In a new feature, we break down the housing news that affects Southeast Minnesota home renovation—because most families in our region aren’t buying new houses. They’re maintaining and improving the ones they already own. Recent updates from NAHB and ProBuilder highlight why renovation continues to lead the way in Rochester and our surrounding small towns.
Here’s what’s shaping exterior home decisions across the region this week.
This week, the NAHB’s latest economic update reports that the Federal Reserve lowered the federal funds rate to 4%. A December cut is possible, but not guaranteed, with inflation still hovering around 3%.
Every small drop in borrowing costs helps homeowners move forward with exterior renovation projects like:
Roof replacements in Oronoco or Kasson
New windows in Stewartville or St. Charles
Siding upgrades in Plainview or Pine Island
Gutter systems that can actually handle our storms
Financing becomes easier when rates ease—even a little.
Source: NAHB Newsletter
A ProBuilder report released November 4th shows the median first-time buyer is now 40—the oldest ever recorded. First-time buyers make up just 21% of the market, and one in four home purchases last year were made with all cash.
Because of the fact that fewer people are buying and more people stay put, renovation becomes the practical choice.
Additionally, when new homeowners do buy, they often arrive with less cash for immediate exterior needs like:
A roof near the end of its life
Drafty windows
Siding damaged by age or storms
For many, financing becomes the key to getting these essentials handled right away.
Source:
ProBuilder — First-Time Buyers Edged Out of the Market
https://www.probuilder.com/print/content/55327974
A November 13th ProBuilder article reports that rural and near-rural counties gained more than 430,000 residents from 2021 to 2024 due to remote work. Specifically, growth has slowed, but it remains steady in metro-adjacent areas like those surrounding Rochester.
Of course, Southeast Minnesota is full of these “near-rural” communities—Byron, Kasson, Dover, Eyota, Oronoco, Mantorville.
Many older homes in these towns are being purchased by new residents, and these homes typically need exterior updates first:
Aging asphalt roofs
Old wood or aluminum windows
Siding that’s faded, warped, or storm-damaged
Gutters undersized for heavy modern rainfalls
This keeps Southeast Minnesota home renovation demand consistent and predictable.
Source:
ProBuilder — Rural Housing Market Migration
https://www.probuilder.com/business-management/market-data-trends/news/55330087/how-has-post-pandemic-migration-impacted-rural-housing-markets
