by Michael Dey | Oct 23, 2014 | Uncategorized
The Remodeling Market Index (RMI) reclaimed the high-water mark of 57 in the third quarter of 2014, the sixth consecutive quarter for a reading above 50.
An RMI above 50 indicates that more remodelers report market activity is higher (compared to the prior quarter) than report it is lower. The overall RMI averages ratings of current remodeling activity with indicators of future remodeling activity.
“Most remodelers remain confident that the market is improving as home owners undertake renovations, large and small,” said Paul Sullivan, CAPS, CGR, CGP, of Waterville Valley, NH, chairman of the Remodelers Council of the National Association of Home Builders. “The consistency and longevity of positive RMI readings are in line with the gradual recovery of the housing industry.”
The RMI’s future market conditions index rose to 58 from 56 in the previous quarter. All four sub-components − calls for bids, amount of work committed for the next three months, backlog of jobs and appointments for proposals – increased or remained level with the previous quarter’s reading.
The current market conditions component of the RMI increased one point to 57 this quarter. A two-point gain was made among the categories of large additions as well as smaller remodeling jobs with readings of 56 and 58, respectively.
“The stabilization of the RMI in the mid-50s for more than a year demonstrates the slow, steady recovery of the housing industry that we expect to continue,” said David Crowe, chief economist of the National Association of Home Builders. “The major headwind to a stronger recovery is a shortage of qualified labor and subcontractors in some parts of the county, making if difficult for remodelers to employ carpenters and finish projects as quickly and economically as many of their customers expect.”
by Michael Dey | Jan 30, 2012 | Uncategorized
Remodeling sentiment rose to the highest level in five years, according to the National Association of Home Builders’ (NAHB) Remodeling Market Index (RMI) for the fourth quarter of 2011. Released today, the RMI increased to 46.6 in the fourth quarter from 41.7 in the third quarter.
In the fourth quarter, the RMI component measuring current market conditions rose to 48.4 from 43.0 in the previous quarter. The RMI component measuring future indicators of remodeling business was also positive, increasing to 44.8 from 40.4 in the previous quarter.
An RMI below 50 indicates that more remodelers report market activity is lower (compared to the prior quarter) than report it is higher. The overall RMI averages ratings of current remodeling activity with indicators of future activity.
“As more consumers remain in their homes rather than move in this economy, remodelers benefited from a gradual increase in home improvement activity, taking us to a five-year high,” said NAHB Remodelers Chairman Bob Peterson, CGR, CAPS, CGP, a remodeler from Ft. Collins, Colo. “2011 ended on a strong note for the remodeling industry.”
Current market conditions improved significantly in all four regions over the third quarter of 2011. The RMI reported higher market activity in two important categories: major additions 52.3 (from 45.2) and minor additions 50.1 (from 45.7).
Future market indicators in each region also experienced gains from the previous quarter. Two of the indices reported a level over 50: calls for bids at 50.7 (from 45.4) and appointments for proposals at 50.1 (from 43.3), while work committed for the next three months only rose to 31.5 (from 29.9).
“With several key components above 50, the latest RMI provides reason for guarded optimism going forward,” said NAHB Chief Economist David Crowe. “The residential remodeling market has been improving gradually, mirroring the trend in other segments of the housing market. Stringent lending requirements and economic uncertainty continue to be a drag on demand, but we expect a modest growth in remodeling activity to continue throughout 2012.”
by Michael Dey | Aug 1, 2011 | Uncategorized
The BuildFax Residential Remodeling Index was 124.3, up 22 percent from 109.7 in April and the highest level in the history of the index.
by Michael Dey | Mar 16, 2011 | Uncategorized
Greenville South Carolina is ranked 82 in the Top 100 Markets list for remodeling, according to Remodeling magazine. The Top 100 Markets list is based on the Residential Remodeling Index, a metric developed by Hanley Wood Market Intelligence. The index measures the overall level of remodeling activity in 366 metropolitan statistical areas nationwide.
Also making the top 100 are Charlotte (8), Columbia (39), Atlanta (40), Augusta (62), and Charleston (76).
To read the Top 100 Markets article in Remodeling, click here.