GITNUXREPORT 2025

Hr In The Home Improvement Industry Statistics

Home improvement industry grows steadily with digital tools, sustainability, and skilled labor challenges.

Jannik Lindner

Jannik Linder

Co-Founder of Gitnux, specialized in content and tech since 2016.

First published: April 29, 2025

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Key Statistics

Statistic 1

Over 70% of homeowners plan to undertake a home improvement project within the next year

Statistic 2

The percentage of DIY home improvement projects increased by 15% during the COVID-19 pandemic

Statistic 3

80% of homeowners read online reviews before hiring a contractor

Statistic 4

The most common home improvement project in 2023 was bathroom remodeling, accounting for 25% of projects

Statistic 5

Energy-efficient upgrades accounted for 40% of all home improvement projects in 2023

Statistic 6

85% of homeowners prefer to hire local contractors for improvement projects

Statistic 7

Approximately 30% of home improvement projects are funded through personal savings

Statistic 8

55% of homeowners read online blogs and tutorials before starting a DIY project

Statistic 9

40% of home improvement contractors rely heavily on social media marketing

Statistic 10

Over 50% of homeowners plan to increase their renovation budgets in the next 12 months

Statistic 11

45% of clients prefer virtual consultations over in-person meetings

Statistic 12

The average homeowner's satisfaction rate with completed home improvement projects is 85%

Statistic 13

Approximately 65% of home improvement projects involve some form of financing or loans

Statistic 14

The top three channels for acquiring new home improvement clients are referrals (45%), online search (35%), and social media (20%)

Statistic 15

The average home improvement company has a customer retention rate of 65%

Statistic 16

40% of homeowners are willing to pay a premium for eco-friendly renovations

Statistic 17

The most common financing methods for home improvement projects include home equity loans (50%) and personal savings (30%)

Statistic 18

The average age of a homeowner undertaking their first major renovation is 44 years old

Statistic 19

42% of home improvement projects are initiated via mobile devices

Statistic 20

Homeowners aged 55 and above are increasingly the target market for modifications like senior-friendly renovations, representing 20% of total projects

Statistic 21

Approximately 80% of homeowners read online reviews before selecting a contractor

Statistic 22

65% of home improvement contractors use digital tools for project management

Statistic 23

The biggest challenge for digital marketing in the industry is generating qualified leads, cited by 65% of contractors

Statistic 24

Increasingly, contractors are adopting CRM systems, with 68% using them to manage client relationships

Statistic 25

70% of contractors use project management software for scheduling, budgeting, and communication

Statistic 26

Less than 10% of home improvement contractors currently utilize AI-driven tools for project estimation

Statistic 27

The typical project management software saves contractors approximately 6 hours per week in administrative tasks

Statistic 28

The home improvement industry in the U.S. was valued at approximately $486 billion in 2023

Statistic 29

Millennials represent 35% of the home improvement market

Statistic 30

The use of augmented reality (AR) in home improvement apps increased by 50% in 2023

Statistic 31

The average lead time for marketing responses in the home improvement industry is 24 hours

Statistic 32

The use of eco-friendly materials in home improvement projects increased by 25% in 2023

Statistic 33

Smart home technology is incorporated in approximately 45% of recent home renovation projects

Statistic 34

The average profit margin for home improvement contractors is approximately 20%

Statistic 35

The average conversion rate for online home improvement lead forms is 8%

Statistic 36

Seasonal fluctuations affect 75% of home improvement businesses, with peaks in spring and summer

Statistic 37

The demand for kitchen remodeling increased by 20% in 2023 compared to the previous year

Statistic 38

The average cost per lead for digital advertising in home improvement is approximately $65

Statistic 39

The home improvement industry is expected to grow at a CAGR of 4.3% through 2028

Statistic 40

The industry has seen a 12% increase in female-led home improvement businesses over the last five years

Statistic 41

Commercial and residential home improvement segments are both experiencing growth, with commercial at a CAGR of 3.8%

Statistic 42

55% of contractors report an increase in project backlog over the last year, indicating a robust pipeline of work

Statistic 43

The industry’s adoption of green and sustainable practices has increased by 30% since 2020

