AI Adoption Rapidly Growing in Construction and Design Industries

When it comes to the impact of AI on the construction and design industries, there's “broad awareness, moderate adoption, and high expectations,” according to the 2025 U.S. Houzz State of AI in Construction and Design Report. More than 700 construction and design professionals contributed to the report, which tracks how the industry is navigating the current AI landscape. 

High Awareness and Adoption Rates

More than a third of respondents (34%) said they're already using AI in their businesses, noting such benefits as greater productivity, reduced manual effort, and improved organization that has led to an average time savings of three hours per week. Monetarily, that amounts to more than $108,000 in annual productivity gains per business.

Two-thirds of respondents (66%) said they believe the use of AI will transform the industry within the next five years. The topic of AI is familiar to many in the industry, with 69% of respondents saying they know about it; only 23% said they're unfamiliar while 8% reported having no exposure to AI. Additionally, 59% of respondents reported familiarity with AI tools that are specifically designed for construction and design workflows.

“AI innovation in construction and design is accelerating, creating a competitive advantage for pros who adopt it. The next wave of transformation will be driven by AI solutions that integrate seamlessly into workflows for greater efficiency and accuracy,” Alon Cohen, Houzz co-founder and CEO, said in a news release. “As the report shows, pros in our industry are approaching this era with openness and a strong desire to learn. The future is about adopting AI to build stronger, more successful businesses.”

Larger Firms More Likely to Use AI

The report shows that larger firms (10 or more employees) have adopted AI at a significantly higher rate than smaller firms, likely a result of the greater number of resources at their disposal. Nearly a third (32%) of construction businesses reported using AI, with those numbers doubling for larger firms (64%). The numbers are similar within the design field, with 31% reporting AI use, growing to 50% for larger firms.

Administrative tasks and project management were the most frequent tasks for which construction pros reported using AI. Design pros reported AI usage for admin and content-driven tasks. Specific activity includes:

• Administrative work: AI-assisted notetaking, formatting, and document editing. (62% across all pros; 47% for construction, 70% design).
• Sales and marketing: Activities related to social media content, advertising, and lead management. (55% across all pros; 37% construction, 59% design).
• Planning and design: Visualization tool, floor plan generation, and takeoff support (42% across all pros; 32% construction, 34% design).
• Project and client management: Estimating, invoicing, and task tracking (33% across all pros; 42% construction, 14% design). 

Satisfaction is High Despite Lack of Training

The majority (71%) of users in both the construction and design fields reported satisfaction with their AI usage, with 58% reporting it having a moderate-to-significant impact on their workflow. Despite this high praise, many expressed concerns over the reliability/accuracy of AI-generated outputs, data security and privacy risks, and the lack of training or technical expertise. Most pros surveyed reported having no formal training or instruction on how to use or apply AI to their work.

These results open the door for the creation of accessible instructions for pros who want to educate themselves about AI and how to integrate it into familiar workflows.