Top 5 Countries with the Highest Spending on Private Homes and Interio

The global residential real estate and home improvement markets are experiencing unprecedented growth in 2025, with spending reaching historic levels across multiple regions. Based on comprehensive market research and economic data, here are the five countries leading in private home and interior spending.

1. China - The Global Spending Giant

China dominates the global home improvement market with an astounding $994.5 billion in total spending12. This massive investment is driven by rapid urbanization, with China's urbanization ratio expected to rise to 70-75% over the next five years3. The country's spending is heavily concentrated in hardware and DIY tools, accounting for $711.1 billion of the total expenditure12.

The Chinese luxury residential market, despite recent challenges, remains significant with domestic luxury spending expected to reach €57 billion in 20254. However, Chinese consumers are increasingly shifting their luxury purchases overseas, with overseas consumption projected to reach €26 billion, a 95% increase from 20244.

2. United States - The Innovation Leader

The United States ranks second globally with $932.8 billion in home improvement spending12. American households spend an average of $744.44 per capita annually on interior design and home décor56. The US market is characterized by significant investor activity, with investors purchasing 30% of available home inventory in 2025, the highest share on record7.

Housing costs in the US represent 18.17% of household consumption expenditure8 9, while the overall housing sector contributes 16.1% to GDP10. The remodeling market is particularly robust, with spending projected to grow to $509 billion in 202511.

3. Switzerland - The Quality-Focused Market

Switzerland leads the world in per capita interior design spending at $1,158.71 annually56. Swiss households demonstrate the highest willingness to invest in quality home décor, spending 27.03% of their income on housing-related expenses8. This reflects Switzerland's high living standards and focus on quality over quantity.

The Swiss housing market shows stable consumption patterns, with household consumption reaching 106.58 billion Swiss Francs in Q1 202512. Energy-efficient home improvements are particularly popular, with 30% growth expected in properties using renewable energy by 202513.

4. Canada - The High-Investment Market

Canada ranks fourth with $775.18 per capita spending on interior design annually56. However, Canadian housing affordability has reached crisis levels, with ownership costs averaging 52.5% of household income in 2025, up from 38% in 201514. Housing-related spending absorbs 19.58% of net disposable income15.

The Canadian government has committed $65.84 billion through the National Housing Strategy to address housing needs16. Despite affordability challenges, the home improvement market remains strong, with consistent investment in renovation and modernization projects.

5. Singapore - The Premium Market

Singapore rounds out the top five with one of the world's most expensive housing markets. Private residential property prices are projected to increase 4-7% in 202517, with strong economic growth driving demand across all segments. Housing costs can consume up to 70% of household income for many residents18.

The city-state's Property Price Index grew 3.33% year-on-year in Q1 202519, with continued strong demand for private housing. Singapore's focus on smart home technology and premium living spaces drives significant spending on interior upgrades and home automation systems.

Rank	Country	Key Metric	Notable Features
1	China	$994.5B total spending	Largest market globally, urbanization-driven
2	United States	$932.8B total spending	High investor activity, innovation focus
3	Switzerland	$1,158.71 per capita	Highest per capita spending, quality-focused
4	Canada	$775.18 per capita	High spending despite affordability crisis
5	Singapore	4-7% price growth	Premium market, smart home integration

Market Trends Shaping 2025

The global home improvement market is projected to reach $2,659.60 billion by 203220, with several key trends driving spending:

Sustainability Focus: Energy-efficient renovations account for nearly 25% of all European projects21, while smart home technology adoption saw a 15% year-on-year increase in 202221.

Regional Variations: European countries prioritize quality and design, with Norway, Sweden, Denmark, and Austria all ranking in the top 10 for per capita spending2. Nordic countries show particularly high investment levels, with Norway experiencing 5.9-7.3% annual property price growth22.

Emerging Markets: Countries like Brazil and India are showing significant growth in home improvement spending, driven by urbanization and rising middle-class populations2324.

The residential real estate and home improvement sectors continue to demonstrate remarkable resilience and growth, with these five countries leading global investment in private homes and interior spaces throughout 2025.