TL;DR
Get home appliances delivered free with Prime
- Fast, free delivery on millions of items
- Prime Video, Amazon Music and more included
- Member-only deals all year
The National Association of Home Builders’ Remodeling Market Index averaged 62 in the third quarter of 2026, indicating that more remodelers viewed market conditions as good than poor. Current conditions held at 70, while future indicators rose two points to 54; respondents still reported material costs, labor constraints and customer hesitation as challenges.
The National Association of Home Builders’ Remodeling Market Index averaged 62 in Q3 2026, signaling that more remodelers rated market conditions as good than poor, according to the association’s survey. The overall reading points to stable activity, with its Future Indicators Index rising two points from the previous quarter while current conditions remained unchanged.
The index’s Current Conditions Index averaged 70 for the third consecutive quarter. All three project-size measures stayed above 50, the threshold indicating that more respondents view conditions as good than poor. The measure for large projects of $50,000 or more rose two points to 66; the measure for projects from $20,000 to under $50,000 fell two points to 71; and the measure for projects under $20,000 edged down one point to 73.
The Future Indicators Index averaged 54, up two points from the prior quarter. Its lead-and-inquiry component increased two points to 53, while the backlog component rose two points to 56. These figures indicate a modest improvement in the survey’s forward-looking measures, not a guarantee that future work or revenue will increase.
NAHB Remodelers Chair Elliott Pike, a remodeler from Homewood, Alabama, said some remodelers continued to face high material costs and difficulty finding enough workers to complete jobs on schedule. Pike also cited economic uncertainty as a factor making some prospective customers hesitant to proceed. NAHB chief economist Robert Dietz said the third-quarter reading was consistent with the association’s projection of stable remodeling activity in 2026 and slight growth in 2027.
Steady Demand Amid Project Pressures
The results suggest the remodeling market is holding up, but the survey does not show uniform strength across every measure. Current conditions remained elevated and unchanged, while the future indicators improved slightly. For contractors and suppliers, that combination points to continued work opportunities alongside persistent constraints on how quickly projects can be staffed and completed.
NAHB said remodeling is gaining share in the broader construction market and is somewhat less sensitive than new construction to elevated interest rates. That is the association’s assessment, not a measure of how each business or local market is performing. The reported labor and material pressures may still affect project timing, costs and customers’ willingness to commit.
As an affiliate, we earn on qualifying purchases.
How NAHB Builds the Remodeling Index
The RMI asks remodelers to rate five aspects of the market as good, fair or poor. Responses are converted to a seasonally adjusted scale from 0 to 100; a score above 50 means more respondents view conditions as good than poor. It is a sentiment measure, not a direct count of completed projects, spending or permits.
NAHB calculates the Current Conditions Index by averaging ratings for large, moderate and small remodeling projects. The Future Indicators Index averages ratings for the current flow of leads and inquiries and the backlog of jobs. The overall RMI is the average of those two indexes. In Q3, the 70 current-conditions reading contrasted with the lower but improving 54 future-indicators reading.
Limits of the Q3 Sentiment Reading
The survey figures do not establish how much remodeling spending, project completions or contractor revenue changed in the quarter. They measure remodelers’ views of conditions, leads and backlogs. The source material does not provide the survey’s respondent count, field dates or regional breakdown, so the extent to which results represent particular markets cannot be determined from the reported figures.
It is also unclear how long material-cost and labor pressures will persist, or whether customer hesitation will translate into canceled, delayed or smaller projects. NAHB’s outlook for stable activity in 2026 and slight growth in 2027 is a forecast, not a confirmed outcome.
Watch Hiring, Leads and Backlogs
The next useful indicators will be whether the lead-and-inquiry measure and project backlogs continue to rise, and whether reported labor and material constraints ease. Future RMI releases can show whether the Q3 improvement in future indicators is sustained or reverses. NAHB’s stated outlook remains stable remodeling activity for 2026, followed by slight growth in 2027; the source report does not give a date for the next survey release.
Key Questions
What was the Remodeling Market Index in Q3 2026?
The overall RMI averaged 62. A reading above 50 means more surveyed remodelers viewed conditions as good than poor.
Did current remodeling conditions improve?
The Current Conditions Index remained at 70 for a third consecutive quarter. Individual project-size measures moved in different directions but all stayed above 50.
What changed in the future indicators?
The Future Indicators Index rose two points to 54 compared with the previous quarter. Leads and inquiries reached 53, and the backlog measure reached 56.
What challenges did remodelers report?
NAHB Remodelers Chair Elliott Pike cited high material costs, difficulty finding enough labor to finish projects on schedule and economic uncertainty that made some prospective customers hesitant.
Does the index prove remodeling will grow in 2027?
No. NAHB chief economist Robert Dietz said the result was consistent with the association’s projection of stable activity in 2026 and slight growth in 2027. That is a forecast, not a confirmed result.
Source: rss
NFL season / tailgating Picks
team gear
As an affiliate, we earn on qualifying purchases.
