The Home Improvement Research Institute (HIRI) partners with IHS Markit to develop an annual U.S. Size of Market Report. The current report is based on the most recent IHS economics forecast of the U.S. economy and looks at what to expect in the market through 2025.
Due to rapidly falling COVID-19 infection rates and states’ widespread relaxation of containment measures, as well as an accelerated vaccination campaign, an update to this macroeconomic forecast has been published. Some of the upward movement reflects major elements of a $1.9 trillion stimulus package passed by Congress including the third round of stimulus checks, an extension of emergency unemployment programs and benefits, major funding for COVID-19 mitigation efforts, and significant aid to state and local governments, and schools.
“All [of these improvements] have boosted consumer confidence and the housing market in particular,” said IHS Markit Global Construction Director Scott Hazelton, who has more than 30 years of industry research experience. “Home improvement spending growth will moderate from 13.8% in 2020 to 9.9% in 2021, but spending by contractors will actually improve year over year as households feel more comfortable with contractors in their home.”
National economic outlook
Home Improvement products market outlook
Scott says that although the boom cannot last forever, a continuing strong economy suggests that further growth of 5.7% is attainable in 2022.
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