending dropped to $1,750 (down from $2,458 in 2023), signaling a focus on essential upkeep.
• Emergency Repairs: Spending on emergency projects decreased to $978 in 2024, compared to $1,667 in 2023), a positive indicator that proactive maintenance is reducing costly emergencies.
  

To explore the full insights from Angi’s 2024 State of Home Spending Report download the report here.

About Angi Inc.
Angi (NASDAQ: ANGI) helps homeowners get home projects done well and helps home service professionals grow their businesses. We started in 1995 with a simple goal to help people find skilled home pros in their area. Now more than 25 years later, we've evolved to help people with everything from finding, booking and hiring a skilled pro, to researching costs, finding inspiration and discovering project possibilities. With an extensive nationwide network of skilled home pros, Angi has helped more than 150 million people maintain, repair, renovate and improve their homes and has helped hundreds of thousands of small local businesses grow.

Angi Corporate Communications
Emily Do
(303) 963-8352
emily.do@angi.com

FAQ

How much did average home project spending decrease in 2024 according to Angi's report?

According to Angi's report, average home project spending decreased by 12% in 2024, from $13,667 in 2023 to $12,050 in 2024.

What percentage of homeowners are planning projects in 2025?

93% of homeowners are planning to undertake home projects in 2025 despite economic pressures.

How much did high-income households spend on home projects in 2024?

High-income households earning over $150,000 spent $21,958 on home projects in 2024, an increase from $20,649 in 2023.

What percentage of homeowners prefer renovating over relocating according to Angi's 2024 report?

67% of homeowners prefer renovating their current homes rather than moving, primarily due to high interest rates and housing inventory.

How much did Boomers spend on average for home projects in 2024?

Boomers led home spending in 2024 with an average of $14,140, focusing primarily on home improvements.