Remodeler Confidence Persists, Houzz Barometer Finds

Window & Door
July 17, 2017
Markets
Quarter-over-quarter confidence remains high for all industry sectors including architects, designers, general contractors/remodelers, design-build, specialty building/renovation and specialty landscape/outdoor, according to the Q2 2017 Houzz Renovation Barometer. Houzz Inc. also reports that expectations for Q3 are strong across all sectors.
 
Consistent with this positive outlook, firms are in high demand, as indicated by the new Houzz Renovation Barometer Backlog Index, which shows the number of weeks before an average firm can start work on a new mid-sized home renovation or design project given its current project commitments. The index revealed that GCs/remodelers and design-build companies have the longest average backlogs nationally at seven weeks, and increasing to eight weeks in the West.
 
“The Barometer is pointing to strong market conditions for home renovation professionals, with business confidence at similar levels observed this time last year,” says Nino Sitchinava, principal economist at Houzz.
 
As the outlook across the renovation industry remains positive, home professionals continue to report a shift in their project mix toward larger-scale and higher-end projects, contributing to increased business activity, the report finds. And, a significant share of remodelers report an increase in homeowners tackling multiple projects at the same time, purchasing high-end products and working on fixer-upper homes.
 
Demand for smart home technology also continues to increase, as reported by 34 percent of professionals, along with aging in place projects and energy-efficiency projects.