With interest rates on the decline, there's never been a better time to start your home renovations. As the Federal Reserve recently cut the benchmark interest rate by half a point, homeowners are now in a prime position to take advantage of lower borrowing costs to fund their home improvements. But don’t wait—getting started on your renovations now could save you time, money, and stress.

Why Now is the Perfect Time to Renovate

Lower interest rates not only make home improvement loans more affordable but also encourage a surge in real estate activity. According to the Leading Indicator of Remodeling Activity (LIRA) from the Joint Center for Housing Studies of Harvard University, spending on homeowner improvements and maintenance is expected to hit $466 billion by mid-2025. This influx of renovations means that homeowners who act quickly will avoid the competition for contractors and supplies that are likely to come with increased demand.

As rates drop, more buyers enter the market, which in turn encourages sellers to invest in renovations that can maximize their home’s value.

“With rates dropping, now’s the time to get ahead of the renovation rush. Whether you're prepping to sell or just want to update your space, you want a renovation partner that can handle everything—from design and construction to financing—all in one place. What we do is make the process as easy as possible so you don’t have to deal with multiple contractors or worry about delays,” says Michael Valente, Co-Founder and CEO of Renovation Sells.

Project by Renovation Sells Chicagoland West

The Impact of Consumer Confidence on Renovations

2025 promises to be an active year for the housing market, with lower rates fueling a wave of renovation projects as homeowners seize the opportunity to improve their homes. As Michael Valente notes, "Interest rates are at their lowest in 18 months, and discussions around buying and selling homes are really starting to pick up again. The housing market has been frozen for the past few years, with the lowest level of home sales in about 30 years. This has created a lot of pent-up demand, and now is the perfect time for homeowners to upgrade or prepare for future moves as conditions improve.”

As interest rates drop further—potentially into the high 5% range—it’s expected that there will be a surge in real estate transactions. Renovation projects will follow suit as homeowners invest in updates that maximize their property value before listing.

Additionally, as Valente highlights, the upcoming election may further boost consumer confidence: "The aftermath of the election could lead to even more confidence in the market, encouraging both homeowners and buyers to invest in renovations and transactions. It’s all aligning to make 2025 a very promising year for the housing market."

Get Ahead of the Rush

If you’re considering selling your home, starting renovations now will put you ahead of the expected wave of homeowners looking to cash in on lower rates. Waiting too long could mean dealing with supply chain delays and longer contractor wait times, which can ultimately delay your sale.

Right now is the perfect time to lock in the top renovation team. As the real estate market picks up with interest rates on the decline, the demand for quality contractors will only increase. Waiting until next year when everyone else is rushing to renovate could mean longer wait times or having to settle for less experienced crews. At Renovation Sells, our expert team is ready to start your project now, ensuring you don’t face delays or compromises.

Project by Renovation Sells Naperville & Renovation Sells Chicagoland West

Start Planning Your Renovations Today

We specialize in strategic, high-impact renovations for sellers and buyers that maximize your home’s appeal without the hassle of a full remodel. Whether you're updating your kitchen, refinishing floors, or upgrading your bathroom, getting started now means you'll be ready to hit the market at the perfect time—and for the best price.

Ready to begin? Contact us today to see how we can help you make smart, efficient updates before you sell or buy. Don’t wait—get ahead of the competition and secure the highest price for your home with Renovation Sells.