diff --git a/hive-c0re/src/actions.rs b/hive-c0re/src/actions.rs
index 3ad26267..9e9726f3 100644
--- a/hive-c0re/src/actions.rs
+++ b/hive-c0re/src/actions.rs
@@ -559,14 +559,17 @@ async fn run_apply_commit(
         );
     }
 
-    coord.set_queue_step(queue_entry_id, "nixos-container update");
     // Container-level rebuild (or first-time create) against meta#<name>.
+    // Step labels are emitted inside rebuild_no_meta via the callback so
+    // the dashboard reflects actual phase progress rather than a static
+    // "nixos-container update" label for the whole multi-minute window.
     let build_result = lifecycle::rebuild_no_meta(
         &approval.agent,
         agent_dir,
         applied_dir,
         claude_dir,
         notes_dir,
+        &|step| coord.set_queue_step(queue_entry_id, step),
     )
     .await;
 
diff --git a/hive-c0re/src/auto_update.rs b/hive-c0re/src/auto_update.rs
index dbf75e86..456fd958 100644
--- a/hive-c0re/src/auto_update.rs
+++ b/hive-c0re/src/auto_update.rs
@@ -86,7 +86,6 @@ pub async fn rebuild_agent(
     // lifecycle_action; this catches the auto-update scan + any
     // other direct caller.
     let guard = coord.transient_guard(name, crate::coordinator::TransientKind::Rebuilding);
-    coord.set_queue_step(queue_entry_id, "nixos-container update");
     let result = lifecycle::rebuild(
         name,
         &coord.hyperhive_flake,
@@ -97,6 +96,7 @@ pub async fn rebuild_agent(
         coord.dashboard_port,
         &coord.operator_pronouns,
         &coord.context_window_tokens,
+        &|step| coord.set_queue_step(queue_entry_id, step),
     )
     .await;
     drop(guard);
diff --git a/hive-c0re/src/lifecycle.rs b/hive-c0re/src/lifecycle.rs
index 17ab511b..9dc9d080 100644
--- a/hive-c0re/src/lifecycle.rs
+++ b/hive-c0re/src/lifecycle.rs
@@ -354,6 +354,7 @@ pub async fn rebuild(
     dashboard_port: u16,
     operator_pronouns: &str,
     context_window_tokens: &std::collections::HashMap<String, u64>,
+    on_step: &(dyn Fn(&str) + Send + Sync),
 ) -> Result<()> {
     // Sync the meta flake (idempotent — no-op when the rendered
     // flake matches disk) so a manual rebuild from the dashboard
@@ -373,7 +374,7 @@ pub async fn rebuild(
     // `applied/<n>/main` currently points at (deployed/<latest>).
     // Commits the lock if it changed.
     crate::meta::lock_update_for_rebuild(name).await?;
-    rebuild_no_meta(name, agent_dir, applied_dir, claude_dir, notes_dir).await
+    rebuild_no_meta(name, agent_dir, applied_dir, claude_dir, notes_dir, on_step).await
 }
 
 /// Container-level rebuild without touching the meta repo. Callers
@@ -381,12 +382,18 @@ pub async fn rebuild(
 /// drives meta through the two-phase prepare/finalize/abort flow)
 /// use this directly. Public `rebuild` wraps it with idempotent meta
 /// sync + lock-bump-and-commit.
+///
+/// `on_step` is called at each phase boundary with a short human-readable
+/// label so callers can surface progress (e.g. update the rebuild-queue
+/// step shown in the dashboard). Pass `&|_| ()` when progress reporting
+/// is not needed.
 pub async fn rebuild_no_meta(
     name: &str,
     agent_dir: &Path,
     applied_dir: &Path,
     claude_dir: &Path,
     notes_dir: &Path,
+    on_step: &(dyn Fn(&str) + Send + Sync),
 ) -> Result<()> {
     validate(name)?;
     if let Some(other) = port_collision(name).await {
@@ -433,9 +440,12 @@ pub async fn rebuild_no_meta(
             // When the container is already stopped there's no
             // downtime to shave — let `update` do the build inline
             // rather than evaluating the flake twice for nothing.
+            on_step("nix build");
             prebuild_toplevel(name, &flake_ref).await?;
+            on_step("nixos-container stop");
             run(&["stop", &container]).await?;
         }
+        on_step("nixos-container update");
         run(&["update", &container, "--flake", &flake_ref]).await?;
         if was_running {
             // Normal path: start into the new generation. The activation
@@ -450,6 +460,7 @@ pub async fn rebuild_no_meta(
             // `stop` requests a graceful SIGTERM drain; `kill` then SIGKILLs
             // any lingering processes so the next `start` enters a clean state
             // without a generation transition, letting the activation succeed.
+            on_step("nixos-container start");
             if let Err(start_err) = run(&["start", &container]).await {
                 tracing::warn!(
                     container = %container,
@@ -488,10 +499,12 @@ pub async fn rebuild_no_meta(
         // the build fails, no container record is left around to
         // clean up — so a pre-build adds nothing but a duplicate
         // eval.
+        on_step("nixos-container create");
         run(&["create", &container, "--flake", &flake_ref]).await?;
         set_nspawn_flags(&container, agent_dir, claude_dir, notes_dir)?;
         set_resource_limits(&container)?;
         systemd_daemon_reload().await?;
+        on_step("nixos-container start");
         run(&["start", &container]).await
     }
 }
diff --git a/hive-c0re/src/server.rs b/hive-c0re/src/server.rs
index 52b436c7..c4d7d2cc 100644
--- a/hive-c0re/src/server.rs
+++ b/hive-c0re/src/server.rs
@@ -141,6 +141,7 @@ async fn dispatch(req: &HostRequest, coord: Arc<Coordinator>) -> HostResponse {
                     coord.dashboard_port,
                     &coord.operator_pronouns,
                     &coord.context_window_tokens,
+                    &|_| (),
                 )
                 .await;
                 // Mirror auto_update::rebuild_agent — the manager wants