On Aug. 11, 2026, Associated Builders and Contractors (ABC) reported that its Construction Backlog Indicator fell to 8.0 months in July 2026. The data originates from an ABC member survey conducted from July 20 to Aug. 4. The reading is down 0.8 months from both a month ago and a year ago. “Backlog fell sharply in July and is down to the lowest level since January,” said ABC Chief Economist Anirban Basu. “The data center boom masks the depth of this weakness, as there is a lack of momentum in…
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Remodeling spending outpaces the rest of residential construction
New data from the U.S. Census Bureau indicated that private residential spending decreased by 0.03% in June. Remodeling and home improvement was the only sector to increase in June, but only by 0.01%. In May, the remodeling sector contributed to the overall bump in construction spending. It was then revised to a 0.4% decline. Compared to a year ago, private spending for remodeling is down 7.2%. Despite the decrease, overall sentiment for remodeling remains positive with continued demand. “In contrast, improvement spending has been on an upward trend since 2023, supported…
Read MoreConstruction job openings increase 36% from 2025
According to data from the Associated Builders and Contractors (ABC), jobs in the construction industry are growing at a faster pace. ABC’s analysis of the U.S. Bureau of Labor Statistics’ Job Openings and Labor Turnover Survey (JOLTS) reported that job openings in construction increased by 14,000 last month and by 81,000 year over year. While an increase in jobs is a positive headline for the industry, ABC Chief Economist noted that the data is more nuanced. “Interpreting these data is often challenging,” said ABC Chief Economist Anirban Basu. “One could take…
Read MoreRemodeling spending expected to slow down
According to new data from Harvard University’s Joint Center for Housing Studies, annual spending on home improvements and repairs is expected to slow down until mid-2027. The latest Leading Indicator of Remodeling Activity (LIRA) suggests this will lead to a third straight quarter of decelerating year-over-year growth, with spending projected to be $519 billion through mid-2027. “Growth in remodeling permitting and retail spending on building products has flattened recently, suggesting that renovation activity is cooling,” said Rachel Bogardus Drew, Director of the Remodeling Futures Program at the Center. “Reduced housing…
Read MoreHome accessibility upgrades fuel renovation boom
Home accessibility modifications are driving a renovation boom as homeowners bring multiple generations of family under one roof. Instead of a simple kitchen refresh, clients are prioritizing grab bars, wider doorways and walk-in showers that serve toddlers and elders alike. The most requested upgrades tend to focus on the rooms where families spend the most time and where safety risks run highest, including curb-less walk-in showers, wider doorways, lever-style doorknobs instead of round knobs and lighting improvements. Multigenerational household renovation has become common as more families choose to combine resources…
Read MoreContractor confidence rises as backlog falls
A new reading from the Associated Builders and Contractors (ABC) reported that its Construction Backlog Indicator fell to 8.8 months in June. Also, ABC’s Construction Confidence Index readings posted increases in sales and staffing levels for the month. Construction Backlog Indicator is down 0.3 months from May but up 0.1 months from June 2025. While readings for profit margins declined, all three components remain above 50, leading industry expectations for continued growth. “The effect of rising input prices may be weighing on contractor profitability,” said ABC Chief Economist Anirban Basu. “Contractor…
Read MoreConstruction drives job market growth in Louisiana
Louisiana added 16,700 jobs over the past year, ranking fourth in the South, with much of the growth coming from construction. This is a record high for the state, with payrolls topping two million employees for the first time. “The state had a record number of economic announcements last year and all of those look like they’re flowing from announcement into actual hiring of construction workers,” said Adam Knapp with Leaders for a Better Louisiana. “It’s across the state.” “Our growth and profits have increased dramatically over the past couple…
Read MoreExisting-home sales slow in June
The National Association of REALTORS (NAR) Existing-Home Sales report was released on July 9, 2026. According to the report, existing-home sales slowed in June, decreasing by 2.4% month-over-month and increasing 2.8% year-over-year. “The back-and-forth in monthly home sales activity, driven by mild fluctuations in mortgage rates, shows how sensitive home buyers are to affordability conditions,” said NAR Chief Economist Lawrence Yun. “However, job gains, more than half a million since the beginning of the year, will continue to provide support for the housing market.” In June, Month-over-month existing-home sales increased…
Read More21st Century ROAD to Housing Act becomes law
The National Lumber and Building Material Dealers Association (NLBMDA) announced its support of the enactment of H.R. 6644, the 21st Century ROAD to Housing Act. The landmark housing package includes more than 45 provisions aimed at increasing housing supply, reducing unnecessary regulatory barriers, modernizing federal housing programs and giving state and local governments additional tools to support residential construction. “The 21st Century ROAD to Housing Act demonstrates what Congress can accomplish when lawmakers work together to address the housing supply and affordability challenges facing communities across the country,” said Jonathan…
Read MoreRemodeling market remains positive in second quarter
In the second quarter of 2026, the National Association of Home Builders Remodeling Market Index (RMI) posted a reading of 61, down one point compared to the previous quarter. Even with this slight decline, remodeler sentiment remains the standout sector within the housing industry. With current mortgage rates above the median outstanding rate for existing homeowners, the incentive to remodel instead of purchasing a new home persists due to this lock-in effect. The RMI is based on a survey that asks remodelers to rate various aspects of the residential remodeling…
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