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Remodelers in the Know: Fall 2025 Industry Trends

News
Pricing Trends
September 10, 2025

Stay on top of industry news, current trends and material cost changes with Clear Estimates’ Remodelers in the Know news bulletin! 

Each quarter, Clear Estimates summarizes industry news and updates, along with our current material cost data analysis, together in this free & convenient quarterly digest. 

In this edition we look at the remodeling industry outlook in the third quarter of 2025. 

Contractors in Eden Prairie Tackle Remodeling Waste

Remodelers in Eden Prairie, MN are making an effort to reduce construction waste. A number of companies are focused on salving and repurposing construction materials, while sending less scrap to the dump.  

By joining forces with local nonprofits, home improvement contractors have been able to donate or recycle up to 70% of items they collect on site. Sending construction debris to the landfill became a last resort. 

The report encourages homeowners to ask contractors about their sustainability measures. 

See the full article here:

EPlocalnews -New Life to Remodeling Project Rejects

Source: Eden Prarie Local  

Decline in remodels seen in Q2 2025

The Remodeling Market Index (RMI) is down four points from the second quarter of 2025, according to the The National Association of Home Builders (NAHB). 

At 59, the reading marks the second time that the index has fallen under 60 since the survey began. 

The report finds that remodeling activity in the Western half of the United States is especially slow. Despite this, many remodelers remain positive. 

See the full article here:

Hardware Retailing - Remodeling Activity Sees Decline in Q2

Source: Hardware Retailing 

Home Improvement Spending to Slow in 2026  

Spending on home improvements and maintenance is predicted to slow in 2026, according to the Remodeling Futures Program at the Joint Center for Housing Studies, Harvard. 

The RFP’s Leading Indicator of Remodeling Activity (LIRA) report looks at the yearly change in spending on home improvements and repairs. In a new report released this week, the LIRA projects a mere 1.2% increase in spending for Q2 2026.

See the full article here: 

LBM Journal - Growth Projections for Remodeling

Source: LBM Journal

Material Pricing Trends - Q3 2025 

Material costs have continued to increase over the past quarter, particularly in the Southwest. 

Nationally, concrete costs climbed around 5%, while plywood costs are up by 1.5%. Stud lumber increased on average around 1.7%, with the biggest jump seen in the Southwest.

Fiberglass roofing costs increased for all regions except the Northeast, where it fell significantly over the previous quarter. 

As nearly a third of U.S. softwood lumber is imported from Canada, we are monitoring the effects of tariffs on those costs. On examining changes in 2x10 joist costs, we expect prices to rise by .4% over the next quarter. The Midwest will see larger increases at around 1.1%, and costs in the Southwest are expected to decline. 

This information is sourced from Clear Estimates’ Q3 2025 Quarterly Behavior Index. 

Clear Estimates draws on a wide range of data sources to provide accurate & reliable material & labor costs, covering all 50 States. This makes it easy for remodelers to estimate their jobs accurately and in a fraction of the time. Each quarter Clear Estimates publishes our Quarterly Behavior Index, where we examine material cost trends per region across the US. 

See the current Quarterly Behavior Index here! 

Source: Clear Estimates 

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Michael Croteau
Michael Croteau