In 2023, U.S. homeowners spent an average of $15,000 on improvements, yet the pressure to remodel looks even stronger now with 68% planning projects within the next two years. Kitchens led the wave with 35% of all renovations in 2023, while a residential remodeling labor shortage left 382,000 jobs unfilled. The mix of rising costs, generational spending swings, and tight capacity helps explain why kitchen and bath timelines can feel so unpredictable.
Key Takeaways
- 54% of U.S. homeowners undertook home improvement projects in 2023, average spend $15,000.
- Millennials (ages 28-43) spent average $22,500 on renovations in 2023, highest among generations.
- 68% of U.S. homeowners plan to renovate within next 2 years, budgeting $10,000-$50,000.
- U.S. remodeling industry employs 3.6 million workers as of 2023.
- 650,000 professional remodeling firms operate in U.S., 90% small businesses under 5 employees.
- Remodeler revenue averaged $1.2 million per firm in 2023.
- The U.S. home improvement and repairs market reached $474 billion in spending in 2022, marking a 4% increase from 2021.
- Global home renovation market size was valued at $1.05 trillion in 2023 and is expected to grow at a CAGR of 5.2% from 2024 to 2032.
- U.S. residential remodeling expenditures totaled $455 billion in 2023, down 2.4% from 2022 peak.
- U.S. kitchen remodels most popular project, 35% of all renovations in 2023.
- Bathroom renovations accounted for 28% of projects, average duration 4 weeks.
- 45% of homeowners added home offices, with built-ins in 60% of cases.
- 28% of U.S. homeowners in suburbs renovated in 2023 vs. 22% urban.
- Northeast U.S. avg reno spend $20,500 highest regionally.
- California home reno market $85B, 18% national share.
With renovations booming, homeowners are spending more, but labor shortages and rising kitchen costs are reshaping projects.
Related reading
01 · Category
Consumer Spending And Trends27 stats
01
54% of U.S. homeowners undertook home improvement projects in 2023, average spend $15,000.
02
Millennials (ages 28-43) spent average $22,500on renovations in 2023, highest among generations.
03
68% of U.S. homeowners plan to renovate within next 2 years, budgeting $10,000-$50,000.
04
Average U.S. kitchen remodel cost $30,000in 2024, up 5% from 2023.
05
42% of renovation spending in 2023 was on discretionary upgrades vs. maintenance.
06
Gen Z homeowners average renovation spend $12,000annually, focusing on personalization.
07
75% of U.S. homeowners financed renovations with savings or cash in 2023.
08
Average bathroom remodel cost in U.S. $25,000in 2024, with 60% ROI.
09
31% of homeowners increased renovation budgets due to remote work needs in 2023.
10
Boomers (55+) average $18,000spend on home improvements yearly.
11
49% of U.S. renters also spent on home improvements averaging $5,000 in 2023.
12
Energy-efficient upgrades saw 25% spending increase to $60 billion in U.S. 2023.
13
Average U.S. homeowner spent 2.5% of home value on renovations in 2023.
14
62% of high-income households ($100k+) spent over $20,000 on 2023 projects.
15
Outdoor living space investments averaged $15,000per project in 2023.
16
38% of renovations delayed due to inflation, average budget overrun 15%.
17
Smart home tech integration cost average $5,500per home in 2023 spends.
18
Women-led purchasing decisions in 55% of U.S. renovation projects, avg spend higher.
19
Multi-generational households spent 30% more on accessibility mods $25,000 avg.
20
47% of urban homeowners spent on cosmetic updates averaging $8,000 in 2023.
21
Home office remodels averaged $12,500spend post-pandemic in 2023.
22
66% of renovators used credit cards for small projects under $5,000.
23
Luxury renovation spends topped $100,000for 12% of affluent households.
24
Sustainable materials premium added 20% to average project costs $6,000 extra.
25
52% of Baby Boomers refinanced for renovations, average loan $50,000.
26
First-time buyers spent 18% more on updates $16,000 avg in first year.
27
Pandemic backlogs led to 22% higher spends on deferred maintenance $10,000 avg.
Interpretation
Consumer Spending And Trends Interpretation
With 68% of homeowners planning renovations in the next two years and budgets commonly landing between $10,000 and $50,000, consumer spending is clearly shifting toward larger, more discretionary projects, including a 2024 kitchen remodel average of $30,000 that is up 5% from 2023.
02 · Category
Industry Players And Employment29 stats
01
U.S. remodeling industry employs 3.6 million workers as of 2023.
02
650,000 professional remodeling firms operate in U.S., 90% small businesses under 5 employees.
03
Remodeler revenue averaged $1.2 million per firm in 2023.
04
Construction labor shortage: 382,000 unfilled jobs in residential remodeling 2023.
05
Top 200 remodelers generated $15 billion combined revenue 2023.
06
Carpenter wages averaged $28/hour in remodeling sector 2023.
07
78% of remodelers report hiring difficulties for skilled trades.
