Canadian homeowners are significantly increasing their investment in home improvements, with renovation budgets nearly doubling compared to pre-pandemic levels, according to a new CIBC survey.

The study reveals that nearly half of Canadians are currently involved in home renovation projects, with average expected costs reaching $19,000—a dramatic increase from the $10,000 average reported in 2019. Despite inflation pressures, 60% of homeowners are choosing to renovate rather than sell their properties.

"Despite rising costs, Canadian homeowners are investing significantly in practical upgrades to their homes right now," said Carissa Lucreziano, vice president of financial planning and advice at CIBC. She notes that a quarter of renovators are seeking professional financial advice to manage their projects effectively.

The survey highlights a strong trend toward sustainability, with 59% of Canadians willing to pay premium prices for environmentally friendly renovations. An even larger proportion, 73%, express interest in incorporating smart, sustainable, or energy-efficient technology into their homes.

Most homeowners are approaching these projects conservatively, with 57% funding renovations through cash or personal savings. While 80% expressed confidence in their budget and timeline, three-quarters reported making significant lifestyle compromises to achieve their renovation goals, including reduced leisure time and discretionary spending.

Small upgrades such as painting and general repairs are the most common renovations (46%), followed by bathroom upgrades (39%) and flooring improvements (32%). The motivations behind these improvements are primarily cosmetic (41%) and functional (39%), with property value enhancement driving 27% of renovation decisions.

The findings suggest that while Canadians are making substantial investments in their homes, they're doing so with careful financial planning and a growing emphasis on sustainable solutions, even as they navigate the challenges of increased costs and personal sacrifices.