Amid hot housing market, Albertans opting for home renos,
according to RBC survey
CALGARY, October 03, 2006 — Soaring house prices
have a majority of Alberta homeowners (75 per cent) planning
to renovate or otherwise improve their homes over the next
two years, according to a new survey by RBC Royal Bank.
According to the RBC survey, Alberta homeowners (at 34 per
cent) are more likely than those in other regions across Canada
to be planning landscaping projects. Among home improvement
projects, Albertans are also the most likely (40 per cent)
to put in new floors. Close to half (47 per cent) of the homeowners
planning renovations in the province expect to roll up their
sleeves and tackle the majority of work themselves, while
34 per cent plan to hire a contractor.
"What we're hearing from Albertans is that they're more
than ready, willing and able to get the job done, when it
comes to ensuring that the value in their homes continues
to grow," said Don Peard, vice-president, Mortgage Specialists,
RBC Royal Bank. "We're expecting to see substantial renovation
activity across the province well into 2007."
When asked about the purpose of their renovations, the majority
(59 per cent) of Alberta homeowners said they hope to make
their homes more attractive. Another 33 per cent - more than
in any other region in the country - are renovating to enhance
their enjoyment of their homes. The survey also found that
homeowners in Alberta expect to spend an average of $9,322
on their renovations and home improvements.
Other facts about Alberta homeowners and renovations:
- Seventy-four per cent have completed renovations in the
last two years - the most likely homeowners in the country
to have done so.
- Sixty-three per cent said they had a budget for their
renovations; 36 per cent of those who did went over those
budgets by an average of 58 per cent.
- When asked about their biggest renovation headache, 51
per cent cited the inconvenience involved.
- A majority (70 per cent) said they would rather renovate
than sell if their current home was in need of major renovations.
- Alberta homeowners are more likely (83 per cent) than
other Canadians to pay for all or most of their renovations
with cash or savings.
- Of those who plan to finance, 44 per cent intend to use
a line of credit, 25 per cent plan to use their credit cards,
and 10 per cent will add-on to or refinance their mortgage
to cover the cost.
- Forty-two per cent stated that magazines were providing
their renovation inspiration, while 34 per cent were getting
their ideas from big box stores.
As far as how Albertans compare to homeowners in other regions
of the country when it comes to renovating plans for the next
two years:
Alberta - 75 per cent, down from 76 per cent in 2005
British Columbia - 65 per cent, down from 75 per cent in 2005
Saskatchewan/Manitoba - 75 per cent, down from 77 per cent
in 2005
Ontario - 71 per cent, down from 78 per cent in 2005
Quebec - 66 per cent, down from 71 per cent in 2005
Atlantic Region - 80 per cent, down from 82 per cent in 2005
These are some of the findings of an RBC Royal Bank poll
conducted in English and French by Ipsos Reid between August
17 and 21, 2006. The online survey is based on a randomly
selected, nationally representative sample of 2,367 Canadian
homeowners. For Alberta, the sample size was 171 homeowners
who had renovated or were considering renovations.
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Media Contact:
Cathryn Tucker - (403) 292-3970
For full tabular results, please see the Ipsos-Reid website
at www.ipsos.ca.
Downloadable graphics also available at www.rbc.com/newsroom.
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