Despite a soft start to 2026, the construction sector’s Expected Business Activity Indicator rose 3 points to 58 for this year’s second quarter, according to construction and design software service provider Houzz (Palo Alto, Calif.). The quarter-over-quarter increase was driven by gains in new committed projects, which rose 6 points to 59, the company reported.
Project inquiries for construction stayed flat quarter-over-quarter at 57, while the same indicator varied significantly when broken down across job type.
Project inquiries for design-build remodelers increased from 58 to 63, supporting an overall expected business measurement improvement of 10 points, from 56 to 66. New committed projects increased from 53 to 68 for the second quarter.
Build-only remodelers saw a 5-point decline to 50 for expected business in the second quarter. Project inquiries fell from 55 to 51, and new committed projects decreased from 54 to 49 quarter-over-quarter, signaling less follow-through on existing demand.
While results are mixed across job types, the index remains above the 50-point threshold, indicating that more firms expect improved business activity in the coming months.
Read the full report here.
