Home Improvement Services Market

Market Overview:

The global home improvement services market size reached USD 356.9 Billion in 2023. Looking forward, IMARC Group expects the market to reach USD 512.6 Billion by 2032, exhibiting a growth rate (CAGR) of 4% during 2024-2032. The increasing need for remodeling of homes, rising adoption of smart homes, and the growing requirement for energy-efficient living spaces represent some of the key factors driving the market.

Increasing Homeownership Rates Augmenting Market Growth

Rapid urbanization, inflating income levels, and changing living standards are strengthening the home improvement services market growth around the world. Homeownership instills a sense of pride and responsibility in homeowners, which motivates them to enhance their properties. Homeowners invest in home improvement projects to beautify their homes, which makes them more comfortable and appealing. They understand that undertaking home improvement projects can increase the value of their properties, which allows them to build equity and potentially command higher prices in the future.

What are Home Improvement Services?

Home improvement services enhance, renovate, or maintain residential properties. These services are provided by contractors, tradespeople, or specialized professionals with the expertise and experience to handle various home improvement projects. Home improvement services generally involve repairing or replacing components of a house to restore or improve their functionality, such as fixing plumbing leaks, repairing damaged roofs, and replacing faulty electrical wiring. They also involve installing or upgrading home security systems, such as alarm systems, surveillance cameras, smart locks, and access control systems, to enhance the safety and security of a property. They also cater to unique customization requests of consumers, including building custom cabinets, installing home theatres, creating home offices, constructing additional rooms or extensions, or transforming underutilized spaces.

Home Improvement Services Market Trends:

The increasing need for remodeling and upgradation activities of homes represents one of the major factors driving the demand for home improvement services around the world. These activities can be adopted to remodel newly bought homes or upgrade existing residential complexes as per the preferences and requirements of people. Moreover, the rising adoption of smart homes and the growing installation of smart devices, such as smart thermostats, speakers, smart lighting solutions, washing machines, ovens, refrigerators, and vacuum cleaners, is influencing the market positively. Furthermore, these smart devices are integrated with advanced technologies, such as artificial intelligence (AI), virtual reality (VR), augmented reality (AR), and the internet of things (IoT), which enable homeowners to visualize home improvement projects before implementation. They also incorporate features like video surveillance, motion sensors, door or window sensors, and smart locks, which enhance home safety and provide peace of mind. This, in turn, is propelling the growth of the market. In addition, the increasing requirement for energy-efficient and luxurious living spaces with efficient storage cabinets and trendy floorings is contributing to the home improvement services market growth. Apart from this, the rising need for home improvement services, such as the installation of energy management systems, to help homeowners monitor and control energy usage, optimize energy efficiency, and integrate renewable energy sources like solar panels is favoring the market growth. Additionally, the growing instances of natural disasters, including hurricanes, floods, or wildfires, which cause damage to homes, are catalyzing the demand for home improvement services for repair and maintenance.

Key Market Segmentation:

IMARC Group provides an analysis of the key trends in each sub-segment of the global home improvement services market report, along with forecasts at the global, regional and country level from 2024-2032. Our report has categorized the market based on type, buyers age and city type.

Type Insights:

• Kitchen Renovation and Addition
• Bathroom Renovation and Addition
• Exterior and Interior Replacements
• System Upgrades
• Others
   

The report has provided a detailed breakup and analysis of the home improvement services market based on the type. This includes kitchen renovation and addition, bathroom renovation and addition, exterior and interior replacements, system upgrades, and others. According to the home improvement services market report, exterior and interior replacements represented the largest segment as they help replace outdated or worn exterior and interior elements to improve the overall appearance of a home. They involve replacing windows, doors, and insulation that can help regulate indoor temperatures.

Kitchen renovation and addition is a type of home improvement service that allows homeowners to optimize the layout and design of their kitchen space by reconfiguring the layout, adding storage solutions, or expanding the kitchen area.  They also enable the incorporation of smart storage solutions and organization systems.

As per the home improvement services market analysis, bathroom renovation and addition is a type of home improvement services that helps optimize the functionality and layout of bathroom space by reconfiguring the layout, adding storage solutions, or expanding the bathroom area. 

