US Home Service Market Size
| Study Period | 2020 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 0.79 Trillion |
| Market Size (2029) | USD 1.29 Trillion |
| CAGR (2024 - 2029) | 10.23 % |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
US Home Service Market Analysis
The US Home Service Market size is estimated at USD 0.79 trillion in 2024, and is expected to reach USD 1.29 trillion by 2029, at a CAGR of 10.23% during the forecast period (2024-2029).
The demand for home services is closely linked to rising homeownership rates, with homeowners often seeking maintenance, repairs, and upgrades. The aging housing stock amplifies this demand; older homes typically require more upkeep, including roofing, plumbing, and electrical work. Moreover, technological advancements significantly influence the home services market. Innovations such as energy-efficient solutions, smart home automation, and integrated home systems are becoming increasingly popular. As consumers adopt these technologies to boost their homes' convenience, efficiency, and sustainability, the growth of the home services sector accelerates.
Consumers in the US home service market increasingly prioritize efficiency, convenience, and aesthetics. This market, characterized by a mix of established giants and specialized players, continually evolves, driven by innovation and a focus on customization. Urbanization and population growth are driving the rising demand for home services. Economic downturns and high unemployment rates can reduce consumer spending on home services. Homeowners often prioritize essential expenses over non-critical services during such times.
US Home Service Market Trends
The Home Improvement Segment is a Crucial Driver of US Home Service Market Growth
The home improvement and DIY segment is a significant growth driver in the U.S. home service market, fueled by changing consumer preferences and economic factors. Homeowners increasingly seek to personalize their living spaces, enhance functionality, and boost property value, leading to a surge in demand for renovations and upgrades. Popular projects include kitchen and bathroom remodeling, painting, and flooring upgrades, reflecting a desire for modern aesthetics and energy-efficient solutions.
The rise of the DIY culture is another key contributor, with consumers inspired by online tutorials, social media trends, and cost-saving motivations. Retailers and platforms offering DIY tools, materials, and step-by-step guides have made it easier for individuals to undertake home improvement projects independently. The pandemic further amplified this trend as more people spent time at home and prioritized creating comfortable, multi-functional spaces.
Moreover, the aging housing stock in the U.S. necessitates repairs and upgrades, while increased homeownership rates, especially among millennials, drive spending on professional services and DIY initiatives. As consumers continue to invest in their homes for personal enjoyment and resale value, the home improvement and DIY segment is poised to remain a robust growth driver within the broader U.S. home service market.
Rising Homeownership Rates Influences the Home Service Market
In the United States, rising homeownership rates significantly influence the home service market, boosting demand across various sectors. As individuals and families increasingly secure homeownership, they turn to a variety of services to maintain, enhance, and personalize their homes. This trend is especially pronounced in the surging demand for maintenance and repair services. Homeowners are prioritizing regular upkeep investments, including plumbing, electrical work, and HVAC maintenance, to keep their homes in prime condition. Additionally, with the U.S. housing stock aging, there's a heightened demand for repairs and renovations, ensuring a consistent workload for service providers.
Homeowners, taking pride in their properties, are increasingly motivated to make renovations that boost both functionality and aesthetics. This trend fuels demand for contractors, interior designers, and specialized service providers, catering to needs ranging from kitchen remodels to bathroom upgrades. Rising homeownership is driving a trend towards outdoor living spaces. With more individuals owning homes, there's heightened interest in landscaping and outdoor services. Homeowners are keen on boosting their curb appeal and crafting welcoming outdoor settings.
With the rise in homeownership, there's a parallel surge in interest in smart devices and home automation systems. Homeowners seek services that install and maintain these technologies, aiming to boost convenience, security, and energy efficiency in their residences. This escalating demand for smart home services opens up fresh avenues for service providers, especially those targeting tech-savvy homeowners, thereby propelling growth in the home service market.
US Home Service Industry Overview
The US Home Service Market is fragmented. This prevalence can be attributed to the multitude of small, independent businesses and local service providers spanning sectors such as plumbing, HVAC, cleaning, and landscaping. The report covers the major players operating in the United States Home Services. Some of the top market participants in the United States are Amazon.com Inc., Angi Inc., Frontdoor Inc., HomeAdvisor, and Roto-Rooter.
US Home Service Market Leaders
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Amazon.com Inc.
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Angi Inc.
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Frontdoor Inc.
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HomeAdvisor
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Roto-Rooter
*Disclaimer: Major Players sorted in no particular order
US Home Service Market News
- October 2024: Frontdoor, Inc., the top provider of home warranties in the U.S., expanded its partnership with Moen. As part of this agreement, the Moen Flo Smart Water Monitor and Shutoff, a state-of-the-art water shut-off valve, will be installed in seven additional states. This offer is available to customers purchasing Flo through select marketing programs in collaboration with home insurance providers.
