The home improvement market is massive, and it is not slowing down. Americans love DIY projects, and the endless stream of inspiration from Instagram, TikTok, and YouTube fuels that fire.
We dug into the latest home improvement statistics, facts, and trends to uncover the reality behind our national obsession with renovation.
Key Takeaways
- Aging inventory: Over 80 percent of U.S. homes are at least 20 years old, driving a consistent need for repairs and updates.
- Digital influence: Nearly 50 percent of DIYers start a project after seeing it on social media platforms like TikTok or Pinterest.
- Market dominance: Home Depot and Lowe’s combined control roughly a quarter of the global DIY market share.
- Spending shifts: High interest rates are causing more homeowners to remodel their current space rather than move to a new one.
Top 10 Home Improvement Industry Statistics
There are plenty of numbers to crunch, but we curated a list of the most impactful facts you need to know right now.
- Thirty-eight percent of U.S. homes were built prior to 1970.
- Online searches for home remodeling projects have sustained high volumes since doubling in 2020.
- Homeowners have gained record amounts of equity, fueling renovation budgets despite inflation.
- Home Depot generates annual revenue exceeding $150 billion.
- The construction industry sees over 1,000 fatal injuries annually in the U.S.
- Millennials are now the leading demographic for home improvement spending.
- Smart home technology integration is a top priority for 46 percent of renovators.
- Paint remains the most popular DIY purchase, with billions of gallons sold globally each year.
- Outdoor living spaces have transitioned from a trend to a standard requirement for buyers.
- The U.S. home improvement market is projected to exceed $600 billion by 2025.
Home Renovation Statistics
Renovations are expensive DIY projects, but they are also deeply satisfying. Here is a breakdown of the current landscape.
1. The Aging Housing Stock
Age is just a number, but for houses, it implies maintenance. Over 80 percent of U.S. homes are older than 20 years, and half were built before 1980.
This means a massive portion of American housing stock needs serious TLC. With 38 percent of homes built before 1970, millions of properties require updates to electrical systems, plumbing, and insulation just to meet modern standards (1).
2. The Kitchen Remains King
The kitchen is the heart of the home and the wallet. It consistently ranks as the most popular room to renovate. Data shows that kitchen remodels command the highest engagement and budget allocation.
While kitchens lead the pack, bathrooms are a close second. Upgrading these two rooms offers the highest satisfaction rates for homeowners, even if the financial return on investment varies.
3. The Social Media Effect
Social media isn’t just for entertainment; it is a major economic driver for this industry. Home remodeling searches skyrocketed during the pandemic and haven’t dropped off. Platforms like Pinterest and TikTok act as the new “catalog,” prompting users to tackle projects they otherwise wouldn’t touch (2).
4. Small Projects Add Up
You don’t need to knock down walls to make an impact. The U.S. Census Bureau notes that a significant chunk of renovations falls into the $5,000 to $15,000 range. This “cosmetic tier” includes flooring, painting, and fixture updates, which kept the industry afloat when major construction stalled during supply chain shortages.
5. Seasonality Matters
Spring remains the prime time for renovations. Experts note a massive spike in activity between March and May as homeowners prep for summer. However, winter is gaining traction for indoor projects like basement finishing or bathroom updates when contractors are less busy.
6. Generational Shifts
Baby Boomers have historically held the cash, but Millennials are taking over the hammer. While older generations still spend significantly because they own more homes, Millennials and Gen Z are driving the volume of smaller, aesthetic projects.
Millennials are also more likely to attempt DIY to save money, whereas Boomers are more inclined to hire professionals (“Do It For Me” or DIFM).
7. Married vs. Single
Married couples undertake more renovation projects than single individuals. This is largely economic; dual-income households generally have more buying power and are more likely to own a detached single-family home compared to single renters or owners of smaller condos.
8. ROI vs. Necessity
There are five unglamorous projects that help lower home insurance premiums: roof replacement, smoke sensor installation, gas line updates, heating/electric upgrades, and generator installation (3).
These don’t look as good on Instagram as a new backsplash, but they protect your investment.
