Residential Pros Feel Confident in the Outlook for New Jobs, With Most Homeowners Expecting to Maintain Their Project Plans in 2025, According to Newly Released Data From STANLEY®
Summary
A new STANLEY® report reveals strong confidence among residential pros for 2025, with 75% expecting new jobs. Most homeowners (73%) are increasing project sizes, and 93% are embracing high-end designs. While material and labor costs are concerns, job satisfaction remains high. This positive outlook signals sustained demand for home improvement, benefiting companies like Stanley Black & Decker (SWK) through increased tool and storage product sales, despite broader economic uncertainties.
Residential Pros Confident in 2025 Outlook, Homeowners Maintain Project Plans
TOWSON, Md. – July 8, 2025 – Despite persistent economic headwinds and a dynamic housing market, a newly released report from STANLEY® (NYSE: SWK) reveals a robust sense of optimism among residential professionals regarding their job outlook for 2025. The data indicates that a significant majority of homeowners are committed to their home improvement plans, signaling continued demand for professional services.
Nearly three-quarters (75%) of residential professionals surveyed expressed confidence in their ability to secure new jobs in the coming year. This positive sentiment is underpinned by strong client engagement, with a remarkable 73% of pros reporting that their clients are not only maintaining but actively increasing the scope and size of their planned 2025 projects. This trend suggests a resilient homeowner base willing to invest in their properties, even amidst broader economic uncertainties.
Key Findings and Industry Trends
The STANLEY® report highlights several critical trends shaping the residential construction and renovation sector:
- Project Expansion: A dominant theme is the expansion of project scopes. Homeowners are not just undertaking minor repairs but are embarking on more extensive renovations, indicating a long-term commitment to enhancing their living spaces.
- High-End Design Adoption: A striking 93% of homeowners are embracing high-end design trends. This shift towards premium materials and sophisticated aesthetics suggests a desire for lasting value and elevated home environments, moving beyond purely functional upgrades.
- Material and Labor Cost Concerns: While optimism prevails, residential professionals are keenly aware of challenges. The costs of materials and labor are cited as top concerns as pros plan for the year ahead. Managing these rising input costs will be crucial for maintaining profitability and competitive pricing.
- High Job Satisfaction: Despite cost pressures, the majority of residential pros report high job satisfaction and fulfillment in their work. This intrinsic motivation is a positive indicator for workforce retention and quality of service within the industry.
Market Context and Implications
The findings from STANLEY® offer valuable insights into the current state and future trajectory of the home improvement market. The resilience of homeowner spending on renovations, even in a fluctuating interest rate environment, underscores the enduring value placed on home equity and personal living spaces. This trend is likely driven by a combination of factors, including an aging housing stock requiring updates, a desire for personalized spaces, and the potential for increased home value through strategic improvements.
For the broader economy, sustained activity in the residential renovation sector can provide a stabilizing force, supporting employment in construction, manufacturing, and related services. The emphasis on high-end design also suggests a premiumization trend, which could benefit suppliers of specialized materials and luxury finishes.
Investment Insights for SWK and the Home Improvement Sector
For investors, these findings present a compelling narrative for companies like Stanley Black & Decker (SWK). As a leading global diversified industrial company with a strong presence in tools and storage, SWK is directly exposed to the health of the residential construction and home improvement markets. The reported confidence among pros and the continued investment by homeowners in larger, high-end projects bode well for SWK's core business segments.
- Increased Tool Demand: The expansion of project sizes and the high volume of work anticipated by pros will likely translate into sustained demand for power tools, hand tools, and related accessories, a key revenue driver for SWK.
- Storage Solutions: As homeowners upgrade, the need for efficient storage solutions also increases, benefiting SWK's storage product lines.
- Resilience in Demand: The data suggests that demand for home improvement products may be less sensitive to economic cycles than new home construction, offering a degree of resilience for companies operating in this space.
Investors should monitor SWK's upcoming earnings reports for specific commentary on its residential segment performance, gross margin trends in light of material and labor costs, and any strategic initiatives to capitalize on the high-end design trend. The positive sentiment from residential pros could indicate a stronger-than-anticipated outlook for SWK's tools and storage divisions in 2025.
In conclusion, the STANLEY® report paints an optimistic picture for the residential home improvement sector. The confidence of professionals, coupled with homeowners' commitment to significant and high-quality projects, suggests a robust market poised for continued growth, offering favorable conditions for industry participants and related investments.