Have you felt an increase in demand this year? According to a report from the U.S. Census Bureau and the Department of Housing and Urban Development, the rate of new single-family house sales was up 41.5% from 2019 to October 2020! How is this massive increase impacting the home builders industry?
With demand increases, supply problems are bound to follow. We’ve seen this across industries this year. 52% of construction companies have struggled this year to find skilled workers. A National Association of Home Builders’ survey found that labor is most builders’ top concern. 85% said that they were expecting future problems due to labor costs and availability.
How can you meet the supply and demand problem?
With complicated problems, there aren’t simple solutions. Some companies have offered larger signing bonuses or promotions. Others have started to work with communities to promote construction to at-risk youth, veterans, transitioning military members, justice-involved youth and adults and displaced workers.
One avenue that has proved effective is taking this opportunity to modernize and integrate new tech. Every year there are more and more SaaS (Software as a Service) products specifically designed for the construction industry. A lot of these products are designed to help streamline business processes and procedures. SaaS can be used to communicate with suppliers and clients.
What ways has the increased demand in Production Home Building impacted your business?