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Remodeling Market Rises Slightly in Quarter Three10-29-26 | News
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Remodeling Market Rises Slightly in Quarter Three

Costs Continue to Challenge Firms

Remodeler confidence edged higher in the third quarter as labor shortages, material costs, and economic uncertainty continued to weigh on the industry.

Confidence among U.S. home remodelers remained relatively stable in the third quarter of 2026, according to the National Association of Home Builders (NAHB). The association's Remodeling Market Index (RMI) rose one point from the previous quarter to 62, indicating that more remodelers viewed market conditions positively than negatively.

The index measures remodelers' assessments of current business conditions and future indicators, including customer inquiries and project backlogs. Readings above 50 indicate generally positive sentiment.

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"Remodeler sentiment remained stable in the third quarter, although remodelers in certain parts of the country continue to report issues with high material costs and finding enough labor to finish projects on time," said Elliott Pike, NAHB Remodelers chair.

The Current Conditions Index averaged 70 for the third consecutive quarter. Its component measuring large remodeling projects valued at $50,000 or more increased two points to 66. The measures for moderate and small projects declined slightly but remained comfortably above the neutral threshold.

The Future Indicators Index averaged 54, up two points from the previous quarter. Both customer inquiries and project backlogs improved, suggesting that demand for remodeling services remained comparatively resilient.

NAHB Chief Economist Robert Dietz said the results were consistent with the association's outlook for remodeling activity to remain stable in 2026 and grow modestly in 2027.

https://www.nahb.org/news-and-economics/press-releases/2026/10/remodeling-market-sentiment-remains-stable-in-third-quarter-despite-headwinds

As seen in LASN magazine, November 2026.

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