Contractors Keep Things Cookin’ with Small Jobs
Things have changed a lot in just the last two years, for contractors as well as homeowners. Not too long ago, homeowners had to compete for a contractors’ time, rather than the other way around. In the peak of the recent real estate boom, contractors were busy working on new homes and had to shuffle around to fulfill remodeling requests.
One of the biggest changes today is a lot of the new home work has stopped, making way for smaller remodeling jobs. Even builders are now focusing on remodeling as opposed to construction, just to stay busy. According to a recent Qualified Remodeler article, “Homebuilders Turn to Remodeling,” many homeowners don’t realize that general contractors also do small and simple projects. The good news is that the work for smaller projects is there, keeping contractors of every trade working.
Another change: bids for work are considerably lower. People aren’t spending a lot of money nowadays, period. But value is taking on a whole new meaning, and while real estate is down, value is coming to mean being comfortable and proud of the homes we live in – now. Therefore, customers are spending the money to hire a contractor because they want the work to get done right. They are also remodeling with lifestyle upgrades in mind more so than increasing resale value.
Contractors, in turn, seem to be spending more and earning less. Profit margins are shrinking because while bids are lower, supplies, materials, and fuel cost more. In addition, supply deliveries are less frequent, so contractors may find themselves spending money for special deliveries. Those contractors with a strong work ethic, who value building long-standing relationships with homeowners, are being rewarded now. Homeowners are turning to contractors they trust and feel most comfortable working with.