Residential Remodelers NAICS 236118

Apr 20, 2026 - US Homes Reach Record Age of 44 Years

• The aging of the US housing stock is likely to support continued remodeling 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 Much of the housing stock dates to building booms in the 1920s, postwar years, and 1970s, and has not been replaced by new construction.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, and 33% report reduced budgets, while 52% of those making tradeoffs 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.
• The New York Times reports that Americans are expected to spend a record $522 billion on home renovations in 2026, driven by high mortgage rates, aging housing stock, and shifting homeowner preferences, according to the Harvard Joint Center for Housing Studies. Elevated borrowing costs are prompting many homeowners to stay in place and invest in upgrades rather than move, while multigenerational living is increasing demand for modifications. Younger homeowners are playing a growing role, with millennials spending about $14,199 per household on improvements, the highest among generations, according to Angi. In a recent survey by online renovations platform Houzz. 41% of homeowners renovate due to dissatisfaction with existing styles, reflecting a focus on personalization. Industry data indicates functional upgrades, such as exterior repairs and system replacements, often deliver the highest returns, though lifestyle-driven renovations continue to gain popularity.