Homeowners Are Digging In for 5 Years: A Threat to Buyers or a Hidden Lifeline? 

These days, many homeowners are committed to improving their homes.

In fact, Angi’s annual State of Home Spending Report discovered that 66% of homeowners plan to make a major home investment within the next five years—the highest level recorded in its research.

“Economic pressures, including inflation, high interest rates, and income uncertainty, are likely driving this stay-put, let's-just-improve-our-home mentality,” says Tammy Crosby, CEO of The House Designers in Monroe, CT.

Since inventory levels are currently low, this trend could be an issue in the short term. Then again, the concept of homeowners locking in for the long haul isn't anything new.

But what is good news is that this mentality of homeowners may actually benefit buyers down the road.

If and when these homeowners eventually sell, buyers may have access to more updated, well-maintained properties, while sellers could potentially command higher resale values.

Bottom line: We're talking a win-win for everyone involved. 

The stay-put trend is keeping housing inventory low

According to July 2026 housing data from Realtor.com®, national inventory remains 11.6% below typical 2017 to 2019 levels, even as active listings have increased modestly compared with last year. 

That shows the market is recovering but still has ground to make up. 

At the same time, 66% of homeowners plan to make a significant home investment within the next several years.

Crosby explains that, in the short term, homeowners deciding to renovate rather than sell might prolong the inventory issue, limit options, and increase competition for many buyers, especially those on a tighter budget. 

“This low stock and higher interest rates have driven up prices enough that it makes sense for many to wait rather than struggle against unfavorable buying conditions,” Crosby explains.

Angie Hicks, co-founder of Angi, points out that a major home investment isn’t necessarily a direct measure of whether a homeowner intends to move or stay.

Hicks notes that major investments can reflect many different goals, from a big renovation or system upgrade to preparing a home for an eventual sale. 

“What Angi’s 2026 State of Home Spending Pulse Report does show, however, is that homeowners remain committed to maintaining and improving their homes despite current affordability pressures,” Hicks says.

Why future buyers could ultimately benefit

If you’re in the market for a new home or think you will be in the near future, this trend can actually benefit you. The silver lining is that continued investments in home improvements can help preserve and improve the nation’s existing housing stock.

“The fact that so many current owners are holding on to—and improving—their homes means that future buyers can look forward to well-maintained and newly updated properties that are move-in-ready,” says Crosby. 

Angi’s 2026 State of Home Spending Pulse Report found that 58% of homeowners surveyed completed a repair within the past month, while 63% completed maintenance work. 

“These projects may not always be as visible as a major remodel, but they’re critical to keeping a home safe, functional, and in good condition,” Hicks says.

When homeowners consistently address repairs, maintain major systems, and make thoughtful improvements, this allows future buyers to inherit homes that have been better cared for and require less deferred maintenance. 

“Not every investment will always translate directly into a higher sale price, but ongoing upkeep can reduce the likelihood that small problems become larger and more expensive ones. Over time, that benefits current homeowners, future buyers, and the overall quality of the housing supply,” adds Hicks.

At the end of the day, the short-term inventory constraint could have a positive, long-term impact on housing quality.