Aug 20, 2026 · 4 min
Housing slump squeezes Home Depot and Lowe’s
What’s News in Earnings: Weak Housing Market Weighs on Home Depot and Lowe’s
High borrowing costs and limited home sales are delaying renovations, forcing home-improvement retailers to find growth in smaller purchases and contractor business.
- 1Weak housing activity is reducing major remodeling projects as homeowners delay spending and moving.
- 2Home Depot and Lowe’s are competing more aggressively for professional contractors while DIY customers focus on smaller jobs.
- 3Home Depot posted stronger comparable sales, highlighting different performance as both retailers navigate flat remodeling demand.
Don't miss
The comparison of Home Depot’s stronger comparable sales with Lowe’s shows how the retailers are performing amid the housing slump.
The brief
High borrowing costs, weak home sales and reduced moving activity are suppressing demand for major renovations, putting pressure on Home Depot and Lowe’s.
Sarah Nassauer explains that DIY shoppers are concentrating on smaller projects while professional contractors have become a more important battleground for growth.
The retailers are responding by competing on price and selling individual replacement items, strategies designed to generate revenue despite flat remodeling spending.
Home Depot posted stronger comparable sales in the latest quarter, giving the comparison with Lowe’s a sharper edge as the housing market remains weak.
Featuring
The Home Depot, Inc.
Lowe'sListen to the full episode and explore every guest, topic, and moment on PodLume.