Albertans continue to spend big bucks renovating their homes according to Statistics Canada’s quarterly report out today.
The Alberta record was set in Q1 of this year with $1,298,168,000 spent on renovations. This fell to $1,171,743 in Q2 but was still up +6.6% year-over-year.
Is looking at renovation figures a good indicator of economic activity in the province? Yes, but it can be open to interpretation.
According to ATB, on one hand it reflects “how confident Albertans are about incomes, job prospects, and future economic opportunities. Clearly, if home owners feel less secure about their jobs or income, they’ll hold off on adding that sunroom off the living room or developing the basement.
“On the other hand, home renovations can also signal some hesitation on the part of home owners. Building a new home may be the preferred option, but poor economic conditions may tilt the balance in favour of buying a fixer-upper – a less expensive existing home that requires renovations.”