Residential Remodelers NAICS 236118

Dec 17, 2025 - Home Design Trends for 2026

• Home styling in 2026 is shifting from cool minimalism and tech-heavy trends toward warmth, texture, and nostalgia, according to The Wall Street Journal. Dusky blues are giving way to sunny yellows and golden tones, while analog elements like vintage phones and stereos replace “smart-everything” gadgets. Bare industrial windows are being softened with bamboo blinds, sterile tiles are yielding to hand-painted statement pieces, and all-white California minimalism is ceding to vintage glam inspired by Art Deco. Man-made materials are out as cork walls and other natural finishes rise, and stark LED fixtures are being swapped for “jewelry” lighting with glass adornments. Kitchens, once dominated by splashy stone, are embracing gleaming metals such as copper and stainless steel. The overall movement emphasizes optimism, warmth, and character, reflecting a desire for interiors that feel layered, tactile, and expressive rather than cold, sterile, or overly connected to devices.
• Remodelers may see an uptick in demand if the troubled single-family homebuilding market prompts homeowners to choose renovations over buying a new home. Home builder confidence in the single-family market increased in December but remained solidly in negative territory as builders face ongoing headwinds, including high construction costs, tariffs, and economic uncertainty, according to the National Association of Home Builders (NAHB). Home builder sentiment, as measured by the NAHB/Wells Fargo Housing Market Index (HMI), rose one point to 39 in December 2025. Any HMI reading over 50 indicates that more builders see conditions as good than poor. Builder confidence readings remained below 50 for every month in 2025 and were in the high 30s in the fourth quarter. The HMI survey also showed that 40% of builders reduced home prices in December to lure potential buyers off the sidelines, and the average price reduction was 5%, down one percentage point from November.

• Home Depot and Lowe’s faced headwinds in the third quarter as housing market weakness and economic uncertainty dampened home improvement demand, according to Retail Dive. Home Depot’s net sales rose 2.8% over Q3 2024, boosted by its $900 million acquisition of GMS, but net income fell 1.3%. Comparable sales were nearly flat. Lowe’s reported a 3% year-over-year sales increase, with gains in pro sales, home services, and online purchases, though net income fell 4.7%. Both retailers cited weaker demand for large discretionary projects and revised their outlooks downward. Each continues to target professional customers, with Home Depot acquiring GMS and Lowe’s planning to acquire Foundation Building Materials. The sector remains pressured by cautious consumers and limited housing activity.
• Amid the aging US housing stock and many households unable to afford new homes, the number of establishments and employees in the remodeling industry has grown significantly, according to analysis of US Census Bureau data by the National Association of Homebuilders (NAHB). Between 2000 and the first quarter of 2025, the number of remodeling establishments has grown from 69,000 to more than 128,000. About 56% of all residential building construction (RBC) establishments are remodelers compared to about 39% in the mid-2000s. In 2004, remodeling accounted for nearly half of all RBC employment compared to just 30% in the mid-2000s. The NAHB suggests remodeling may grow further as some smaller single-family general contractors pivot to remodeling due to lower barriers to entry, fewer regulations, and lower upfront investment requirements.