Houzz has released its latest survey, a study of the state of renovations in the United States. The Q3 2015 Houzz Renovation Barometer names a number of discoveries, including high optimism among industry professionals in quarter-over-quarter market improvements, as well as hiring challenges among renovation professionals.
“Barometer readings consistently show year-over-year gains in the past three quarters of 2015, pointing to healthy improvements in the remodeling industry in 2015 over 2014,” explains Nino Sitchinava, principal economist at Houzz. “The headwinds slowing overall industry performance are widespread labor shortages, particularly in the Midwest.”
Seasonal slowdown: Readings for the third quarter of 2015 are 6 to 11 percent lower than readings from the second quarter, across all industry groups. This drop is likely due to seasonal patterns.
Labor shortage: Renovation professionals continue to face hiring challenges, with carpenters in the shortest supply of all. The Midwest, in particular, is experiencing these labor shortages.
Outdoor specialties: Slowdown is especially being felt by outdoor specialty firms, particularly in the Northeast and Midwest. These regions saw a 36 percent and a 30 percent quarter-over-quarter decrease, respectively, in barometer scores for the third quarter. Outdoor firms in the South and in the West saw notably lower decreases: 21 percent and 10 percent, respectively.
The Houzz Renovation Barometer study is conducted each quarter. It is based on responses to an online survey, sent to a national roster of more than 5,000 interior designers, architects, contractors and remodelers, design-build firms, and building/renovation and landscape/outdoor specialties.
Find the full study online.