The nation’s remodeling industry has shown signs of resilience in the first quarter of this year, despite supply chain and inflation issues, according to a new survey released by the National Association of Home Builders.
Using what is called a Remodeling Market Index, the survey reveals an overall healthy industry posting of 86, with any number above 50 indicating that respondents view conditions as more good than bad.
Done in conjunction with the Columbus, Ohio-based Westlake Royal Building Products company, the Remodeling Index shows a higher business reading at 89 for large remodeling projects with a dollar value of more than $50,000, an increase of four points over the first quarter of 2021.
Meanwhile, moderately sized remodeling projects in the $20,000 to $50,000 range dropped slightly from 90 on last year’s first quarter index to 89 in the first three months of this year.
A final category for smaller remodeling projects priced at below $20,000 also declined from 92 to 90.
In a statement, Robert Dietz, chief economist with the NAHB, said the latest index findings are on pace with the association’s projection of “moderate growth in the remodeling market for 2022.”
Showing how much general attitudes have changed since the initial onset of Covid 19 during the first quarter of 2020, a separate part of the survey asked respondents to rate their regional market conditions. In early 2020, 58% of respondents said conditions were worse than they had been the quarter before; while in the most recent survey, only 7% indicated the same sentiment.
While those saying things had gotten better in the last quarter were down to 21% from a high of 41% when the economy first began to open in early 2021, respondents saying conditions were “about the same” since late last year stood at 72%, indicating a market stabilization.
By Garry Boulard
