Homeowners invest £5.6 billion in home improvements
Homeowners are boosting their investment in home improvements, new research has revealed.
The figures, from Sainsbury’s Bank Loans show that an estimated £5.6 billion was taken out in loans in 2012 to pay for home improvements. This is an increase of 26 per cent year-on-year.
According to the research, more than 624,000 people took out loans for home improvements, in 2012, an increase of 23 per cent from 2011. This significantly outpaces the increase in mortgage lending, which rose by 1.4 per cent in 2012 according to the Council of Mortgage Lenders.
Commenting on the figures, Steven Baille, head of loans at Sainsbury’s Bank said: “Our research shows that, year-on-year, more people are looking to invest in their property and carry out home improvements. As well as the obvious improvements to standard of living, home improvements can add real value to a property. We’d encourage those planning work to shop around to ensure they see the best possible return on their investment”
Loans for home improvements accounted for 28 per cent of all loans in 2012, while the amount borrowed has also increased.