from December 17 through 2026. Residential Remodeling – Remodeling is the other and larg- er side of the residential market place and has performed nicely throughout 2017 and is forecasted to lead again in 2018. The hous- ing industry continues to benefit from robust sales of existing homes and is running at historic lows of inventory. According to many con- struction indicators, there is wide- spread agreement that residential remodeling spending will increase in 2018 versus 2017, at a mid- to high-single digit rate. Residential remodeling contin- ues to benefit from factors impact- ing new housing starts. As with the last several years, Millennials are remaining at home longer, and older individuals are choosing to remain at home or “age in place.” This will spur home remodeling and will continue to result in solid growth again in 2018 with bath- rooms, kitchens and in-law room additions driving remodeling activ- ity. Rising home values and contin- ued low interest rates are allowing homeowners to take out home- equity loans for the remodeling project. This is driving demand across all aspects of construction – especially for new tile or stone flooring! Overall, we forecast the residen- tial market to account for close to 60% of all tile consumption in the U.S. in 2018. It will drive growth for flooring, with kitchens and bathrooms as the main project types. The new tax law mentioned above will however bring down a percentage of remodeling spending on very expensive homes – as deductions on interest will be capped – but over- all the segment will be strong in 2018. Commercial Construction We forecast the com- mercial construction seg- ment to experience steady growth in 2018, between 3% and 5% in new square footage over 2017. The commercial segment is being aided by a continued easing of lending standards that allow for more of the much-needed financing for large projects, combined with an increase in demand for commer- cial lending. Whereas the Tax Cuts and Jobs Act may lessen housing activity in very high-end home mar- kets, the impact of the law is favor- Globally Proven Construction Solutions Remodeling Forecast - LIRA Source: LIRA- Joint Center For Housing Studies- Harvard BUSINESS FEATURE –––––––––––––––––––––––––––––––––––––––––––––––––– 34 TileLetter | March 2018