Know Your “Price of Admission”
Picture CPL (cost per lead) as the cover charge at a popular home-show expo. Pay the right fee and you’re inside talking to prospects; be off by a few dollars (or a few clicks) and you’re stuck outside while competitors collect contracts. Google, Meta, and lead marketplaces all raised that cover charge in 2025, so remodelers need fresh numbers—not guesses—to keep margins on track.
Below you’ll find the latest, channel-by-channel CPL benchmarks, followed by quick wins to pull costs down without throttling volume.
What Counts as a Remodeling Lead?
For this report, a lead is any contact who actively requests an estimate—phone call, form fill, booking request, or direct message—after clicking your ad or being matched through a marketplace. Brand-search clicks and newsletter sign-ups don’t make the cut.
2025 CPL Benchmarks at a Glance
| Channel | Typical CPL | Notes |
|---|---|---|
| Google Search Ads (remodeling & general contractors) | $165.67 median | High intent but rising 10.5 % YoY (localiq.com) |
| Google Local Services Ads (LSA) | $25 – $45 | Pay-per-lead, still the bargain in Google’s stack (mediagistic.com) |
| Facebook & Instagram Ads (home-services vertical) | $58.56 – $116.75 depending on trade | Roofing & gutters sit at the top; landscaping at the bottom (localiq.com) |
| Shared Lead Marketplaces (Angi/HomeAdvisor) | $15 – $85 | Fee varies by zip code & job type; leads sold to multiple pros (7ten.marketing) |
| Exclusive Pay-Per-Lead Networks (Service Direct, 99 Calls) | $15 – $75 | One contractor per lead, higher close rate (blog.99calls.com) |
All figures are in USD and represent median costs from data gathered Jan–May 2025.
Channel Deep-Dive & Action Steps
1. Google Search Ads
Why it’s pricey: Remodel keywords (“kitchen remodel cost,” “design-build contractor”) face national franchises and local firms in the same auction. Average CPC for home-services searches climbed to $7.85, while conversion rates on large-ticket queries dipped below 3 %. (localiq.com)
Trim your CPL:
- Build single-keyword ad groups around high-margin services (e.g., “basement finishing”) so ad copy mirrors search intent.
- Use value-based bidding—set Target CPA to 80 % of your net profit per job instead of a flat dollar figure.
- Add negative keywords like “DIY,” “ideas,” “images” to filter free-research clicks.
2. Google Local Services Ads (LSA)
Why it shines: Google verifies license, insurance, and reviews, then charges only for calls or messages—not clicks. The median remodeling lead slid in under $45 in 2025, even after a modest uptick since 2024. (mediagistic.com)
Trim your CPL:
- Answer every call; response time sits in Google’s LSA ranking formula.
- Rotate before-and-after project photos weekly; high-resolution images earn more screen real estate.
- Encourage clients to mention project type (“bathroom gut”) in reviews. Those keywords often surface in LSA filters.
3. Facebook & Instagram Ads
Social’s CPL spread is wide. Design-heavy trades (cabinets, baths) trend lower because lifestyle imagery sparks engagement, while “grudge” projects (roof leaks) cost more. Median CPLs range from $58 for landscaping to $117 for roofing. (localiq.com)
Trim your CPL:
- Run Lead-Gen forms that pre-fill user info; they convert up to 20 % better than send-to-website ads.
- Layer a 5-mile radius with a household-income filter (top 30 %) to weed out tire-kickers.
- Pair social with PPC: campaigns using both channels lowered CPL by 3–29 %. (localiq.com)
4. Shared Lead Marketplaces
Angi/HomeAdvisor still attract homeowners who want multiple bids fast. But you’re paying $15-$85 for a lead that hits three to five contractors’ phones simultaneously. (7ten.marketing)
Trim your CPL (really CPM—cost per meeting):
- Call within 60 seconds; early bird wins roughly 70 % of shared leads in competitive metros.
- Track win rate by zip code inside the portal; pause counties where you close under 15 %.
- Budget for disputed leads—build a 10 % write-off reserve.
5. Exclusive Pay-Per-Lead Networks
Vendors like Service Direct push phone calls straight to one remodeler at $15-$75 each. Close rates skew 25-40 %, making blended cost per sale attractive. (blog.99calls.com)
Trim your CPL:
- Negotiate the lead cap; many networks accept lower volume for a lower rate.
- Record calls to flag mismatched jobs and request credits promptly.
- Sync vendor calls to a round-robin dialer so no prospect reaches voicemail.
Factors Moving CPL in 2025
- Interest-rate chill: Homeowners stay put and remodel, raising query volume but also competition in ad auctions.
- SGE roll-out: Google’s AI snapshot funnels more clicks to the top three organic sources, pushing laggards deeper (and forcing higher ad spend).
- Review density: Profiles with 100+ Google reviews convert 18 % better than those with under 20, lowering effective CPL across every channel.
Key Takeaways for Remodelers
- Budget realism: A healthy blended CPL target for full-service remodelers in 2025 is $90-$120. Under that range you risk starving the funnel; far over it signals waste.
- Channel mix wins: Pair at least two paid channels (e.g., Search + LSA or Facebook + Search). Diversification shaves 10-20 % off total CPL for most contractors.
- Speed plus specificity: Fast follow-up and trade-specific messaging (“We finish basements in 8 weeks, on budget”) are still your cheapest CPL reducers—no algorithmic tweaks required.
Ready to Cut Your CPL?
Your homepage is often the first stop after an ad click. If it loads slowly or buries your call-to-action, every lead costs more. Grab a free homepage review—I’ll record a quick video, walk through fixes, and show exactly where conversions leak. Get yours here.
