Hardware Retailing The Industry's Source for Insights and Information
In Q3 of 2025, the NAHB/Westlake Royal Remodeling Index (RMI) posted a reading of 64, increasing four points from Q2.
While reasonably strong market conditions exist for most remodelers, the industry is continuing to experience rising costs and potential customer hesitation due to policy and economic uncertainty. Remodeling demand is being supported primarily by an aging housing stock, strong homeowner equity and an increasing need for aging-in-place improvements.
The RMI is an average of two major component indices: the Current Conditions Index and Future Indicators Index. The Current Conditions Index is an average of the current market for large remodeling projects ($50,000 or more), moderately-sized projects ($20,000 to $49,999), and small projects (under $20,000). The Current Conditions Index averaged 71 in Q4 of 2025, increasing three points from the quarter before. All three component increased quarter-over-quarter. Large remodeling projects saw the largest increase, rising five points to 69.
The Future Indicators Index, an average of the current rate at which leads and inquiries are coming in and the current backlog of remodeling projects, averaged 56, up four points, in Q4 2025. The component measuring the current rate at which leads and inquiries are coming in rose five points to 54 while the component measuring backlog of remodeling jobs increased two points to 58.
