Business Insights

2026 home improvement trends you need to know

A new year always feels like a fresh start — but it can also feel a little overwhelming when you’re trying to plan for your business. The good news? You don’t have to guess your way through it. By looking at last year’s economic and market trends, you can make smarter, more confident decisions going forward. When you combine real data with expert insights, you’re in a much better position to build a plan that actually works.

In this article, we’ll walk through what market research is, why it matters, and how you can use it to strengthen your business in the year ahead.

Why trend research is worth your time

Traditional research only tells you what’s happening right now. Market trend research tells you what’s been happening — and where things may be headed. Yes, it takes a little more time, but the payoff is big.

Here’s why keeping an eye on trends is so important:

1. You make decisions based on facts, not guesses.

Understanding what’s happening in the home improvement market helps you avoid overspending on the wrong things or targeting the wrong audience. With solid data, you can set realistic long term goals and feel confident about where you’re investing time and money.

2. You get a clearer picture of what homeowners need.

Homeowners’ choices are heavily influenced by the economy and what’s happening in their area. When you know what they’re dealing with, you can adjust your messaging, your services, and even your sales approach to better meet them where they are.

According to the National Association of Realtors, 19% of home improvement projects are to improve energy efficiency. If that’s something you offer, highlight why your solutions are a smart choice—both in your marketing and during the bid. And if you notice a gap in your market (maybe no one else offers a certain type of service), that’s an opportunity for you to step in.

3. You stay ahead of your competitors.

The industry moves fast. Trends help you spot opportunities early — whether that’s tweaking your product offerings, shifting your messaging, or adjusting pricing — so you can stay a step ahead instead of playing catch up.

Curious what trends might impact your business this year?

Our free eBook breaks down some of the biggest ones, including:

• Where home improvement spending is headed
• The top reasons homeowners are remodeling in 2026
• How interest rates are shaping sell vs remodel decisions
• What aging homes (nearly half built before 1980!) mean for your business
• Why customer emotions matter more than ever in home improvement

How to start your own trend research

Here’s a simple way to get going:

1. Identify your target audience.

Create customer personas that outline who you’re trying to reach. Include details like age, location, income, goals, challenges, and preferred communication channels. The clearer you are, the easier it is to focus on your marketing and sales efforts.

2. Decide on a budget.

Market research can be affordable or more of an investment, depending on what you choose. Some online tools cost a few hundred dollars while hiring a specialized agency can run into the thousands. Phillip Kotler, author of Marketing Management: The Millenium Edition, recommends budget 1–2% of your sales revenue to research.

3. Start with trusted data sources.

Organizations like the Home Improvement Research Institute and the Joint Center for Housing Studies offer reliable, up to date information. Use what’s most relevant to your business.

4. Look at your competitors.

Check their websites, social media, and customer reviews. A simple SWOT analysis (strengths, weaknesses, opportunities, threats) can help you understand how you stack up.

5. Talk to your customers.

Your past and current customers are a goldmine of insights. Ask why they chose you and what stood out about your business. If you send surveys, keep them short—two or three questions max—to boost response rates.

Put your insights to work

Once you’ve gathered your research, use it right away. Trends change quickly and delaying even a few weeks can make your data less valuable. Make sure your whole team understands the insights and how they apply to your strategy. If needed, a short training session can get everyone aligned and ready to move forward together.

Download the 2025–2026 Home Improvement Trends Guide

There’s a lot of information here to digest in one sitting, so we pulled everything together into an easy to follow guide. It covers what happened in 2025, what industry experts expect in 2026, and how you can prepare for the biggest challenges contractors may face this year. Download your free copy today.

Why work with Regions Home Improvement Financing?

With over 20 years in the industry, we offer more than financing — we offer support. When you partner with us, you get helpful resources, a dedicated relationship manager, and a team that’s always ready to help you grow your business. Visit our resource hub for more guides, tips, and tools.

If you’d like to add financing to your services, give us a call at 888.704.5376 (option 1).