People’s enthusiasm for home improvement is not fading

Based on the responses, 20% of residential properties ( around 820.000 homes) will be more or less renovated in the next quarter. Houses are the leading property types for improvements, and 37% of households, planning on renovations, wish to get financial support from the government. 

GKI organizes surveys every quarter to assess the population’s intent, prospects, and plans on home improvements. Masterplast Nyrt. has supported the survey since January 2020. The latest evaluation – October 2021- is based on a representative sample of 1000 people determined by sex, age, residence, and education. 

Economic conditions for home improvements are ideal. Growth of income, state benefits for families raising children, and payroll tax returns expected in 2022 have incentive effects. Higher property prices push households towards embellishing and refurbishing their homes. On the other hand, an increasing interest rate of market loans and inflation, that can also be felt in this sector, (increase in construction raw material and renovation service prices) have a negative effect. The rate of households spending more significant amounts of money on renovation has on and off fallen back during the past two years however overall shows a growing trend. This optimism was not disrupted by the fourth wave of the pandemic either. Every fifth household (sure or inclined to) plans to spend larger amounts on their property in the following year. If these plans come along, circa 820.000 properties will go through renovations within a year. Compared to the previous year, this number increased by 110.000 and 280.000 compared to two years before.

As in previous surveys, the strongest intent on improving property is in house owners (23%), while residents of prefabricated blocks of flats and non-panel condominiums have moderate plans. Families living in properties mentioned above represent 17% and 15% of the sample. 

Improvement plans depend on the size of the towns. The strongest intentions are in municipalities where at least one-quarter of the population is planning on getting works done next year. Proportions are 21% in smaller cities, 17% in county seats, and 16% in Budapest. In terms of the regions of Hungary, the most prominent activity is expected in the central region, where at least one-quarter of households intend to do some kind of refurbishments. Families living in agglomeration around the capital are especially active, and it is a rate of 31% who are planning to get some work done. The Central Transdanubia and Northern regions of Hungary are above average in terms of intent on home improvement (the proportion of households planning on such activity is equally 22-22%). 

Many are still considering applying for state benefits: 37% of the people planning on home improvements wish to partially finance the works from state funds. (3 months ago, the same rate was 40%).  53% who are certain to do the improvements expect help from the government, while only 32% who are inclined to renovate will do the same.