9. The “Lock-In” Effect
With mortgage rates rising recently, many homeowners are “locked in” to their low rates. They can’t afford to move, so they are choosing to improve. This has shifted spending from “staging for sale” to “renovating for long-term living,” benefiting contractors and hardware stores alike.
Home Improvement Industry Facts
The market is shifting. Let’s look at the titans controlling the industry and the money flowing through them.
10. The Power of Home Depot
Home Depot is an absolute juggernaut. As the largest home improvement retailer in the U.S., it generates annual revenues exceeding $150 billion. They have successfully blended the digital and physical worlds, allowing pros and DIYers to shop seamlessly (4).
11. Material Costs
Lumber and material costs have been a rollercoaster. In 2019, lumber yards made $137.7 billion. During the pandemic, prices spiked to record highs before stabilizing. This volatility fundamentally changed how contractors bid on jobs, with many now including escalation clauses in contracts (5).
12. Hardware Store Resilience
Local hardware stores are still fighting the good fight. While big-box retailers dominate, smaller hardware stores generate over $63 billion annually. When you combine Ace, Lowe’s, and Home Depot, the U.S. hardware market is a quarter-trillion-dollar machine (6).
13. The Duopoly
Home Depot and Lowe’s are the Coca-Cola and Pepsi of home improvement. Together, they account for roughly 25 percent of the entire global DIY market. Their supply chains dictate the availability of goods for millions of people.
14. Construction Safety
Construction is inherently dangerous. The U.S. Department of Labor reports over 1,000 fatal injuries in the industry annually. The “Fatal Four” causes are falls, struck-by objects, electrocutions, and caught-in/between hazards (7).
15. The Smart Home Revolution
The Internet of Things (IoT) isn’t coming; it’s here. Smart thermostats, security cameras, and locks are now standard expectations for buyers. The global smart home market is projecting massive growth, with security devices leading the charge (8).
16. Customer Satisfaction Leaders
Ace Hardware frequently tops the charts for customer satisfaction. Their “helpful hardware folks” branding works. In various industry surveys, they consistently beat out the big-box giants when it comes to service and personalized advice (9).
17. The YouTube University
If you don’t know how to fix it, you YouTube it. Nearly 47 percent of people start a DIY task after watching a vlog or tutorial. This content consumption drives tool sales, as influencers recommend specific brands to millions of viewers.
18. Green Building
Sustainability is profitable. Over 60 percent of DIY enthusiasts express a willingness to pay more for eco-friendly materials. This includes low-VOC paints, sustainable timber, and energy-efficient fixtures.
DIY Home Improvement Facts
Who is doing the work, and what are they buying?
19. Outpacing Retail
Home improvement spending often grows faster than the broader retail sector. When travel or dining slows down during economic uncertainty, people tend to invest in their immediate surroundings (source).
20. Cash is King
Despite low interest rates in the past, a surprising number of homeowners pay cash.
Take Note
Nearly 40 percent of homeowners admit to paying for their projects in cash rather than using financing or credit cards.
21. Improvement Over Value
Why do we renovate? It isn’t always about resale value. Thirty-six percent of households take on projects simply to improve their quality of life. Only 12 percent explicitly stated they did the work solely to increase the home’s market value.
22. Global Leaders
The U.S. and Europe dominate the scene. The U.S., U.K., Japan, Germany, France, Australia, Canada, and Italy represent over 80 percent of the global DIY market.
23. Market Valuations
The global home improvement market is marching toward the $1 trillion mark. Growth predictions remain steady at over 4 percent annually through 2027 (10).
Interesting Fact
Eighty-six percent of global DIY revenue is generated by just 16 percent of the world’s population.
24. A Lot of Paint
Paint is the entry drug for DIYers. In 2019 alone, nearly 10 billion gallons were sold globally. It is the cheapest, easiest way to transform a room, which keeps sales volume incredibly high (11).
25. Planned Projects
Painting tops the “to-do” list. Over 50 percent of homeowners plan to paint in the next year. Bathroom refreshes are also high on the agenda for about a third of Americans.
