The majority of single-family home builders do not currently use Artificial Intelligence (AI) in their businesses. For the highest use, 20% of builders use AI to generate advertising/marketing materials and 11% to help analyze markets/plan projects. Less than 5% currently use this tool to help with another 10 business functions, from designing projects to operating automated construction equipment in the chart below. These findings were derived from the July 2025 survey for the NAHB/Wells Fargo Housing Market Index (HMI) and reflect an early industry reading likely to evolve in the coming years.
Builders not currently using AI were asked about the likelihood they will start doing so in the next two years (using a scale from 1 to 5, where 1=not at all likely and 5=very likely). Not surprisingly, the two areas most likely to see new builders adopting AI are the generation of advertising/marketing materials (average rating 3.6) and the analysis of markets/plan projects (3.0)—the same ones that boast the largest adoption rates already.
Meanwhile, the chance that builders will take up the use of AI in any of the other business functions is much lower, as all 10 received average likelihood ratings below 3.0. The two areas where builders are least likely to start using AI in the next two years are in the operation of automated construction equipment (average rating: 1.7) and to interact with the local building or planning department (1.9).
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