by Calculated Risk on 8/05/2008 10:37:00 AM

The Bureau of Economic Analysis released the underlying detail tables to the Q2 GDP report this morning. These estimates suggest that home improvement investment is still holding up pretty well.

Click on graph for larger image in new window.

The first graph shows home improvement investment in real 2000 dollars.

Unlike during the housing slumps of the early '80s and early '90s, home improvement has not declined significantly during this housing bust.

This suggests there could be more downside for home improvement, especially with homeowners less able to borrow against their homes.

The second graph shows investment in single family structures and home improvement as a percent of GDP.

Historically, the booms and busts in single family structure investment have been more pronounced than for home improvement. Note the different scales for single family structures and home improvement.

Still, home improvement investment is well above the normal range, as a percent of GDP, and investment could easily fall to 1.0% or less of GDP.