Hardware Retailing The Industry's Source for Insights and Information
The Home Improvement Research Institute and The Farnsworth Group released its analysis of the American Housing Survey 2025, providing a detailed look at evolving home improvement trends across the U.S. housing market. Based on a nationally represented survey conducted by the U.S.Census Bureau and sponsored by the Department of Housing and Urban Development, the report provides an analysis of homeowner behavior, spending patterns and project types.
Here are the top highlights from the study:
Interior Additions Dominate Project Count but Deliver Lower Spend per Job
Interior additions or replacements account for 53% of total project volume across all regions, but comprise a lower average spend per project. Categories like room additions and exterior projects contribute less to volume but generate higher volume per revenue, suggesting opportunities for upselling in low-cost categories or prioritizing high-ticket segments for profitability.
South Atlantic Region Drives Volume While Pacific Leads on Project Value
The South Atlantic represents the largest market for home improvement, accounting for the largest share of homes (21%), home improvement spend ($86 billion) and the number of projects (14 million). The Pacific region leads in average project cost at $7,208.
This information suggests manufacturers and retailers should prioritize the South Atlantic for broad reach and the Pacific for high-margin opportunities.
Professional Labor Drives Spend, Particularly in Metro Markets
Professional projects account for 84% of national home improvement spend, rising to 88% in metro areas. Market leaders like New York City, Seattle and San Francisco show a strong preference toward professionals when completing home improvement projects, indicating suppliers and service providers should target metro areas.
Read the full analysis of the study here.
