Spring is typically a popular time for home improvement and marks the beginning of the busy season for many HVAC contractors. According to a recent report from the National Association of Home Builders (NAHB), professionals have a reason to believe that there will be solid growth in the industry, despite disappointing housing data at the beginning of 2014.
Here are some of the interesting survey highlights:
- Growth for single-family and multifamily homes. Housing’s share of the GDP stood at 15.5 percent as of the first quarter of 2014. The survey results forecast continued growth with the expansion of single-family and multifamily development. Multifamily construction spending increased by 30.8 percent, single-family is up by 16.3 percent and remodeling has grown by 12.8 percent on a three-month average basis from March of last year.
- Hiring a professional for the job. Data from the American Housing Survey indicated that homeowners use professionals most often for HVAC system installation and roofing; followed by siding, windows and doors, electrical systems, plumbing and floors.
- Top projects. Bathroom remodeling was the most common, with kitchen remodeling as a close second. Whole-house remodeling, room additions and window and door replacements rounded out the remaining top projects.
- Reasons for remodeling. A desire for better amenities, a need to replace or repair components and a need for additional space were the most common reasons for undertaking a remodel.
- Top markets for change. NAHB identified the top markets for change in single-family and multifamily market shares. Areas with the largest gains in single-family market concentration tended to have above-average population growth. Top markets include Fairbanks, Alaska; St. George, Utah; Yuma, Arizona; and Yakima, Washington.
Home improvement spending has a direct effect on both our industry and the economy, and we’re glad to see positive, continued growth so far in 2014. Click here to read the full NAHB report.