Many Homeowners Struggling to Afford Upkeep of Aging Properties
Maintaining the aging housing stock of the nation requires increasing investment. A recent analysis of the American Housing Survey (AHS) indicates that although expenditures on improvements and repairs increase as homes age, the ability to fulfill that demand varies significantly by income level. Among homeowners of properties constructed prior to 1960, individuals in the highest income quintile allocated three times more funds for improvements and repairs in 2023 compared to those in the lowest quintile. Despite the substantial investment required for the oldest homes, these properties are predominantly inhabited by owners who possess the least financial means to undertake necessary repairs.
In this report, Sophia Wedeen, Senior Research Analyst for Harvard’s Joint Center for Housing Studies (JCHS), further details the trends and figures surrounding home maintenance, household income, and what it means for those unable to afford the upkeep of their aging home.
According to JCHS research and AHS data, the current housing stock is the oldest ever recorded. As of 2023, the median age of the housing stock has reached 44 years, an increase from 39 years in 2013 and 28 years in 1993. A sustained period of insufficient construction during the Great Recession resulted in significantly fewer new homes being added to the inventory compared to earlier decades. Concurrently, more stringent building codes, along with advancements in construction materials and methods, have prolonged the lifespan of homes, allowing them to remain in the inventory for extended periods.
Collectively, these factors have contributed to the rising average age of the housing inventory. In 2023, approximately one in four homeowners, equating to 22 million households, resided in homes constructed prior to 1960.
Homeowners Face Age, Repair & Income Requirement Challenges
The age of a residence influences the allocation of funds for home improvement and repair. As houses age and their components and systems deteriorate due to time and usage, homeowners tend to direct their spending more towards maintenance and replacement initiatives. In 2023, maintenance represented 22% of the total remodeling and repair expenditures for homes constructed prior to 1960, in contrast to only 16% for homes built in 2010 or later. Replacement projects, including roofing, siding, windows, insulation, and HVAC systems, are often urgent and cannot be postponed, as they are crucial for ensuring safe and livable conditions.
Overall, the costs associated with replacing both exterior and interior components, systems, and equipment comprised 39% of homeowners’ expenditures on homes built before 1960, significantly higher than the 24% share for those constructed in 2010 or later. Conversely, enhancements to outdoor properties, such as fencing, landscaping, and recreational structures (like sheds and pools), constituted one-third of the total remodeling and repair investment in newer homes, which is more than three times the 10% share for homes built before 1960. Additionally, investments in room additions and external attachments, such as porches, were more prevalent in newer homes, accounting for 15% of remodeling and repair spending, compared to just 8% for older residences.
The changing priorities regarding project types are also reflected in the expenditures of homeowners as their residences age. The average spending on improvements and repairs significantly rises once homes surpass the 20-year mark, and this elevated spending continues as essential components and systems reach the end of their useful lives. In 2023, homeowners residing in properties constructed prior to 1960 allocated an average of $6,000 for improvements and maintenance, which is approximately 35% higher than the $4,500 average for homes built in 2010 or later. This trend is consistent across various income brackets, with homeowners of all income levels investing more on average in older homes compared to newer ones.
While it is essential for homes to undergo ongoing reinvestment to replace worn or damaged elements, enhance inefficient systems, and mitigate deterioration, numerous households do not possess the financial means to fulfill these requirements. Among homeowners residing in properties constructed prior to 1960, those in the highest income quintile allocated an average of $12,700 towards improvements and repairs in 2023, which is three times the $3,400 average spent by those in the lowest income quintile. Irrespective of the age of the building, homeowners with higher incomes consistently invest more in home enhancements and repairs compared to their lower-income counterparts.
In fact, lower-income homeowners living in the oldest properties expended less than higher-income homeowners in newer constructions, despite the latter being at an earlier stage in their replacement cycles and less prone to requiring significant repairs. In 2023, homeowners in the higher income bracket spent an average of $7,400 on homes built after 2010, which is more than twice the average expenditure of lower-income homeowners in properties constructed before 1960.
Older Homes of Less Value Require More Care
The failure of numerous homeowners to upkeep their aging residences has led to significant deterioration and disrepair. Older homes are considerably more likely to not meet habitability and suitability standards. In 2023, approximately 2.9 million homeowner households (3.3%) resided in units deemed by HUD as moderately or severely inadequate, exhibiting various structural deficiencies such as water leaks, substantial open cracks, and floor holes, or facing serious issues with essential features like plumbing, electrical systems, or heating. Homes constructed prior to 1960 were the most frequently classified as inadequate, with a rate of 5.4%, which is four times higher than the 1.3% rate for owner-occupied homes built in 2010 or later. Even among homes that satisfy adequacy standards, the need for repairs is prevalent.
A report from the Federal Reserve Bank of Philadelphia in 2025 estimated that 48% of owner-occupied housing built before 1940 required at least one repair in 2024, significantly higher than the 26% of homes constructed in 2000 or later. Additionally, older owner-occupied homes had a higher average estimated repair cost, amounting to $5,200 per unit, in contrast to $3,600 for newer homes. The total estimated cost to repair owner-occupied homes built before 1940 was around $23.9 billion.
Maintaining the existing older housing stock is crucial for supporting homeownership among lower-income individuals. Older residences typically have lower market values, thus constituting a significant portion of the housing options accessible to lower-income families. In 2023, 29% of homeowners within the lowest income quintile resided in homes constructed prior to 1960. For these homeowners, neglecting maintenance can be financially burdensome in multiple ways.
Over time, deferred repairs accumulate and become increasingly costly, potentially escalating into emergencies that jeopardize a household’s immediate financial security. Insufficient investment diminishes a home’s value, restricting owners’ capacity to accumulate wealth. Additionally, deterioration can expose residents to various health and safety risks, such as lead exposure, mold, fire hazards due to faulty wiring, injuries from structural weaknesses, and unsafe indoor temperatures.
Recent legislative initiatives have started to address the repair requirements of the aging housing inventory. In 2023, Pennsylvania introduced the Whole-Home Repairs Program, marking the first statewide effort to subsidize repair expenses for low-income homeowners and rental property owners. At the federal level, the 21st Century ROAD to Housing Act has established a pilot program that offers grants to income-eligible homeowners for repairs related to habitability, safety, accessibility, and weatherization.
However, current funding is insufficient compared to the overall repair needs, which for the oldest homes alone amounts to tens of billions of dollars. Bridging this gap will necessitate a sustained commitment aimed at the homeowners and properties where the demand is most critical.
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