Nationwide spending on residential remodeling is expected to continue to increase through the third quarter of 2018, according to the Leading Indicator of Remodeling Activity (LIRA) released today by the Remodeling Futures Program at the Joint Center for Housing Studies of Harvard University.

The report projects that annual gains in home renovation and repair spending will increase from 6.3 percent in the fourth quarter of 2017 to 7.7 percent by the third quarter of next year.

“Recent strengthening of the U.S. economy, tight for-sale housing inventories, and healthy home equity gains are all working to boost home improvement activity,” Chris Herbert, managing director of the Joint Center for Housing Studies, said in a statement. “Over the coming year, owners are projected to spend in excess of $330 billion on home upgrades and replacements, as well as routine maintenance.”

Damage from Hurricanes Harvey, Irma and Maria could push remodeling spending even higher, the report said.