Market Intelligence

2026 Construction Cost Outlook: What Homeowners Need to Know

Build Hero Team · 3/20/2026

Construction pricing in 2026 is entering a more predictable cycle. Lumber and steel spikes are less extreme than in previous years, but skilled labor continues to drive total project cost in most urban markets. Homeowners planning renovations should focus on scope clarity and early procurement to avoid avoidable change-order inflation. Build Hero field data indicates that projects with fully locked material schedules before demo phase reduced budget variance compared with projects that sourced late. Teams that align contractor sequencing in preconstruction also saw faster permit-to-groundbreak timelines.