Remodeling Reversal

While residential remodeling, which is as big as new single-family construction, has generally grown by about 5% a year since the Great Recession of 2008/09, things are changing. The combination of job losses, fear of job losses, declining household income, limited house price appreciation, falling equity prices, social distancing and importantly, fewer existing home sales, will discourage home improvement, causing it to shrink by about 5%/year.