Aging Housing Stock Signals Remodeling Opportunities
The U.S. owner-occupied housing stock is aging rapidly especially after the Great Recession, as residential construction continues to fall behind in the number of new homes built. With a lack of sufficient supply of new construction, the aging housing stock signals a growing remodeling market, as old structures need to add new amenities or repair/replace old components.
Rising home prices also encourage home owners to spend more on home improvement. Over the long run, the aging of the housing stock implies that remodeling may grow faster than new construction.
The median age of owner-occupied homes is 40 years, according to the latest data from the 2021 American Community Survey. A little less than half of the owner-occupied homes were built before 1980, with around 35% built before 1970. New construction added nearly 8.3 million units to the national stock from 2010 to 2021, accounting for only 10% of owner-occupied housing stock in 2021.
Due to modest supply of housing construction, the share of new construction built within past 11 years declined greatly, from 17% in 2011 to only 10% in 2021.
Na Zhao, Ph.D., a principal economist at NAHB, provides more details in this Eye on Housing post.
Latest from NAHBNow
Advocacy | Multifamily
Nov 06, 2026
Treasury Announces New Opportunity Zone Designations
The U.S. Department of the Treasury and the Internal Revenue Service have announced new Opportunity Zone designations for more than 6,500 communities nationwide, effective Jan. 1, 2027.
Membership Recruitment and Retention
Nov 05, 2026
The Value of Being One of NAHB's Top Recruiters
Member-to-member recruitment is essential for growing NAHB’s membership. Here are the perks members are being rewarded with for their efforts.
Latest Economic News
Economics
Nov 06, 2026
Hiring Rebounds in October, but Residential Construction Employment Declines
The U.S. labor market rebounded in October, with nonfarm payroll employment increasing by 165,000 jobs and the unemployment rate declining to 4.1%. However, the improvement in overall employment contrasts with continued weakness in residential construction, where employment fell by 16,400 jobs, the largest monthly decline since March 2021.
Economics
Nov 05, 2026
Multifamily Developer Confidence Weakens in Third Quarter
New multifamily housing confidence weakened year-over-year in the third quarter, according to the Multifamily Market Survey (MMS) by the National Association of Home Builders (NAHB). The MMS produces two separate indices. The Multifamily Production Index (MPI) had a reading of 41, down five points year-over-year, while the Multifamily Occupancy Index (MOI) had a reading of 69, also down five points year-over-year.
Economics
Nov 04, 2026
Mortgage Applications Decline as Higher Rates Boost ARM Share
Mortgage application activity declined in October as the 30-year fixed mortgage rate rose sharply again. The Mortgage Bankers Association’s (MBA) Market Composite Index, a measure of total mortgage application volume, fell 14.1% month-over-month in October on a seasonally adjusted basis. Compared to a year ago, total mortgage applications were 39.8% lower.