08
Home Depot and Lowe's capture 25% of $925B retail market.
09
Supplier inventories up 15% to meet remodeling demand 2023.
10
42% of remodelers use software for project management.
11
Insurance costs rose 20% for remodelers in 2023.
12
Franchise remodelers grew 12% to 1,200 locations.
13
Electrician demand up 25% in reno projects.
14
Plumber average hourly rate $45in remodeling.
15
55% of firms family-owned, multi-generational.
16
Material costs 40% of project budgets for contractors.
17
Marketing spend avg 5% of revenue for remodelers.
18
Women-owned remodeling firms up 18% to 15% market share.
19
Subcontractor usage 85% of projects over $50k.
20
Profit margins averaged 12.5% for remodelers 2023.
21
Painter/Decker wages $22/hour avg.
22
Tech adoption: 60% use CRM for leads.
23
Licensing compliance issues in 22% small firms.
24
Largest remodeler: Case Design/Remodeling $250M revenue.
25
Apprenticeship programs trained 50,000 new workers 2023.
26
Vendor partnerships key for 70% supply chain stability.
27
HVAC contractor firms 120,000 nationwide.
28
Bid win rate avg 35% for competitive projects.
29
Safety incidents down 10% with OSHA training.
Interpretation
Industry Players And Employment Interpretation
As of 2023 the U.S. remodeling industry employs 3.6 million workers across 650,000 firms, yet it still faces a shortage of 382,000 unfilled residential remodeling jobs, highlighting how the industry’s heavily small business workforce is strained despite strong firm revenues.
03 · Category
Market Size And Growth30 stats
01
The U.S. home improvement and repairs market reached $474 billion in spending in 2022, marking a 4% increase from 2021.
02
Global home renovation market size was valued at $1.05 trillion in 2023 and is expected to grow at a CAGR of 5.2% from 2024 to 2032.
03
U.S. residential remodeling expenditures totaled $455 billion in 2023, down 2.4% from 2022 peak.
04
The European home renovation market is projected to reach €1.2 trillion by 2030, driven by energy efficiency mandates.
05
In 2023, the Asia-Pacific home renovation sector grew by 7.1% YoY, reaching $450 billion.
06
U.S. home improvement retail sales hit $925 billion in 2023, up 1.5% from prior year.
07
Canadian home renovation spending was CAD 72.5 billion in 2023, with 6% growth forecast for 2024.
08
UK home improvement market valued at £38 billion in 2023, expected to grow 4.8% annually to 2028.
09
Australian residential renovation market size was AUD 45 billion in FY2023, up 3.2%.
10
In 2024, U.S. remodeling market projected at $480 billion, recovering from 2023 slowdown.
11
Global smart home renovation segment within market expected to grow from $25B in 2023 to $85B by 2030 at 19% CAGR.
12
Brazil home renovation market expanded 8.5% in 2023 to BRL 120 billion.
13
Indian home renovation industry valued at INR 2.5 lakh crore in FY2023, CAGR 12% projected to 2028.
14
French home renovation turnover reached €45 billion in 2023, boosted by green incentives.
15
U.S. DIY home improvement market segment was $109 billion in 2023.
16
Mexico's home remodeling market grew 5.3% YoY to $35 billion USD equivalent in 2023.
17
South Korea home renovation spending hit KRW 50 trillion in 2023, up 4.7%.
18
Germany's renovation market at €92 billion in 2023, with 3% growth expected in 2024.
19
U.S. professional remodeling services accounted for 78% of $474B market in 2022.
20
China home decoration and renovation market size $650 billion in 2023, CAGR 6.5% to 2028.
21
Italy's home renovation sector generated €40 billion in 2023, driven by superbonus incentives.
22
U.S. market forecast: remodeling spending to hit $524 billion by 2026.
23
Spain home improvement market €25 billion in 2023, growth 4.1%.
24
Turkey renovation market reached TRY 300 billion in 2023, up 15% due to inflation.
25
Netherlands home renovation spending €18 billion in 2023, projected 5% CAGR to 2030.
26
U.S. home improvement e-commerce sales $120 billion in 2023, 13% of total.
27
Sweden renovation market SEK 150 billion in 2023, green renovations 40% share.
28
U.S. aging-in-place renovations segment $40 billion in 2023.
29
Poland home renovation industry PLN 100 billion in 2023, 7% growth.
30
U.S. 2024 remodeling market outlook: $485 billion with 1.1% growth.
Interpretation
Market Size And Growth Interpretation
The market is clearly expanding, with the global home renovation sector reaching $1.05 trillion in 2023 and projected to grow at a 5.2% CAGR through 2032, while the U.S. home improvement and repairs market climbed to $474 billion in 2022 despite uneven remodeling spending.
More related reading
04 · Category
Popular Renovation Projects28 stats
01
U.S. kitchen remodels most popular project, 35% of all renovations in 2023.
02
Bathroom renovations accounted for 28% of projects, average duration 4 weeks.
