The construction industry is set for significant growth in 2026 and beyond. Understanding these trends will help you spot new opportunities, adapt to market shifts, and keep your business ahead of the competition.
Here are the numbers that matter for your business and what they mean for you:
Overall Growth: What to Expect
- The Stat: The Bureau of Labor Statistics (BLS) projects that construction jobs will grow by 3.3% annually from 2023 to 2033, creating 263,900 new jobs this decade. The QBE Commercial Construction Outlook also predicts commercial construction growth of 1.6% in 2024 and 1.8% in 2025.
What this means for you: This strong, sustained growth signals a healthy market with a steady pipeline of projects. For your business, this translates to more bidding opportunities, greater potential for revenue, and a clear reason to consider expanding your team.
Where the Growth Is Strongest
While the whole construction industry is growing, focusing on these high-demand areas could give your business an edge:
Manufacturing Construction: This sector is booming, with growth expected to hit nearly 20% in 2024 and 13% in 2025. Big projects like chip factories and new tech are driving this surge.
What this means for you: If you have experience with large-scale projects, this is a profitable niche. Promote your expertise or team up with others to handle these complex builds.
Residential Construction: Homebuilding is growing at about 4% each year. Even with higher interest rates, the need for housing remains steady.
What this means for you: For homebuilders, there’s consistent demand. While apartment projects may pause, single-family homes are expected to grow by 8% in 2024—focus your efforts there.
Institutional Building: Schools and hospitals are expected to grow by 3% each year, with healthcare facilities seeing a 4% boost in 2024.
What this means for you: If you can take on public or specialized projects like hospitals, this is a great time to pursue those opportunities. An aging population means long-term demand for healthcare construction.
Specialty Trade Contractors: Jobs for electricians, plumbers, and other skilled trades are set to grow by 3.5% annually.
What this means for you: Your specialized skills are more in demand than ever. You can charge higher rates and find steady work across all types of construction projects.
Why Construction is Growing
Infrastructure Investments: Government-funded public works projects are creating steady opportunities.
Population Growth: More people mean a greater need for homes, schools, and businesses.
Sustainability Projects: There’s growing demand for green buildings, clean energy, and climate-ready infrastructure, offering new opportunities for skilled businesses.
What This Means for Your Business
The data is clear: 2026 presents significant growth opportunities in construction. To capitalize on this expanding market, a strategic approach is essential. One critical aspect of preparing for this growth is ensuring proper licensing. As the industry expands, counties are increasing their scrutiny of unlicensed work. Licensed contractors will secure more contracts and avoid penalties, making this the ideal moment to formalize your operations and attract higher-paying clients.
Securing your license isn’t just about compliance; it’s a strategic move that positions your business to fully capitalize on the burgeoning construction market. Proactive licensing allows you to confidently pursue higher-value contracts and build greater client trust, ensuring you’re ahead of the curve as regulatory scrutiny intensifies.
Beyond licensing, now is the time to evaluate your business’s strengths, identify which high-growth sectors align with your expertise, and prepare your teams. Proactively addressing challenges such as workforce shortages and rising material costs will be key to success. By remaining informed and adaptable, you can position your business not just to survive, but to truly thrive. The future is yours to build—are you ready?
Resources:
U.S. Census Bureau. (n.d.). Value of construction put in place survey. Retrieved from https://www.census.gov/construction/c30/econ/currentdata/dbsearch?programCode=VIP&startYear=2002&endYear=2025&categories[]=AXXXX&dataType=T&geoLevel=US&adjusted=1¬Adjusted=0&errorData=0
QBE. (n.d.). U.S. commercial construction outlook. Retrieved from https://www.qbe.com/media/qbe/north-america/usa/pdf-files/research-and-insights/us-commerical-construction-outlook.pdf?rev=303f81cb59eb4d64b6760751a2eee6b4&utm_source=slipcase&utm_medium=affiliate&utm_campaign=slipcase
U.S. Bureau of Labor Statistics. (n.d.). What’s behind the projected construction employment growth from 2023 to 2033. Retrieved from https://www.bls.gov/opub/btn/volume-14/whats-behindthe-projected-construction-employment-growth-from-2023-to-2033.html
American Institute of Architects. (2025, January). January 2025 consensus construction forecast. Retrieved from https://www.bls.gov/opub/btn/volume-14/whats-behindthe-projected-construction-employment-growth-from-2023-to-2033.htmlhttps://www.aia.org/resource-center/january-2025-consensus-construction-forecast
