Posted: September 1, 2016 | Cost Trends
The beat goes on … construction is sustaining 8-10% growth and is one of the stars of our national economy.
Posted: July 18, 2016 | Cost Trends
The construction industry remains on an upward track. Housing is still strong with gains of 10% and some clear signs of sustainable momentum. Commercial construction has had gains in the 10-15% range, with some red-hot regional markets showing gains over 20%. All segments of private construction are up and most of the public segments are following (but at a lesser rate of 7-8%). Hotels and offices are leading the way with lofty gains of 25-30%.
Posted: May 25, 2016 | Cost Trends
Construction is going strong, with both the private and public sectors 9-11% ahead of last year. The equilibrium between these two sectors bodes well for our industry and seems to be sustainable for the near future. Money is cheap right now so everyone who was going to build something senses that the financing aspect won’t get much better. Home prices are moving upward, 30-year mortgages are at an extremely favorable low, and first time buyers are jumping in to help fuel the market. As a result, housing starts are good – but as we’ve stated before – not like ten years ago. Still, it’s good time to be in the industry
Posted: March 7, 2016 | Cost Trends
Housing is still growing at a pretty good rate. “Millennials” entering the first-time buyers market are helping the industry grow. Housing starts for the past year are over a million, but off considerably from ten years ago. Apartment rates are still rising and the Federal Government is making good on easing lending standards (although not quite aggressively enough). Commercial is still doing well and shows positive signs, and the public sector seems to be maintaining its increases (5%). Overall, housing will be up approximately 10% this year and commercial up about 10%.
Posted: January 15, 2016 | Cost Trends
Housing is still growing at a pretty good rate. It is up 10%, and along with consumer spending it’s helping to keep our economy growing at a positive but tepid rate of 2%. We hear stories of the “New Normal” and a slower growth path, but maybe we are seeing the reality of a “services” type economy versus the manufacturing type which we were accustomed to. This still bodes well for the construction industry and we should see continued growth in the 8 to 10% range.