You’ve seen the headlines—economic uncertainty, rising costs, shifting interest rates. But here’s what they don’t tell you: the home remodeling market is not slowing down.
In fact, it’s surging. Homeowners across the U.S. are turning uncertainty into opportunity by investing in their homes with purpose. The right remodel doesn’t just improve your space—it transforms how you live in it.
Let’s explore why 2025 is still the perfect time to renovate and how the remodeling market is evolving.
The 2025 Home Remodeling Market Is Stronger Than You Think
The U.S. residential remodeling market is projected to reach $545.6 billion by 2030, growing at a compound annual growth rate (CAGR) of 4.6%. In other words, homeowners aren’t pulling back—they’re getting smarter, more strategic, and more wellness-driven.
Additional research shows remodeling activity has reached historic highs, fueled by aging homes, evolving lifestyles, and a desire for more adaptable and resilient spaces.
What’s Fueling Demand for Remodeling in 2025?
Here are a few key factors influencing the demand for full home remodels in 2025.
Aging Housing Inventory
Over 50% of U.S. homes were built before 1980. These homes require structural updates, accessibility upgrades, and energy-efficient improvements to support modern living.
The Shift to Hybrid Work
Home offices aren’t a luxury anymore—they’re a necessity. Families are creating dual-functioning rooms, optimizing layouts, and improving sound insulation to accommodate the realities of remote work.
Sustainability and Resilience
As homeowners face rising utility bills and climate change concerns, they’re turning to sustainable materials and energy-efficient upgrades. Think triple-pane windows, solar integration, and toxin-free finishes.
Wellness-Centered, Aging-in-Place Design Trends
More homeowners want renovations that support aging in place and daily wellness—zero-threshold showers, grab bars that don’t look like hospital equipment, light-based circadian rhythm design, and true CLIPP-certified layouts.
Remodeling Smarter: Trends in Design-Build for 2025
Design-build is outperforming traditional bid-build methods. Why? Because it shortens timelines, improves communication, and ensures every design decision supports your lifestyle, budget, and schedule. At Ron Scott Design Build, our process includes:
- Wellness-first space planning
- Transparent material and cost sourcing
- Boutique-level customer service
- CLIPP Certified, True Color Expert, and Medical Intuit-led selections
Material Costs, Supply Chains and What Waiting Will Really Cost You
Yes, material costs surged post-2020, but according to Floor Covering News, supply chains are stabilizing. Domestic sourcing, modular cabinetry, and smaller vendor networks have replaced reliance on volatile imports.
Meanwhile, new tariffs and inflation pressures mean waiting might actually increase your costs, not lower them.
Home Remodeling in 2025: The Smart Investment
Instead of chasing a volatile real estate market, more homeowners are reinvesting in their current spaces. They’re future-proofing their homes while gaining comfort, style, and efficiency right now.
The average return on investment (ROI) for kitchen remodels is 75–90%, and bathroom remodeling follows closely behind. But ROI goes beyond numbers—it’s about functional upgrades that bring peace of mind, better function, and spaces that truly feel like you.
House Remodel Market: Frequently Asked Questions
What is the outlook for the remodeling industry?
The home remodeling industry is poised for continued growth in 2025, driven by shifts in consumer behavior and rising disposable income among homeowners. Despite shifting economic conditions, steady demand for renovation projects remains, particularly in wellness-focused and aging-in-place designs. Experts project a stable annual growth rate, supported by resilient market segments, including kitchen and bathroom remodels.
How big is the home remodeling market?
The U.S. residential remodeling market reached over $500 billion in recent years and continues expanding. Major players in the construction industry are investing in innovative products and services to meet the growing demand for smart, sustainable, and personalized living spaces.
Is $50,000 enough to renovate a house?
Yes, $50,000 can cover a mid-range renovation project, especially when focused on high-impact spaces like kitchens, bathrooms, or adding energy-efficient upgrades. However, final costs depend on building materials, project management, labor, and the scope of work.
Is home remodeling slowing down?
While the pace of growth has adjusted post-pandemic, demand for remodeling projects remains steady due to changing consumer behavior, long-term homeownership trends, and evolving lifestyle needs. The market is maturing—not shrinking—with homeowners prioritizing quality, function, and personalization.
Remodel Your Home With Ron Scott Design Build
Remodeling your home isn’t just about knocking down walls or picking paint colors—it’s about crafting a space that supports the way you want to live now, and well into the future. Our process is boutique, personal, and centered on wellness design.
CLIPP Certified Team
From the first consultation, our CLIPP-certified team (Certified Living in Place Professional) begins by understanding your needs holistically. That means more than style preferences—we explore how light affects your mood, how you move through your home, and how design can enhance your daily rituals. This is remodeling built around you.
True Color Expert Certified
Our True Color Expert® guides you through color psychology to choose shades that align with your emotional wellness. Our medical intuit and functional design experts ensure every element—from floor plan to finishes—is selected with purpose.
Boutique Custom Build Experience
You’ll never feel like a project number. With our owner-led process, you have one clear point of contact from initial vision to final walkthrough. We use premium materials and time-tested construction techniques, but more importantly, we listen deeply—then execute with integrity and intention.
Whether you’re pursuing kitchen remodeling, an aging-in-place bathroom renovation, or a full custom home build, we manage the entire process—from architectural design to permits to construction—with clarity, respect, and craftsmanship. Let’s get started.
Scott Veatch is a seasoned remodeling expert who has been transforming homes and businesses since 1988, bringing visionary design to luxury residences and commercial spaces. He is a NARI-certified remodeling professional and a Certified Living-In-Place Professional (CLIPP), and he has even served in leadership roles on industry committees to advance best practices.
