TL;DR
Get decor and gifts delivered free with Prime
- Fast, free delivery on millions of items
- Prime Video, Amazon Music and more included
- Member-only deals all year
HIRI’s Sept. 29-30, 2026, Home Improvement Insights Summit in Minneapolis examined economic pressures, customer behavior, AI and industry channels. HIRI forecast that the home improvement products market would grow 2.5% in current dollars in 2026 but shrink 1.5% after inflation.
The Home Improvement Research Institute (HIRI) convened industry leaders in Minneapolis on Sept. 29-30, 2026, for a summit on market trends, economic pressures and artificial intelligence’s role in renovation decisions. HIRI’s market forecast presented at the event projects 2.5% growth in current dollars for home improvement products in 2026, but a 1.5% decline after inflation.
The summit organized its sessions around five themes: macroeconomics, the customer journey, data and market research, project spending, and sales channels. Speakers examined how inflation, affordability, mortgage rates and household income are shaping homebuilding and homebuying, alongside research on contractor sentiment and homeowners’ use of AI.
Danushka Nanayakkara-Skillington, assistant vice president for forecasting and analysis at the National Association of Home Builders, discussed economic factors affecting homebuilding and homebuying. She noted that the median age of a first-time homebuyer is 40, compared with 29 in 1981. HIRI’s Dave King also discussed buyer conditions with Ralph McLaughlin, chief economist at OpenBrand, and Michael Zdinak, director at S&P Global.
Grant Farnsworth, president of The Farnsworth Group, presented results from a HIRI and Farnsworth contractor sentiment tracker and the Farnsworth Contractor Index. The reported index score for contractors’ confidence in getting business over the next six months was 8.2 out of 10. Liza Hausman, senior vice president of marketing at Houzz, shared research indicating that 22% of homeowners use AI for renovation and that households using AI account for 25% of renovation dollars.
Inflation Changes the Market Outlook
The forecast’s two figures describe different measures of the same market: growth in current dollars and a decline after accounting for inflation. For manufacturers, retailers and contractors, that distinction matters when judging whether sales growth reflects more purchasing activity or higher prices. HIRI’s figures point to a market where nominal growth may not translate into increased buying power.
The summit’s discussion of buyer affordability and the age of first-time homebuyers adds a demand-side dimension. If households face greater barriers to buying homes, that can affect when and how they spend on repairs and renovations. The event’s speakers raised these factors as market considerations; the supplied report does not quantify their individual effects on sales.
AI findings also have implications for businesses trying to reach renovation customers. The reported shares suggest AI use is present among some homeowners and households spending on renovation, while leaving open how customers use the tools or how much they influence purchases. For companies, understanding that behavior may shape how they provide product information and recommendations.
As an affiliate, we earn on qualifying purchases.
Five Themes Shaped the Summit
HIRI’s annual Home Improvement Insights Summit brings industry participants together to discuss research and market conditions. The 2026 event covered economic conditions, the customer purchase journey, research methods, project spending and sales channels. Its sessions combined presentations of survey and market data with discussion of how businesses communicate with customers.
Kevin O’Connor, host of This Old House, spoke about how the brand maintains relevance in home improvement. According to the summit report, he emphasized earning trust by educating audiences first, avoiding errors and not appearing transactional. King, in presenting HIRI’s Q3 2026 market report and forecast, said growth heading into 2027 would be important for the industry and urged manufacturers to reduce uncertainty in customers’ decisions.
“Take uncertainty out of the customer’s decision in the coming quarter.”
— Dave King, HIRI
Limits of the Reported Findings
The published recap does not provide the underlying methodology, sample sizes or detailed definitions for the AI-use figures or contractor confidence index. It also does not specify how the reported 25% share of renovation dollars was calculated, so that figure should not be read as a measure of AI’s direct effect on spending.
The market forecast is a projection, not a final accounting of 2026 results. The report gives the inflation-adjusted decline and current-dollar growth but does not detail the assumptions behind either estimate. It also does not identify which product categories or regions may perform differently, or quantify how mortgage rates and affordability affect renovation demand.
Tracking Demand Into 2027
HIRI’s forecast points to continued scrutiny of market growth as the industry moves toward 2027. Manufacturers and retailers will be watching whether sales gains persist after inflation and whether households continue to proceed with planned projects. Contractor confidence, buyer affordability and customer research are among the factors highlighted at the summit.
The source report does not announce a specific follow-up release date or next summit milestone. HIRI’s cited Q3 2026 market forecast and contractor research provide current reference points, but their assumptions and subsequent updates will matter in judging how conditions develop.
Key Questions
What was the main news from HIRI’s 2026 summit?
HIRI’s Sept. 29-30 summit brought home improvement professionals together to discuss market trends, economic conditions, customer behavior and AI. Its forecast projected 2.5% growth in current dollars for the home improvement products market in 2026, alongside a 1.5% decline after inflation.
What did the summit report about AI and renovation?
Houzz research presented by Liza Hausman found that 22% of homeowners use AI for renovation. The report also said households using AI account for 25% of renovation dollars; it does not explain the figure’s methodology or establish that AI caused the spending.
How confident were contractors about getting business?
The reported Farnsworth Contractor Index score was 8.2 out of 10 for contractors’ confidence in getting business in the next six months. The recap does not give a comparison with earlier readings.
Why does the forecast show growth and a decline?
The 2.5% growth figure is stated in current dollars, while the 1.5% decline accounts for inflation. They are different measures, and the report does not provide the forecast assumptions in detail.
Source: rss
Halloween Picks
halloween
As an affiliate, we earn on qualifying purchases.