03
45% of homeowners added home offices, with built-ins in 60% of cases.
04
Curb appeal projects like siding/landscaping in 32% of 2023 renovations.
05
Aging-in-place mods (ramps, widened doors) up 40% since 2020.
06
Outdoor kitchens installed in 22% of backyard renos, cost avg $40k.
07
Basement finishing projects surged 25%, adding 500 sq ft avg.
08
Smart home integrations in 48% of electrical upgrades.
09
Roof replacements top maintenance project at 18% of spends.
10
Deck/patio additions in 29% of homes, using composite materials 55%.
11
HVAC system upgrades for efficiency in 35% of mechanical renos.
12
Window replacements doubled efficiency claims in 42% projects.
13
Closet organization systems in 26% of interior renos.
14
Laundry room upgrades popular in 19%, adding washers/dryers.
15
Garage conversions to ADUs in 15% of urban projects.
16
Flooring updates (LVP) in 51% of projects, replacing carpet.
17
Painting interior/exterior in 67% as starter projects.
18
Solar panel installations up 30% in rooftop renos.
19
Fireplace upgrades to electric/gas in 12% living room renos.
20
Mudroom additions in 24% entryway projects for families.
21
Crown molding/millwork in 33% cosmetic interior updates.
22
Pool installations rare but up 18% in luxury homes.
23
Attic conversions to bedrooms in 11% space expansion projects.
24
Hardscape landscaping (patios) in 37% yard renos.
25
Cabinet refacing over full replacement in 55% kitchen jobs.
26
Soundproofing added to 16% of home theater renos.
27
EV charger installations in 28% garage upgrades.
28
Wallpaper returns in 21% accent wall projects.
Interpretation
Popular Renovation Projects Interpretation
In the Popular Renovation Projects category, kitchen remodels lead at 35% of 2023 renovations while nearly 40% growth since 2020 in aging in place upgrades shows homeowners are pairing high-impact upgrades with longer-term needs.
05 · Category
Regional And Demographic Insights28 stats
01
28% of U.S. homeowners in suburbs renovated in 2023 vs. 22% urban.
02
Northeast U.S. avg reno spend $20,500highest regionally.
03
California home reno market $85B, 18% national share.
04
Florida leads in pool/ outdoor renos 35% of projects.
05
Rural areas saw 15% reno growth vs. 8% urban 2023.
06
Texas avg kitchen reno $35k due to larger homes.
07
Midwest 40% focus on energy efficiency upgrades.
08
New York City reno permits up 12%, avg cost $50k.
09
Sunbelt states 55% of national ADU additions.
10
Households with children under 18 renovate 2x more often.
11
Hispanic homeowners reno spend up 28% YoY.
12
Age 35-54 demo highest reno activity 62% participation.
13
Pacific Northwest leads green renos 45% adoption.
14
Low-income households (<$50k) 25% maintenance-only renos.
15
Mountain West avg deck additions 40% higher.
16
Asian American homeowners invest 30% more in kitchens.
17
Southeast U.S. hurricane-proofing renos up 50%.
18
Empty nesters (65+) 35% basement conversions.
19
Chicago metro reno spend $12B annually.
20
Single women homeowners reno 18% more than men.
21
Plains states farmhome renos focus barns 22%.
22
High-density urban (e.g. Boston) 60% small-space hacks.
23
Black homeowners prioritize equity-building renos 48%.
24
Alaska/Hawaii high material costs 40% above avg.
25
College-educated households reno 1.5x frequency.
26
Gulf Coast flood-resistant flooring 65% renos.
27
LGBTQ+ homeowners customize 25% more boldly.
28
Northeast winters drive 50% insulation upgrades.
Interpretation
Regional And Demographic Insights Interpretation
Regional differences are shaping renovation demand in 2023, with suburbs leading at 28% renovated compared to 22% urban and rural areas growing faster at 15% versus 8% urban, while spend and style preferences also diverge across states like California’s $85B market and Florida’s 35% of pool and outdoor renos.
report visual · Breakdown
Renovation Intent & Financing (U.S.)
Most homeowners are planning or financing renovations—suggesting strong near-term demand and cash-driven project behavior.
68%
68% of U.S. homeowners plan to renovate within next 2 years, budgeting $10,000-$50,000.
32%
Curb appeal projects like siding/landscaping in 32% of 2023 renovations.
Reference
Cite This Report
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APA
Aisha Okonkwo. (2026, February 13). Home Renovation Industry Statistics. Gitnux. https://gitnux.org/home-renovation-industry-statistics
MLA
Aisha Okonkwo. "Home Renovation Industry Statistics." Gitnux, 13 Feb 2026, https://gitnux.org/home-renovation-industry-statistics.
Chicago
Aisha Okonkwo. 2026. "Home Renovation Industry Statistics." Gitnux. https://gitnux.org/home-renovation-industry-statistics.
Sources & references
85 datasets cited across this report · attribution is report-level