Home improvement should see a ‘strong rebound’ in 2013, Harvard housing center says

Home improvement projects should enjoy a “strong rebound” in 2013, the Joint Center for Housing Studies of Harvard University said Thursday.

The Joint Center has a Remodeling Futures Program, where researchers compile something called the Leading Indicator of Remodeling Activity, or LIRA. This metric is designed to estimate national homeowner spending on improvements for the current quarter and subsequent three quarters.

“Robust spending in the second half of 2012 suggests the remodeling recovery is already underway, and the LIRA projects annual homeowner improvement spending will see accelerating double-digit growth through the third quarter of 2013,” the Joint Center said in a press release.

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The Remodeling Future Program’s director is Kermit Baker.

“There are many external economic and political risks that could derail this remodeling recovery,” Baker said in a statement. “However, the solid momentum behind home building activity, existing home sales, low financing costs, and remodeling contractor sentiment all point to a solid start to the new year for home improvement spending.”