Statistic 44

The most requested home improvement services in 2023 included roofing, kitchen remodels, and bathroom renovations

Statistic 45

The industry’s CAGR is expected to outpace overall construction at 4.3% versus 3.7%, respectively, through 2028

Statistic 46

The average spent per home improvement project is $4,000

Statistic 47

The average duration of a typical home improvement project is 6 to 8 weeks

Statistic 48

The typical initial client consultation lasts about 45 minutes

Statistic 49

The average spend on roofing replacements in 2023 was $8,000

Statistic 50

The total value of the kitchen and bathroom remodeling market in 2023 was approximately $85 billion

Statistic 51

The average project cost for custom additions is over $60,000

Statistic 52

The average age of a home improvement contractor is 45 years old

Statistic 53

The overall employment in the home improvement industry reached approximately 2.5 million workers in 2023

Statistic 54

60% of home improvement contractors report challenges in finding skilled labor

Statistic 55

Women represent approximately 20% of the professional home improvement contractors

Statistic 56

30% of home improvement firms report difficulties in managing project delays

Statistic 57

About 25% of home improvement companies are members of industry associations for networking and advocacy

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Key Highlights

  • The home improvement industry in the U.S. was valued at approximately $486 billion in 2023
  • Over 70% of homeowners plan to undertake a home improvement project within the next year
  • The average spent per home improvement project is $4,000
  • 65% of home improvement contractors use digital tools for project management
  • Millennials represent 35% of the home improvement market
  • The percentage of DIY home improvement projects increased by 15% during the COVID-19 pandemic
  • The average age of a home improvement contractor is 45 years old
  • 80% of homeowners read online reviews before hiring a contractor
  • The use of augmented reality (AR) in home improvement apps increased by 50% in 2023
  • The most common home improvement project in 2023 was bathroom remodeling, accounting for 25% of projects
  • The overall employment in the home improvement industry reached approximately 2.5 million workers in 2023
  • 60% of home improvement contractors report challenges in finding skilled labor
  • The average duration of a typical home improvement project is 6 to 8 weeks

With the U.S. home improvement industry soaring to an estimated $486 billion in 2023 and over 70% of homeowners planning projects within the next year, it’s clear that human resources—particularly skilled labor—are at the heart of this booming sector.

Consumer Behavior and Preferences

  • Over 70% of homeowners plan to undertake a home improvement project within the next year
  • The percentage of DIY home improvement projects increased by 15% during the COVID-19 pandemic
  • 80% of homeowners read online reviews before hiring a contractor
  • The most common home improvement project in 2023 was bathroom remodeling, accounting for 25% of projects
  • Energy-efficient upgrades accounted for 40% of all home improvement projects in 2023
  • 85% of homeowners prefer to hire local contractors for improvement projects
  • Approximately 30% of home improvement projects are funded through personal savings
  • 55% of homeowners read online blogs and tutorials before starting a DIY project
  • 40% of home improvement contractors rely heavily on social media marketing
  • Over 50% of homeowners plan to increase their renovation budgets in the next 12 months
  • 45% of clients prefer virtual consultations over in-person meetings
  • The average homeowner's satisfaction rate with completed home improvement projects is 85%
  • Approximately 65% of home improvement projects involve some form of financing or loans
  • The top three channels for acquiring new home improvement clients are referrals (45%), online search (35%), and social media (20%)
  • The average home improvement company has a customer retention rate of 65%
  • 40% of homeowners are willing to pay a premium for eco-friendly renovations
  • The most common financing methods for home improvement projects include home equity loans (50%) and personal savings (30%)
  • The average age of a homeowner undertaking their first major renovation is 44 years old
  • 42% of home improvement projects are initiated via mobile devices
  • Homeowners aged 55 and above are increasingly the target market for modifications like senior-friendly renovations, representing 20% of total projects
  • Approximately 80% of homeowners read online reviews before selecting a contractor

Consumer Behavior and Preferences Interpretation

With over 70% of homeowners planning renovations within a year and 85% satisfied with their projects, it's clear that today's home improvement market is fueled by a blend of digital savvy, eco-conscious priorities, and a preference for local, informed choices—proof positive that in the race to upgrade, online reviews, virtual consultations, and green upgrades are the winning front-runners.

