Residential Remodelers Revenue Benchmarks
The average residential remodelers business in the United States generates $581K in annual revenue, according to the U.S. Census Bureau Statistics of U.S. Businesses (SUSB 2021). There are 127,394 residential remodelers businesses in the U.S., employing 424,819 workers with an average profit margin of 7.0%. The average employee in this industry earns $60K per year (Bureau of Labor Statistics QCEW 2023).
What Does a Residential Remodelers Business Actually Do?
General contractors specializing in remodeling existing homes — kitchens, bathrooms, additions, basements, and whole-home renovations. They coordinate subcontractors (plumbing, electrical, cabinet, tile) and manage the project timeline for homeowners.
Who buys: Homeowners looking to renovate, upgrade, or add space to an existing home.
How this is different: Different from new-construction homebuilders (who buy land and build from scratch) or specialty trades (who work on single subsystems).
Average Revenue
$581K
per year
Profit Margin
7.0%
industry average
Revenue / Employee
$174K
per year
Total Businesses
127,394
in the US
Est. Owner Income
$41K
small business avg
Labor Cost
30.0%
of revenue
Avg Employee Wage
$60K
per year (BLS)
Market Saturation
38.4
firms per 100K people
How Much Do Residential Remodelers Charge?
Remodelers quote per project, using per-sqft pricing for reference.
| Service | Typical range |
|---|---|
Kitchen remodel (basic) | $15,000–35,000 |
Kitchen remodel (mid-range) | $35,000–75,000 |
Kitchen remodel (upscale) | $75,000–200,000+ |
Bathroom remodel (mid) | $15,000–35,000 |
Full house remodel (per sqft) | $100–250/sqft |
Ranges based on industry rate surveys and typical published pricing. Actual quotes vary by city, business size, and job complexity.
Complete residential remodelers business plan
A 12-section data-backed business plan for a residential remodelers business — executive summary, market analysis, competitive landscape, revenue model, 3-year financial projections, operations, marketing, staffing, funding request. Pre-populated with real Census, IRS, and BLS data on this industry. Free to view.
Cost Structure — Where Every $100 in Revenue Goes
Approximate P&L breakdown for the residential remodelers industry. Labor share and net profit are grounded in Census SUSB and IRS SOI data. Other lines are split using sector-typical ratios.
| Category | Per $100 revenue | Per typical business | What's in it |
|---|---|---|---|
Materials & subcontractors | $38 | $220K | Lumber, concrete, fixtures, subcontracted trades — the physical scope of the job. |
Wages & benefits | $30 | $174K | Payroll for all employees at the business (owner comp not included for small owner-operators). |
Rent & facilities | $5 | $29K | Rent or mortgage on business location plus utilities tied to the space. |
Marketing & advertising | $3 | $18K | Google/Meta ads, SEO, print, referral fees, event sponsorships. |
Other operating costs | $17 | $99K | Equipment rentals, insurance (very high in construction), permits, vehicles, fuel. |
Net profit | $7 | $41K | What remains for the owner or shareholders after all business expenses. |
Directionally accurate for a typical business in the industry. Individual businesses vary widely — a franchise may run a very different cost mix from an independent, and older established businesses often have lower labor share than newer ones.
Average Revenue by Business Size
Industry Dynamics (Census BDS 2023)
New Business Rate
17.34%
openings/year
Closure Rate
14.46%
closings/year
Net Job Growth
+3.48%
annual
Businesses Closed
21,484
in 2023
Firm Count Trend
Should You Start a Residential Remodelers Business?
Startup Cost
$50K – $250K
Break-Even
44 months
5-Year Survival Rate
50.0%
Related Industries
Frequently Asked Questions
- What does a residential remodelers business do?
- General contractors specializing in remodeling existing homes — kitchens, bathrooms, additions, basements, and whole-home renovations. They coordinate subcontractors (plumbing, electrical, cabinet, tile) and manage the project timeline for homeowners. Homeowners looking to renovate, upgrade, or add space to an existing home.
- How much do residential remodelers charge?
- Remodelers quote per project, using per-sqft pricing for reference. See the pricing table above for typical rates by service type.
- How much does the average residential remodelers make per year?
- The average residential remodelers business generates $581K in annual revenue, based on U.S. Census Bureau data (SUSB 2021). After expenses, the estimated owner profit is $41K per year at a 7.0% profit margin.
- How many residential remodelers businesses are there in the US?
- There are 127,394 residential remodelers businesses operating in the United States, employing a total of 424,819 workers.
- How much does it cost to start a residential remodelers business?
- Startup costs for a residential remodelers business typically range from $50K to $250K, with a 5-year survival rate of 50.0%.
- What is the average salary in the residential remodelers industry?
- The average employee in the residential remodelers industry earns $60K per year, according to Bureau of Labor Statistics data (QCEW 2023).
Industry Growth & Survival
The residential remodelers industry is actively growing — adding jobs at a net rate of 3.5% per year. New establishments are opening faster than existing ones close (17.3% entry vs 14.5% exit), indicating healthy demand.
Approximately 46% of residential remodelers businesses survive their first 5 years. This is near the national average (~50%), with typical business risk. In 2023, 21,484 firms in this industry closed permanently.
Employment & Wages
The average employee in the residential remodelers industry earns $59,816/year. This is near the national average of ~$65K. With 125,050 establishments employing 446,077 people, the typical business has about 4 employees. Most businesses in this industry are small operations — often owner-operated with minimal staff.
Industry Trend (2000–2023)
The residential remodelers industry has grown 31% since 2000 (from 133,310 to 174,642 firms).
See full historical statistics →Compare Residential Remodelers revenue with other industries: