Home Depot’s DIY model benefits from America’s aging housing stock

Home Depot’s DIY model has allowed homeowners to undertake projects while bypassing some permitting and permission requirements. Contractors and professional customers now account for roughly half of the business, according to the analysis.

The analysis argues that insufficient construction of single-family homes and an aging U.S. housing base create a durable tailwind for Home Depot. The median age of a home is described as about 15 to 20 years higher than when Home Depot was founded, making repairs and improvements an almost annuity-like source of recurring demand. The exact split between DIY and professional demand was not quantified.