Interior Design Services NAICS 541410

Apr 23, 2026 - US Homes Reach Record Age of 44 Years

• The aging of the US housing stock is likely to support continued remodeling and design spending. The median age of US homes has reached a record 44 years, driving up maintenance and modernization costs as aging properties require major repairs, according to Harvard researchers and The Wall Street Journal. Much of the housing stock dates to building booms in the 1920s, postwar years, and 1970s, and has not been replaced by new construction. Experts now recommend homeowners budget 2% to 3% of a home’s value annually for upkeep, rather than the traditional 1%. Aging homes also raise insurance risks, limit resale options, and increase financial strain, especially as nearly half of renovation spending now goes to essential replacements.
• A recent survey by Block, a remodeling planning tech firm, shows homeowners are approaching remodeling with caution as economic pressures reshape industry trends: 53% of respondents budget $25K or less, and 70% rely on savings, reinforcing a shift toward smaller, phased projects rather than full-home renovations. Bathrooms (47%), kitchens (39%), and flooring (35%) dominate project types, reflecting a focus on essential, functional upgrades over resale value. Cost volatility remains a key constraint: 53% of those surveyed cite rising material and labor prices, 33% report reduced budgets, and 52% of those making trade-offs plan to DIY portions of the work. Notably, 30% identify finding a trustworthy contractor as the top barrier, surpassing cost concerns, signaling increased demand for transparency and vetted professionals.

• The NAHB/Westlake Royal Remodeling Market Index (RMI) reading for the first quarter of 2026 was 62, down two points from the fourth quarter of 2025, according to an April 2026 report by the National Association of Home Builders (NAHB). Any RMI reading over 50 indicates that most remodelers feel market conditions are good. In the first quarter, the Current Conditions Index portion of the RMI fell by 1 point to 70 compared with Q4 2025. The Future Indicators Index component of the RMI declined by two points to 54. Despite a slight downward movement, the RMI remains solidly in positive territory. While remodelers continue to be challenged by passing higher costs onto customers, demand is supported by the aging of the US housing stock and the lock-in effect of high mortgage rates, which prompt many homeowners to upgrade existing homes rather than move.
• North American construction and engineering spending on residential improvements in 2026 is expected to drop 0.4% after a stable 2025, according to FMI’s second-quarter 2026 North American Engineering and Construction Outlook. Late-2025 reporting from Home Depot and Lowe’s indicates demand is shifting away from discretionary remodels toward professional-driven and essential repair activity. Aging US housing stock continues to support demand for critical systems, while rate lock-in is limiting home sales and reducing renovation activity tied to moves. Policy and cost headwinds, including the phaseout of energy-efficiency tax credits, higher borrowing costs, and tariffs on materials, are expected to weigh on demand through 2026. Longer term, improvement spending is projected to recover modestly, reaching 2% growth in 2027, 4% in 2028, 5% in 2029, and 6% in 2030.