- November 2023: Frontdoor, Inc., the nation's top provider of home service plans, boasting a membership of around two million, introduced the Frontdoor app to the real estate sector at the T3 Technology Summit, organized by T3 Sixty, from October 23-25 in Fort Worth, Texas. While the app debuted for consumers in April, the T3 Technology Summit marked its inaugural showcase to the real estate community.
US Home Service Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
4.1 Market Overview
4.2 Market Drivers
4.2.1 Rising Homeownership Rates
4.2.2 Aging Housing Stock
4.3 Market Restraints
4.3.1 Significant Shortage of Skilled Labour
4.3.2 Consumer Trust and Safety Concerns
4.4 Market Opportunities
4.4.1 Rising Demand for Smart Home Services
4.4.2 Collaborations with Home Improvement Retailers
4.5 Value Chain / Supply Chain Analysis
4.6 Porters 5 Force Analysis
4.6.1 Threat of New Entrants
4.6.2 Bargaining Power of Buyers/Consumers
4.6.3 Bargaining Power of Suppliers
4.6.4 Threat of Substitute Products
4.6.5 Intensity of Competitive Rivalry
4.7 Insights on Technological Innovations in the Market
4.8 Impact of Covid-19 on the Market
5. MARKET SEGMENTATION
5.1 Maintenance & Repairs
5.1.1 Plumbing Services
5.1.2 Electrical Repairs
5.1.3 Appliance Repairs
5.1.4 Other Home Services
5.2 Home Improvement
5.2.1 Renovations & Remodeling
5.2.2 Carpentry & Woodworking
5.2.3 Painting & Wall Treatments
5.2.4 Other Home Improvement
5.3 Distribution Channel
5.3.1 Traditional Service Providers
5.3.2 Online Platforms
6. COMPETITIVE LANDSCAPE
6.1 Market Concentration
6.2 Company Profiles
6.2.1 Amazon.com Inc.
6.2.2 Angi Inc.
6.2.3 Frontdoor Inc.
6.2.4 HomeAdvisor
6.2.5 Roto-Rooter
6.2.6 Thumbtack
6.2.7 Porch
6.2.8 TaskRabbit
6.2.9 Handy
6.2.10 Gapoon Online Consumer Services Pvt. Ltd.*
- *List Not Exhaustive
7. MARKET FUTURE TRENDS
8. DISCLAIMER AND ABOUT US
US Home Service Industry Segmentation
The home service market encompasses essential services such as plumbing, electrical work, cleaning, HVAC(Heating, Ventilation, and Air Conditioning), and security, all vital for property maintenance and enhancement. As homeownership rises and trends like smart home technology and eco-friendly upgrades gain traction, the demand for these services continues to surge. The US Home Service Market is segmented by Maintenance & Repairs, Home Improvement, and Distribution Channel. By Maintenance & Repairs, the market is segmented into Plumbing services, Electrical repairs, Appliance repairs, and Other home services. By Home Improvement, the market is segmented into Renovations & remodeling, Carpentry & woodworking, Painting & wall treatments, and Other Home Improvement. By Distribution Channel, the market is segmented into Traditional Service Providers and Online Platforms. The report offers the market size in value terms in USD for all the segments mentioned above.
| Maintenance & Repairs | |
| Plumbing Services | |
| Electrical Repairs | |
| Appliance Repairs | |
| Other Home Services |
| Home Improvement | |
| Renovations & Remodeling | |
| Carpentry & Woodworking | |
| Painting & Wall Treatments | |
| Other Home Improvement |
| Distribution Channel | |
| Traditional Service Providers | |
| Online Platforms |
US Home Service Market Research FAQs
How big is the US Home Service Market?
The US Home Service Market size is expected to reach USD 0.79 trillion in 2024 and grow at a CAGR of 10.23% to reach USD 1.29 trillion by 2029.
What is the current US Home Service Market size?
In 2024, the US Home Service Market size is expected to reach USD 0.79 trillion.
Who are the key players in US Home Service Market?
Amazon.com Inc., Angi Inc., Frontdoor Inc., HomeAdvisor and Roto-Rooter are the major companies operating in the US Home Service Market.
What years does this US Home Service Market cover, and what was the market size in 2023?
In 2023, the US Home Service Market size was estimated at USD 0.71 trillion. The report covers the US Home Service Market historical market size for years: 2020, 2021, 2022 and 2023. The report also forecasts the US Home Service Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
US Home Service Industry Report
Statistics for the 2024 US Home Service market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. US Home Service analysis includes a market forecast outlook for 2024 to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
