Healthy Food Delivery : How Homeowners Are Funding Renovations Amid Rising Costs and Sinking Budgets

Monday, April 27, 2026

How Homeowners Are Funding Renovations Amid Rising Costs and Sinking Budgets

Whether it’s needing to manage repairs, refresh your space, or expand it due to life changes, renovations are a huge commitment. And in a time where everything seems to be getting more and more expensive, it can often feel like even the necessary updates are out of reach.

Houzz recently released the findings from their 2026 Renovation Trends survey where they looked at what kinds of updates homeowners are making compared to previous years, as well as how much they’re spending and how exactly they’re financing these changes. So if you’re trying to budget for your own renovations, read on to see what other homeowners have been doing.

Key Findings

First and foremost, the Houzz study found that “home renovation activity is continuing at levels seen in recent years.” 54% of homeowners reported renovating, 52% reported decorating, and 47% reported taking on repairs. The median spending is also holding steady, sitting at around $20,000. High-end spending, however, has increased. The study found that the 90th percentile is “rising to $150,000 in 2025, up by 7% from $140,000 in 2024 and in line with the prior peak in 2023.”

Houzz also noted that “the median planned renovation spend stands at $15,000 in 2026, compared with $20,000 in 2025.” So homeowners are taking on roughly the same amount and kinds of projects, but expecting to spend less on them than in previous years. Time is still a key factor in when to start upgrades, with 40% of homeowners- a statistic that has stayed consistent year after year- saying that it is one of the “triggers” that gets them started. But “financial readiness edged up to 36% from 35%.”

Budgeting for Renovations

If you’re at a loss for how folks are affording these renovations in this economy, don’t worry. You’re not necessarily falling behind just because you might not be able to finance these same kinds of upgrades. According to the Houzz survey, 34% of homeowners are financing their renovations with credit cards. Additionally, when it comes to budgets over $50,000, many homeowners “turn to diversified funding sources,” with 23% using home equity loans and 20% using cash from a home sale.

Many homeowners are deviating from their budgets as well. Houzz reports that “while three-quarters of homeowners (75%) set an initial budget, nearly 2 in 5 (37%) exceeded their set amount in 2025.” Only some of this overspending is due to the unexpected costs that come with projects of this scope. Houzz found that 35% of homeowners go over-budget because they “consciously select higher-end materials than initially planned,” and 31% “expand the scope of their project mid-renovation.”