Remodeling Market Index Rose to 62 in Third Quarter
Homeowners may face longer project backlogs as industry confidence grows for large-scale renovations.
Updated on Oct. 9, 2026 in Home Renovation
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The National Association of Home Builders reported that its Remodeling Market Index climbed one point to 62 in the third quarter of 2026. This industry sentiment tracker reflects current conditions and future outlooks for homeowners planning renovations.
Why it matters
The index rise suggests a shift in industry capacity, as contractors report growing interest and longer backlogs for large-scale home upgrades. Understanding these trends helps families anticipate how quickly professionals can initiate new improvement projects.
The index score reached 62, supported by a 66-point reading for large projects and a 56-point score for job backlogs. These figures represent current contractor sentiment compared to a scale of 0 to 100.
The players
National Association of Home Builders
A trade association representing the home building industry that tracks construction sentiment and market conditions.
The details
The index aggregates five distinct components measuring market health, including current conditions for small, moderate, and large projects alongside future indicators like leads and backlogs. Surveyed remodelers rate these categories on a scale of 0 to 100 to assess overall industry momentum. Large project demand increased by two points, while moderate and small-sized project components saw slight declines.
Timeline
The NAHB released the Q3 2026 Remodeling Market Index results.
The Home Front
This latest index reading follows a multi-year period of shifting contractor availability and material costs within the residential construction sector. The industry currently shows a pattern of growing confidence for large projects despite recent cooling in smaller-scale demand.
If you are planning a significant remodel for 2027, prepare for potential wait times as contractors manage rising backlogs. Contact a licensed professional early to discuss project timelines and secure your place in their schedule.
The takeaway
Homeowners should anticipate stable to slightly increasing activity in the remodeling sector throughout 2026 and 2027. When interviewing contractors for major renovations, ask specifically about their current backlog to gauge potential start dates.
Further reading
Learn more about planning your next project in our Home Renovation section.
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