New survey from Capital One Canada finds Quebeckers would rather
renovate than move this year.
MONTREAL, June 11, 2013 /CNW Telbec/ - A new study released today by
Capital One Canada shows home renovations can be a risky endeavour for
young Quebeckers (18-34 years) who are the most likely to get
themselves into money troubles compared to other age groups when faced
with a renovation project.
Working with CROP Research in advance of the upcoming July 1 moving day,
the study found over a third (37%) of Quebeckers spend more than they
planned to when renovating, with young Quebeckers admitting to being
the most likely (39%) to go over budget, with almost one-fifth (17%)
having no budget at all.
This higher-than-average propensity to overspend is likely linked to the
fact that Generation Y renovators tended to have the highest budgets
($7,380 on average, almost twice the amount of renovators aged 35-54).
A lack of proper skills could also be the culprit: even though only 5%
of young renovators would call themselves "experts," an overwhelming
68% of those planning projects in the next 12 months will do the work
themselves, opting not to hire a specialist.
A misguided tendency to "DIY" without the necessary skills or experience
can be a budget-busting combination.
"Although it might be tempting to try to save money by doing everything
yourself, it's important to keep in mind that hiring a professional for
the more difficult renovation tasks will actually help you save more
money in the long run," said Brigitte Poitras, home staging expert.
Although the majority (85%) of Quebeckers consider home renovations to
be a positive investment, there are clear indications that they may
also be a financial burden for the province's younger generation of
renters and homeowners. Almost one-quarter (24%) of Quebeckers aged 18
to 34 who have renovated their home in the last year admit that the
experience caused them to spend beyond their means, compared with 19%
of those aged between 35-54 and only 8% of renovators aged 55 and over.
"While it's a positive sign that young Quebeckers are choosing to invest
in their homes, it is disconcerting that they are having so much
trouble setting a budget and sticking with it," said Pascal Bricault,
Director, Capital One Canada. "When you compare their behaviour with
that of their parents' generation, it is clear that they face a
significant learning curve for how to properly budget for and plan a
home renovation project."
Quebeckers listed credit cards with no annual fee (27%), cash rewards
(22%) and fraud protection (22%) as those that are most beneficial for
their home renovation projects. When it comes to financing their
projects, a quarter of home renovators aged 18 to 34 planned on using
their credit cards.
"In order to reap the full benefits of credit card rewards, it is
imperative to use a card responsibly," said Mr. Bricault. "My advice to
younger people planning a home renovation project is to only use a
credit card to finance their project if they have enough money saved to
pay off their balance in full by the due date to avoid interest
Other key study findings:
Outaouais is the region in Quebec with the highest number of planned
renovation projects in the next 12 months (37%), closely followed by
Estrie (36%) and Mauricie (34%).
Saguenay residents spend the most on average for home renovation
projects ($5,446), closely followed by Estrie ($5,441) and Montreal
($5,231). Outaouais renovators spend the least on average ($3,166).
Cosmetic renovations like indoor painting (49%) and curtains and blinds
(26%) were among the most popular home renovation projects carried out
by Quebeckers in the last 12 months. When it comes to more intensive
renovations, the most popular projects were flooring (27%), the kitchen
(20%), patios and balconies (19%), and the basement (17%).
While the bathroom was the area of the home most targeted by Quebeckers
who renovated in the last 12 months (22%), the kitchen is
overwhelmingly the space that the highest amount of respondents (42%)
would renovate if they had $10,000 to spend.
27% of Quebeckers plan to pursue home renovations in the next year
Young (18-34-year-old) Quebeckers face the most challenges related to
financing their home renovation projects, with one-quarter getting into
The myth of moving day? Only 4% of Quebeckers plan to move on July 1,
and 83% of Montrealers intend to stay in their current residence over
at least the next six months.
Online data collection took place from May 16 to 24, 2013 via web panel.
A total of 1,423 questionnaires were completed among Quebeckers.
Weighting and representative nature of the sample:
The results were weighted so as to reflect the distribution of the adult
population in Quebec according to the gender, age, administrative
region (Saguenay-Lac-Saint-Jean, Estrie, Outaouais and
Mauricie/Centre-du-Québec), mother tongue and level of education of the
respondents. In addition, a series of questions drawn from Panorama
(3SC), the major CROP Research annual study on consumer values, were
added to the questionnaire. This allowed CROP Research to weight the
sample according to the personal values of respondents based on a
Finally, please note that due to the non-probabilistic nature of the
sample, calculation of the margin of error does not apply.
About Capital One
With offices in Toronto and Montreal, Capital One has offered Canadian
consumers a range of competitive MasterCard credit cards since 1996,
when the company first introduced the Platinum MasterCard in Canada.
Capital One Canada is a division of Capital One Bank, a subsidiary of
Capital One Financial Corporation of McLean, Virginia (NYSE: COF).
Capital One believes in empowering Canadians to take control of their
finances through programs and resources like Understanding-Credit.ca,
Credit Education Week Canada and the Capital One SIFE Financial
SOURCE: Capital One
For further information:
T 514 282 4832