Homeowners are choosing repairs over large remodels
High borrowing costs are pushing homeowners toward upkeep and smaller jobs. Service owners can adjust estimates, offers, and follow-up plans to meet that demand.
Homeowners still need work done. But many are putting off large remodels and paying for repairs, tune-ups, and smaller updates instead, according to CNBC.
That shift matters for HVAC, plumbing, painting, landscaping, tile, and remodeling companies. The next sale may be a smaller job now, with more work done in stages later.
High rates are changing the job mix
Mortgage rates rose above 7.5% last week, their highest level in three years, according to CNBC. Many homeowners with mortgage rates of 2% to 3% do not want to move or refinance.
Homeowners are staying in their houses about five years longer than they planned, according to Angi data cited by CNBC. Yet home equity loans and lines of credit have also become more costly. That makes it harder to pay for a new kitchen, bath, deck, or other large project.
The result is not a full stop in home spending. It is a change in what gets approved. Angi data shows that 60% of consumers are delaying projects and moving toward maintenance, according to CNBC.
A homeowner may choose a furnace tune-up instead of a major kitchen remodel. A needed water heater may come before a new deck. Landscaping can move ahead one phase at a time rather than as one large job.
Large purchases are taking the hardest hit
Sales data from Home Depot and Lowe’s shows how price affects demand. Big renovation categories fell between 10% and 28% from September 2025 through August 2026, compared with the prior year, according to Datavations data reported by CNBC.
Shower stalls, kits, and enclosures had a steep drop. Sales fell 21%, while the number of units sold fell 28%. Bathtub sales fell 10%, with unit sales down 12%.
Lower-cost items held up better. Pull-down kitchen faucet sales fell about 3%. CNBC reported average sales prices of about $147 for those faucets, $309 for bathtubs, and $700 for shower stalls and kits.
This points to a clear issue for owners. The larger the check, the more likely a customer may wait. A lost remodel does not always mean the homeowner wants no work. It may mean the full scope does not fit the budget today.
Smaller scopes can keep work moving
Service owners can give customers more than a yes-or-no choice. An estimate can separate urgent work, useful updates, and optional upgrades. That lets the customer approve the part that protects the home now.
A painter might price cabinets apart from the full room. A landscaper might split a plan into cleanup, drainage, planting, and hardscape phases. A plumber or tile contractor might offer a repair or limited refresh before a full bath rebuild.
HVAC companies may see stronger interest in tune-ups and repairs that reduce the risk of a breakdown. CNBC reported that homeowners are putting furnace care ahead of large discretionary projects. Owners should make clear what maintenance covers, what it does not cover, and when replacement may still be needed.
Price should not be hidden until the end of the sales talk. Since borrowing is costly, customers may be judging the job against cash on hand. A written estimate with clear choices can help them decide without cutting work that is needed for safety or function.
Deferred work can become a later sale
A delayed project should not vanish from the schedule. Owners can record what the customer wanted, why it was delayed, and which smaller job moved forward. That creates a useful reason to follow up when the next phase makes sense.
The message should stay practical. Customers are living in their homes longer, so upkeep still matters. The owner’s job is to show what must happen now, what can wait, and what it may take to finish the plan in steps.
What an owner can do this week
- Review three common large estimates. Add a smaller repair option and a phased option to each one.
- Train the team to separate urgent work from optional upgrades in writing. Include the scope, timing, and cost for each choice.
- Call customers who delayed a large job. Ask whether a repair, tune-up, or first phase would solve the main problem now.
- Add follow-up dates for deferred work. Keep notes on the requested project and the reason the customer waited.