Remodelers on the Rise: How Renovation is Reshaping US Residential Construction

By Natalia Siniavskaia
NAHB Eye on Housing
November 10, 2025
Category: Finance & Economics
Region: United States

As the nation’s housing stock continues to age and new homes remain out of reach for many buyers, remodeling is capturing a growing share of the residential construction market, both in terms of the number of firms and employment. …Renovation has become a more practical and cost-effective alternative to improve housing conditions, driving demand on the consumer side. …NAHB’s analysis of the quarter-century of Quarterly Census of Employment and Wages data suggests that the rise of remodelers is a sustained structural shift rather than a temporary post-pandemic surge. Over the past 25 years, the number of remodeling establishments has nearly doubled—from fewer than 69,000 in 2000 to more than 128,000 in the first quarter of 2025. Remodelers now represent over half (56%) of all residential building construction (RBC) establishments. By contrast, during the mid-2000s housing boom, remodelers’ share consistently hovered around 38–39%.

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