In a typical lifetime, the average American will own three homes, with remodeling projects only happening once. Research by Ipsos and Hover found that 58% of homeowners experienced time delays, 33% paid more than the original quote, and nearly half faced issues that could have been avoided by the contractor. These challenges contribute to stress among homeowners, leading many to avoid future projects altogether. Budgeting, selecting a contractor, researching materials, deciding on changes, and the renovation process itself were identified as the most difficult aspects of the homeowner experience.
Trust and reputation are crucial factors for homeowners when selecting a contractor, followed by offering a fair price, knowledge, and communication skills. While only a third of contractors use 3D drawings or models to visualize design options, the technology is proving to be beneficial in improving relationships and value engineering projects by reducing waste, risk, and costs. Hover reported that contractors saw a 22% increase in their close rate and were able to upsell projects more easily when using 3D models.
Companies like Hover and Lowe’s are introducing technologies to enhance the homeowner experience and streamline the remodeling process. Hover provides photorealistic 3D models to help homeowners visualize their projects, while Lowe’s Style Studio offers an immersive experience for customers to customize their designs. These technologies help reduce friction in home improvement, allowing homeowners to bring their unique style to life and make informed decisions throughout the renovation process.
To mitigate risks in the contractor-homeowner relationship, construction attorney Megan Shapiro recommends creating and following a documentation policy to avoid disputes. Financiers like Slice by FNBO also integrate risk protection measures into their processes to ensure that complaints are addressed promptly. Despite challenges and potential risks, there is a growing appeal for homeowners to undertake remodeling projects, especially with the current low mortgage rates driving demand for large unsecured home improvement jobs.
As demand for remodeling and new home construction continues to grow, there is a significant opportunity for contractors to enhance the homeowner experience. By improving transparency, communication, and offering better visuals and designs, contractors and technology companies can make the remodeling journey more enjoyable and less stressful for homeowners. With innovations in generative AI and real-time customization, homeowners and professionals can collaborate more effectively to achieve their vision and create a positive remodeling experience.