Other types of home improvement services, include system upgrades, such as heating, ventilation, and air conditioning (HVAC), insulation, and windows to improve energy efficiency, which reduce the energy consumption and lower utility bills.

Buyers Age Insights:

• Under 35
• 35-54
• 55-64
• Above 65
   

A detailed breakup and analysis of the home improvement services market based on the buyers age has also been provided in the market report. This includes under 35, 35-54, 55-64, and above 65.

According to the home improvement services market, buyers under 35 often want to customize their homes as per their preferences and lifestyle. Home improvement services allow them to create spaces that reflect their individuality and taste.

Buyers between 35-54 have growing families or teenagers. Home improvement services can cater to their changing needs by providing additional bedrooms, play areas, or functional spaces for their children.

Buyers between 55-64 aim to age in place and want to make their homes more accessible and functional for their changing needs. Home improvement services can include modifications like grab bars, walk-in tubs, or ramps to improve safety and mobility.

Other types of buyers include above 65 require modifications to their homes to ensure they can safely and comfortably live in them for as long as possible. Home improvement services can include features like bathroom grab bars, wheelchair accessibility, or non-slip flooring.

City Type Insights:

• Metro Cities
• Non-metro Cities and Towns
   

A detailed breakup and analysis of the home improvement services market based on the city type has also been provided in the report. This includes metro cities, and non-metro cities and towns. According to the report, metro cities accounted for the largest market share as they have limited living spaces, and home improvement services can help optimize the available space. This includes storage solutions, compact furniture, or creative layouts to make the most of smaller living areas. They have a more contemporary and fast-paced lifestyle. They also emphasize efficiency and convenience, including energy-efficient upgrades, automated systems, and advanced technologies to simplify daily tasks and enhance the urban lifestyle. 

Homeowners in non-metro cities and towns prioritize customization and personalization of their homes. Home improvement services allow them to create unique spaces that reflect their individual tastes and preferences. Home improvement services in non-metro areas often involve maintenance and repairs to older homes, such as roof repairs, plumbing upgrades, or structural improvements to ensure the longevity and safety of the property.

Regional Insights:

• North America
  • United States
  • Canada
• Asia-Pacific
  • China
  • Japan
  • India
  • South Korea
  • Australia
  • Indonesia
  • Others
• Europe
  • Germany
  • France
  • United Kingdom
  • Italy
  • Spain
  • Russia
  • Others
• Latin America
  • Brazil
  • Mexico
  • Others
• Middle East and Africa
   

The report has also provided a comprehensive analysis of all the major regional markets, which include North America (the United States and Canada); Asia Pacific (China, Japan, India, South Korea, Australia, Indonesia, and others); Europe (Germany, France, the United Kingdom, Italy, Spain, Russia, and others); Latin America (Brazil, Mexico, and others); and the Middle East and Africa. According to the report, North America (the United States and Canada) was the largest market for home improvement services. The increasing remodeling and renovation activities of homes represents one of the major factors driving the demand for North America home improvement services market. Moreover, the rising awareness about energy efficiency and sustainability is catalyzing the demand for home improvement services in the region. Besides this, the growing adoption of smart homes and the surging need for energy-efficient homes is influencing the market positively in the region.

Competitive Landscape:

The report has also provided a comprehensive analysis of the competitive landscape in the global home improvement services market. Some of the companies covered in the report include:

• Belfor
• Coit Cleaners
• Crane Renovation Group
• DKI Ventures LLC
• FirstService Corporation
• Mr. Handyman International LLC
• Power Home Remodeling Group
• Rainbow International LLC
• Servpro
• Venturi Restoration
   

Please note that this only represents a partial list of companies, and the complete list has been provided in the report.

Report Coverage:

Key Benefits for Stakeholders:

• IMARC’s report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the home improvement services market from 2018-2032.
• The research study provides the latest information on the market drivers, challenges, and opportunities in the global home improvement services market.
• The study maps the leading, as well as the fastest-growing, regional markets. It further enables stakeholders to identify the key country-level markets within each region.
• Porter's five forces analysis assist stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the home improvement services industry and its attractiveness.
• Competitive landscape allows stakeholders to understand their competitive environment and provides an insight into the current positions of key players in the market.