Homeowners spend £5.6bn on improvements
Sainsbury’s research found that the amount borrowed for home improvements has increased year-on-year by 26% (up from £4.49bn).
The research also revealed that loans for home improvements accounted for 28% of all personal loans in 2012.
Steven Baillie, head of loans at Sainsbury’s Bank, said: “Our research shows that, year-on-year, more people are looking to invest in their property and carry out home improvements.
“As well as the obvious improvements to standard of living, home improvements can add real value to a property.
“We’d encourage those planning work to shop around to ensure they see the best possible return on their investment.”
“The personal loans market has become increasingly competitive, which is great news for those seeking a loan, so we’d encourage shopping around to ensure getting the best deal.”
Sainsbury’s research found that some 624,235 people took personal loans to improve their homes in 2012, an increase of 22.8% year-on-year.
This significantly outpaces the increase in mortgage lending which rose by just 1.4% in 2012.