Digital Adoption and Technology

  • 65% of home improvement contractors use digital tools for project management
  • The biggest challenge for digital marketing in the industry is generating qualified leads, cited by 65% of contractors
  • Increasingly, contractors are adopting CRM systems, with 68% using them to manage client relationships
  • 70% of contractors use project management software for scheduling, budgeting, and communication
  • Less than 10% of home improvement contractors currently utilize AI-driven tools for project estimation
  • The typical project management software saves contractors approximately 6 hours per week in administrative tasks

Digital Adoption and Technology Interpretation

While the home improvement industry embraces digital tools for project management and client relations—saving time and boosting efficiency—the underutilization of AI for estimations signals a cautionary tale: without harnessing intelligent automation to generate qualified leads and refine estimating processes, contractors risk falling behind in a tech-driven market.

Market Trends and Industry Growth

  • The home improvement industry in the U.S. was valued at approximately $486 billion in 2023
  • Millennials represent 35% of the home improvement market
  • The use of augmented reality (AR) in home improvement apps increased by 50% in 2023
  • The average lead time for marketing responses in the home improvement industry is 24 hours
  • The use of eco-friendly materials in home improvement projects increased by 25% in 2023
  • Smart home technology is incorporated in approximately 45% of recent home renovation projects
  • The average profit margin for home improvement contractors is approximately 20%
  • The average conversion rate for online home improvement lead forms is 8%
  • Seasonal fluctuations affect 75% of home improvement businesses, with peaks in spring and summer
  • The demand for kitchen remodeling increased by 20% in 2023 compared to the previous year
  • The average cost per lead for digital advertising in home improvement is approximately $65
  • The home improvement industry is expected to grow at a CAGR of 4.3% through 2028
  • The industry has seen a 12% increase in female-led home improvement businesses over the last five years
  • Commercial and residential home improvement segments are both experiencing growth, with commercial at a CAGR of 3.8%
  • 55% of contractors report an increase in project backlog over the last year, indicating a robust pipeline of work
  • The industry’s adoption of green and sustainable practices has increased by 30% since 2020
  • The most requested home improvement services in 2023 included roofing, kitchen remodels, and bathroom renovations
  • The industry’s CAGR is expected to outpace overall construction at 4.3% versus 3.7%, respectively, through 2028

Market Trends and Industry Growth Interpretation

With a bustling $486 billion valuation and a rapidly evolving landscape driven by smart tech, eco-conscious choices, and a surge in female-led businesses, the U.S. home improvement industry proves that when it comes to fixing up homes, innovation and sustainability aren’t just buzzwords—they’re the blueprint for growth.

Project Characteristics and Costs

  • The average spent per home improvement project is $4,000
  • The average duration of a typical home improvement project is 6 to 8 weeks
  • The typical initial client consultation lasts about 45 minutes
  • The average spend on roofing replacements in 2023 was $8,000
  • The total value of the kitchen and bathroom remodeling market in 2023 was approximately $85 billion
  • The average project cost for custom additions is over $60,000

Project Characteristics and Costs Interpretation

With homeowners investing an average of $4,000 over six to eight weeks—and significant sums like $8,000 for roofs and $85 billion in kitchen and bath upgrades—it's clear that the home improvement industry is not only a lucrative industry but also a serious commitment, where a 45-minute consultation can be the first step toward a costly transformation.

Workforce, Contractors, and Market Challenges

  • The average age of a home improvement contractor is 45 years old
  • The overall employment in the home improvement industry reached approximately 2.5 million workers in 2023
  • 60% of home improvement contractors report challenges in finding skilled labor
  • Women represent approximately 20% of the professional home improvement contractors
  • 30% of home improvement firms report difficulties in managing project delays
  • About 25% of home improvement companies are members of industry associations for networking and advocacy

Workforce, Contractors, and Market Challenges Interpretation

With the median contractor age at 45, a booming 2.5 million workforce, and 60% struggling to find skilled labor—while women make up just 20%, and a quarter of firms navigate project delays and industry advocacy—it's clear that the home improvement industry stands at a crossroads of experience, opportunity, and urgent talent development.

Sources & References