Contractor growth · Paid ads

How much do Google Ads cost for contractors? (2026)

Google does not sell ads at a set price. You bid in an auction, so what you pay depends on your trade, your city and how many other contractors want the same searches. Published benchmarks give a useful starting point.

Contractor guidesBy Landon LittleNovember 8, 20267 min read

What Google search ads cost home service businesses

WordStream by LocaliQ benchmarks, medians from US search campaigns. The 2026 edition covers April 2025 to March 2026; the 2025 edition covers April 2024 to March 2025. Read November 8, 2026.
MetricHome & Home Improvement, 2026Home & Home Improvement, 2025All industries, 2026
Cost per click$8.33$7.85$5.42
Click-through rate6.47%6.37%6.64%
Conversion rate8.05%7.33%8.18%
Cost per lead$90.92$90.92$66.69

In the 2026 edition, Home & Home Improvement had the second highest cost per click of any category, behind Attorneys & Legal Services at $9.87. The report covers 13,474 campaigns, and its "averages" are medians. Two cautions: its introduction says the data spans Google Ads and Microsoft Ads, and the Home & Home Improvement cost per lead is exactly $90.92 in both editions, which may be a carry-over. Both are as published on the 2026 page and the 2025 page.

Cost by trade

The current benchmarks do not split home services by trade. The figures below are the most specific published ones we could find, and both have limits, so use them for rough comparison only.

Search ads figures are from LocaliQ's home services benchmarks, which describe the data as for 2021 planning, so they are older. Local Services Ads figures are from 99 Calls, a lead generation vendor, based on its own US client campaigns in Q1 2026 (3,367 leads).

Search ads: LocaliQ, about 2021. Local Services Ads: 99 Calls client data, Q1 2026. Read November 8, 2026. A dash means the source does not list that trade.
TradeSearch ads cost per lead (LocaliQ, about 2021)Search ads cost per click (LocaliQ, about 2021)Local Services Ads cost per lead (99 Calls, Q1 2026)
Plumbing$48.91$8.67$56.90
HVAC$55.15 (AC services), $62.18 (heating)$8.94 (AC services), $7.92 (heating)$76.45
Roofing$101.49 (roofing and gutters)$9.03$65.80
Electrical--$35.70
Landscaping$38.47$4.10$25.20
Pest control$39.25$6.55-
General contracting--$50.17
Painting--$30.46

How Local Services Ads are priced

Local Services Ads are the listings with a Google badge at the top of many "near me" searches. Per Google's help page, read November 8, 2026:

  • You pay per lead, not per click. Google says lead prices vary with your location, the job type, the type of lead and your bidding mode, and message leads are typically priced lower than calls.
  • A charged lead is an answered call, a missed call during business hours where the caller stayed on more than 20 seconds, or a text, email, voicemail or booking request. The same customer contacting you again within 15 days is not charged twice.
  • You set an average weekly budget. Some weeks can run over, but a month never goes past the weekly budget times the average weeks in a month.
  • Invalid leads are not charged, and charged leads are reassessed for 30 days and credited automatically if found invalid. Bidding can be set to maximize leads, aim at a target cost per lead, or cap what you pay per lead.

Because you pay for every answered call, a lead you miss or never call back still costs you. If you buy leads, it helps to have every call answered and every missed call texted back.

How much budget to start with

Google has no minimum ad spend and no flat fee or subscription. You set a daily budget. On a given day Google can spend up to twice it, but over a month it will not charge more than 30.4 times the daily budget. So a $10 daily budget caps at $304 a month.

A quick way to size a budget is to divide it by a cost per lead. At the 2026 median of $90.92 per lead, $1,000 a month works out to about 11 leads. That is arithmetic on a median, not a forecast: your own cost can be far higher or lower depending on your city, your trade and how well your ads and landing page are set up.

What moves the price

  • Your trade. Emergency and high-ticket work, like roofing, HVAC and restoration, tends to cost more per click and per lead.
  • Your city. More competitors bidding on the same searches raises the price.
  • Which searches you bid on. "Emergency plumber near me" costs more than broad research searches, and converts better.
  • Negative keywords, which keep you from paying for searches like jobs, DIY or free.
  • Your landing page. A page that loads fast and puts a phone number and a booking button up front turns more clicks into leads.
  • Answering the phone. A lead you do not answer is a lead you paid for and lost.

What it costs to have someone run the ads

Ad spend goes to Google. Management is a separate fee, and agencies price it as a flat fee, a percentage of spend or a mix; we compare those in Google Ads management fee structures explained. Nova Solutions charges a flat $397 a month for up to about $2,000 of monthly spend and $897 for up to about $5,000, with the spend paid to Google directly. More on how we set up campaigns for trades is on Google Ads for contractors.

Sources

All read November 8, 2026. Benchmarks: WordStream, 2026 Google Ads benchmarks (published May 18, 2026), WordStream, 2025 Google Ads benchmarks and LocaliQ, home services advertising benchmarks. Local Services Ads: Google's help pages on pricing and charged leads, bidding and the move to Performance Max, and the Google Verified announcement (August 20, 2025). Trade-level Local Services Ads costs: 99 Calls, a vendor reporting its own client data. Budget rules: Google, how ads work, Google, how much Google Ads cost and Google Ads help on daily budgets. These are published figures, not Nova Solutions results.

Questions this post answers

How much do Google Ads cost for contractors?
In WordStream's 2026 benchmarks, Home & Home Improvement search campaigns had a median cost of $8.33 per click and $90.92 per lead. Google has no minimum spend, so the total is the budget you set, plus a management fee if someone runs the ads for you.
How much do Google Local Services Ads cost per lead?
Google does not publish a price. It says lead prices vary by location, job type, lead type and bidding mode. One lead generation vendor, 99 Calls, reported Q1 2026 averages from its own clients of $56.90 for plumbing, $76.45 for HVAC, $65.80 for roofing and $35.70 for electrical.
Is there a minimum budget for Google Ads?
No. Google says there is no minimum ad spend. You set a daily budget, Google can spend up to twice it on a given day, and a month never goes past 30.4 times the daily budget.
Do you pay for every call from Local Services Ads?
You pay for valid leads: answered calls, missed calls during business hours where the caller stayed on more than 20 seconds, and texts, emails, voicemails or booking requests. Repeat contact from the same customer within 15 days is not charged again, and invalid leads are credited.
What does Nova Solutions charge to manage Google Ads?
A flat $397 a month for up to about $2,000 of monthly ad spend and $897 for up to about $5,000, with the ad spend paid to Google directly.

See how the fee actually works for you.

A flat fee, tiered by spend, not a percentage that grows on its own. Ad spend is billed to you directly by the platform.

Book a 20-minute call

Pick a time that works. Twenty minutes on video, no pitch. You leave knowing whether this is worth doing.