Despite ongoing economic headwinds, housing industry professionals remain optimistic about future business activity. According to Houzz’s Q3 2026 Pro Industry Barometer, construction firms expect business activity to improve, driven primarily by recent project inquiries. Meanwhile, design firms have seen an uptick in both project inquiries and newly committed projects.

Construction firms are optimistic about future business activity

In Q-3 2026, Houzz’s Expected Activity Indicator for construction businesses increased by 3 points to 61, driven primarily due to the increase in project inquiries, which grew by 4 points during the quarter. However, at the same time, the Recent Business Activity Indicator for construction firms declined slightly to 47 in Q-2 2026 from 48 the prior quarter.

Architecture and design firms see growth across project inquiries and newly committed projects

Design firms saw significant growth across Houzz’s Expected Business Activity Indicator and across its Recent Business Activity Indicator. The Expected Business Activity Indicator for design firms grew by 8 points to Q-3 2026. The Recent Business Activity Indicator grew even higher, rising 14 points to 68 in Q-2 2026.