26. The Tool Boom
The power tool market is exploding. Since the pandemic, 40 percent of people picked up a new hobby involving tools. This shift created a surge in sales for cordless drills, saws, and sanders.
Emerging Home Improvement Trends
What does the future look like? Here is where the industry is heading.
27. Urbanization and Costs
Renovation spending is surging in major hubs like Austin and Phoenix. As cities densify and housing prices rise, homeowners in these metros are forced to spend more to update existing structures rather than buying new builds (12).
28. The Rental Grade
Landlords are spending big. With the rental market heating up, property owners are upgrading stocks with durable, mid-range finishes to attract tenants. This sector is a quiet but massive driver of hardware sales.
29. Project Volume
Homeowners are tackling more projects per year. The average has crept up from roughly 2.7 projects per household to nearly 4 projects annually. Once you start fixing things, it is hard to stop.
30. Outdoor Living
The backyard is no longer an afterthought; it is an extension of the living room. Over 57 percent of homeowners are investing in outdoor structures, decks, and patios. This trend cemented itself during lockdowns and has become a standard expectation for homebuyers.
31. Aging in Place
A massive trend is “aging in place.” Older homeowners are retrofitting their houses with grab bars, wider doorways, and walk-in showers so they can stay in their homes longer rather than moving to assisted living facilities.
32. Contractor Growth
The number of remodeling businesses is rising. There are nearly 500,000 remodeling companies in the U.S. right now. Despite labor shortages, entrepreneurs are entering the market to meet the demand.
33. Resilience
The industry is resilient. It survived the 2008 crash and thrived during the 2020 pandemic. Forecasts suggest the U.S. market alone will top $620 billion by 2025.
Average Cost Per Home Improvement Project
Budgeting is the hardest part of any remodel. Here is a quick look at average costs for common projects.
| Project Type | Average Cost |
| Low-end kitchen remodel | $22,000 |
| Mid-price kitchen remodel | $64,000 |
| High-end kitchen remodel | $126,000 |
| Bathroom remodel (mid to high) | $20,000 to $63,000 |
| Interior painting | $3,200 |
| Replacement floor | $18,500 |
| Attic finish (w/ bathroom) | $47,000 |
| Basement finish (w/ bathroom) | $57,000 |
| Wood window replacement | $19,500 |
| Vinyl window replacement | $16,000 |
| Roof replacement | $23,000 |
FAQs
Is It Better to Fix Up a House or Buy a New One?
It depends on your goals and the current housing market. Financially, renovating is often cheaper than the closing costs and moving fees associated with buying a new home. However, if you need significantly more square footage or a different school district, moving is usually the better option.
How Often Do Americans Remodel Their Homes?
Most Americans tackle a significant remodeling project every three to five years. Roughly 40 percent of homeowners state they intend to start a renovation within the next 24 months.
What Is the Best Month to Renovate a House?
January through March is often the best time to renovate interiors because contractors are less busy and may offer lower rates. For exterior work, late spring (April to May) is ideal to beat the summer heat and autumn rush.
What Home Improvements Add the Most Value to a House?
Kitchen and bathroom remodels generally offer high returns, but unsexy projects often recoup the most money at resale. Garage door replacements, manufactured stone veneer siding, and wood deck additions consistently rank highest for Return on Investment (ROI).
How Many Home Improvement Contractors Are in the US?
There are over 500,000 remodeling businesses in the United States. However, the total number of general contractors and specialty trade contractors is significantly higher, numbering in the millions.
What Is the Future of the Home Improvement Industry?
The future is digital and green. We expect to see a surge in energy-efficient upgrades (solar, heat pumps) and smart home integration. Augmented Reality (AR) tools that let homeowners visualize changes before buying will also become standard.
Final Thoughts
There you have it, the essential guide to home improvement statistics and trends. The numbers prove that our desire to build, fix, and upgrade isn’t going anywhere. Whether you are a weekend DIY warrior or a homeowner planning a massive remodel, the industry is growing to meet your needs.
