After two record-breaking years of intense demand where the renovation market grew nearly 8% year over year, Americans spent a whopping $1 trillion dollars renovating. Of that 39% remodeled kitchens, and 25% renovated a bath (or 2). The top five trends for home improvements included:
- Updating kitchens and bathrooms
- Adding bathrooms
- Expanding or improving indoor/outdoor living spaces
- Improved energy efficiency
- Increasing storage space (basements!)
According to the Leading Indicator of Remodeling Activity (LIRA), released by the Remodeling Futures Program at the Joint Center for Housing Studies of Harvard University, the top drivers for renovating in 2023 will be energy efficiency, work from home spaces, and aging in place retrofits.
So what’s your plan for the new year? How about the bath you’ve been waiting to do, the one with the leaking shower you can’t use? The kitchen you’ve been holding out on, waiting for the “white and gray” trend to break – (It has finally! Talk to us about the new design trends emerging now). Or maybe you have an in-law that will be needing to live with you and it’s time for that home addition.
Many people who once thought they might sell their home are now deciding to stay put, keeping their low-interest-rate mortgages on their appreciating homes and paying cash for renovations designed to enhance their way of living and working at home. Those who may have been waiting for “prices to come down” are moving forward in the new year as lumber packages have returned to pre-2020 prices. We continue to say, “Now is always the cheapest time to renovate.”
Persevering Through Challenges
Looking back on the Covid-era, I do not think anyone is more over it than we are. In our industry, price fluctuations, shipping delays, material availability, Covid illnesses, and labor shortages have no doubt been challenging. Most of it has become somewhat predictable by now and we have adapted expectations within our design and construction process to be as effective as possible.
We are seeing lead times come back into a normal range for most interior finish products, and most pricing has stabilized. Our design team does a lot of preparation in advance and keeps tight control of product ordering and timing. We have continued to maintain contracted project costs for clients very well, something we have always prided ourselves on and a significant accomplishment in today’s market as contrasted by too many online stories of builders slapping clients with additional charges after their project is complete. This is a huge accomplishment.
Skilled labor in our industry will remain a challenge indefinitely. But renovating won’t stop. That’s why our belief in Design-Build – a single source responsibility- is stronger than ever whence availability and coordination of trades and staff are still key to a successful renovation. A defined process is more important than ever for the best chance of enjoying the renovation process in today’s market.
As leaders in the industry, we will always have high expectations and do everything in our power to deliver an exceptional renovation experience. We continue to recruit and train the best possible team we can. We remind clients that every project will have speedbumps, but we always employ solutions and get it done, even if getting it done right takes a little bit longer. The promise remains to complete every project 100% to client satisfaction, something our industry is not known for, especially now.
As we enter our thirty-first year, Advance Design has developed and adapted a business process that has led to renovation successes for literally thousands of client projects. Although this season will surely continue to deliver curveballs, successful businesses must flex with the times and ADS will continue to stand the test of time.
In 2023 we are prepared to deliver talented design and the best renovation experiences with a fresh outlook. Be sure to follow us on Facebook, Instagram, and Pinterest for the beautiful portfolio of inspiring recent projects, and get ready for a great ride when you embark on your renovation project with Advance Design. Get your request in soon as the calendar is already filling up! It is an exciting time to renovate, and it is going to be a busy year.
Each new season, our best work comes from loyal clients who return to us and recommend friends and family. Word of mouth is by far our best marketing! Thirty-five local families at Advance Design, as well as the families of our trade teams, rely on client referrals for their livelihood every day. If you are a past or current ADS client, we would greatly appreciate if you could take just a moment and drop a helpful comment or two on our social media sites. Thank you!
The Advance Design Studio Team