1. Remodeling: $271.2 billion a year, down 2.3%
NAHB released its State Projections of Remodeling for the second quarter of 2026 on November 9. Nationally, remodeling spending was $271.2 billion at a seasonally adjusted annual rate, 2.3% less than in the first quarter. It has fallen in five of the last six quarters and is at its lowest level in two years. It is still larger than single-family construction and makes up 45.0% of all residential construction spending.
The biggest markets are California ($21.4 billion), Texas ($19.7 billion), Florida ($14.8 billion), New York ($10.8 billion) and North Carolina ($8.2 billion). Of the ten largest states, only North Carolina and Illinois grew in the quarter. Across all states the split was almost even: 26 down, 24 up. The largest gains over a year were in smaller states: Michigan, Alabama, West Virginia, Virginia and Alaska. NAHB expects remodeling spending after inflation to be flat to down for 2026.
This is spring data, estimated by a model from federal spending numbers. It fits what the Census Bureau showed for September (covered in our November 2 note), but it is not a count of your local jobs.
2. Pay in residential building: +2.8% in a year
In a second post the same day, NAHB reports, from Bureau of Labor Statistics data, that average hourly earnings for residential building workers rose 2.8% from a year earlier in September 2026, to $40.69 an hour, after only 1.2% in June. After inflation, pay was still down 0.9% from a year earlier. This group covers home building and residential remodelers, but not specialty trade contractors, so it is a different number from the all-construction figure of $39.70 in our November 6 note.
What to do this week
In a market where fewer homeowners spend, the jobs you already quoted are the cheapest ones to win. Go through every estimate sent in the last 60 days that is still unsigned and call or text each client once. For clients who stalled on the total, offer the same work in two or three versions with different materials instead of cutting your price.
With crew pay behind prices, the people you rely on feel it. If you have not looked at a worker's rate in a year, look now, and decide before a competitor decides for you.
Where WorkTime CRM helps with this
The Estimates list shows which sent estimates are still waiting for a signature. The automatic follow-up email goes out by itself when an estimate stays unsigned, and 3 options on estimates lets the client pick Basic, Standard or Premium for the same work.
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