In the fourth quarter of 2011, professional remodelers saw remodeling market conditions rise to their highest level in five years, according to NAHB’s latest Remodeling Market Index (RMI), which climbed to 46.6, up from 41.7 in the third quarter.

The RMI component measuring current market conditions rose to 48.4 in the fourth quarter from 43.0 in the previous quarter. The component measuring future indicators of remodeling business also saw positive movement, increasing to 44.8 from 40.4 in the previous quarter.

An RMI below 50 indicates more remodelers reporting market activity is lower than in the prior quarter than those reporting it is higher. Based on results from a survey of remodelers, the overall RMI averages ratings of current remodeling activity with indicators of future activity.

“As more consumers remain in their homes rather than move in this economy, remodelers benefited from a gradual increase in home improvement activity, taking us to a five-year high,” said NAHB Remodelers Chairman Bob Peterson, CGR, CAPS, CGP, a remodeler from Ft. Collins, Colo.

Read the whole story here.

Historically, home equity loans have been an important source of funding for home improvement spending. The following analysis demonstrates this relationship and examines what impact recent declines in home equity loan use have had on the remodeling sector, as well as the positive effects of the residential energy-efficient tax credits. In particular, as home equity withdrawal declined during the Great Recession, remodeling spending fell. But the decline in remodeling activity was tempered by the existence of the tax credit programs.

According to the Census Bureau’s American Housing Survey (AHS), in 2005, 48% of home equity loan dollars were used for home improvement. That percentage has grown in recent years, increasing to 49% in 2007 and 51% in 2009 (the most recent edition of the AHS).

Read the full article on the NAHB blog here.

Come out to Bridgeport Village to see the new Santa House built by the PROs

In case you haven’t seen it yet – the PRO Santa House at Bridgeport Village is a sight to behold and a testament to what can be accomplished through generosity and tenacity even in these difficult economic times.

The project is a truly collaborative effort of the Professional Remodelers Organization (PRO) with over 60 individuals from over 40 companies pitching in tens of thousands of dollars worth of materials and man-hours to bring this project to life.  It took months of preparation and several incredibly generous donations of time, materials, and funds from companies like Contract Furnishings Mart, Powerhouse Construction, and many more, to create a structure that can be taken apart in panels, stored on pallets in the off season and re-erected onsite… plus it had to pass the permitting process through the city of Tualatin!  With a lot of help from the members of the Professional Remodelers Organization, the Santa House is complete and open for visitors Monday through Saturday through Christmas Eve.

To find a member of the PRO to help you with your home remodeling needs visit our directory here.

Some of the many PRO elves that helped out with the Santa House project for Bridgeport Village

It takes an army of PROs to set the last wall for the 2011 PRO Santa House!

The Professional Remodelers Organization wishes to recognize the following individuals and companies, without whom this project would not have been possible – thank you , thank you all:

Dan Wood, C&E Rentals
Scott Bocci, C&E Rentals
Larry Mock, Cascade Custom Remodel & Construction
Steve Pruitt, Cascade Restoration & Remodeling
Greg Wood, Cascade Restoration & Remodeling
Thomas Adams, Classic Electric, LLC
Abigail Adams, Classic Electric, LLC
Mark McGregor, Clean it Up Mark!
Steve Frazier, Contract Furnishings Mart
Thomas Payne, Craftsman Homes Group LLC
Sonja Bell, Custom Stone Creations
Theresa Springer, Directors Mortgage
Scott Dual, Dual Purpose Construction
Chris Barry, Energy Trust of Oregon
Michael Pender, Fisher Roofing
Tom & Alejandro, Fisher Roofing
Andrew Morphis, Green Hammer Inc
Linda Blackwood, Interiors by Blackwood, LLC
Andy Stember, JAS Engineering
Luke Morley, Lakeside Lumber
Anthony Scales, Milgard Windows – Portland
Tim Doolittle, Miller Paint
Patrick Richardson, Murrayhill Remodeling Co.
Lee Zajic, N.W. Renovations & Design Co.
Kellie Hainline, National Builders Hardware
Dave Szyplinski, National Builders Hardware
Patty Davis, Natural Stone Designs, Inc.
Tom White, North West Framing Inc.
Sean Alexander, North West Framing Inc.
Nancy Cranston, PARR Lumber Company
Scott Coffey, PARR Lumber Company
Robin McKnight, Powerhouse Construction, Inc.
Justan Proulx, Powerhouse Construction, Inc.
Nate Seiler, Powerhouse Construction, Inc.
Michael Barnum, Powerhouse Construction, Inc.
Nate Bond, ProBuild
Ed Becker, ProBuild
Todd Hertner, Rebuild LLC
Gordon Root, Root Holdings, LLC
Nate McNeely, Sherwin-Williams Co.
Jamie Laird, Sherwin-Williams Co.
Nancy Long, Sisu Painting, Inc.
Cylina Sanchez, Sisu Painting, Inc.
Frank Sanchez, Sisu Painting, Inc.
Roger Fernandez, Sisu Painting, Inc.
Dale Bell, Sky Heating & Air Conditioning
Steve Stolze, SLS Remodel and Additions
Tim Nielsen, Southgate Wallboard
Mitch Stanley, Stanley Renovation & Design, Inc.
Dave Silvey, Suburban Door Company Inc.
Dean Wescott, Suburban Door Company Inc.
Steve Klingerman, T.H.E. Remodel Group
John Scott, T.H.E. Remodel Group
Dave Parker, The Cronin Company
Rob Novak, The Cronin Company
Inspector Bill King and all of the Tualatin Building Officials
Linda Beymer, W.B. Adams Co.
Wayne Randall, Wayne S. Randall Construction
Jake Randall, Wayne S. Randall Construction
Moe Salem, Westside Drywall & Insulation
Louise Farrar-Wegener, Z-3 Design Studio Inc.
And so many individual members of the Professional Remodelers Organization, Building Green Council and Home Builders Association of Metro Portland who took the time to make calls or give of their time and resources in a myriad of ways to ensure the success of this project.

Thank you and Happy Holidays from the Professional Remodelers Organization.

It takes a lot of PROs to build Santa's House

For almost two weeks now a few dedicated Professional Remodelers Organization (PRO) members have been working almost round the clock at C&E Rentals in Tualatin to build the PRO Santa House for Bridgeport Village.

This project was initially taken on to help promote visibility for the PRO organization but has turned into a camaraderie building adventure to procure the materials, services, permits, and labor necessary to create a one of a kind house for Santa to call home while he visits us here is the Great Northwest.  From the design process to materials procurement to rounding up volunteer labor this whole process has turned out to be a real labor of love for the PROs and their amazing and generous supporters… And we’re not done yet!

We need to finish up with the initial build and painting process and then we’re breaking this whole thing down to the panels on November 9th, loading it onto trucks and trailers on the 10th and delivering it and reassembling it on November 11th and 12th at Bridgeport Village.  We need extra hands and able bodies on November 11th – and anyone who helps out is guaranteed to show up  on the Nice list this year!

Please contact Jessica Metteer at jessicam@hbapdx.org or 503-684-1880 to sign up to help us finish up this beautiful PROfessional home for Santa Claus!

The Remodeling Market Index is published quarterly by the National Association of Home Builders, Remodelers Division.  In the second quarter of 2011 the RMI dipped slightly from 46.5 to 43.9.

In a recent post from the NAHB Remodelers, chief economist David Crowe stated, “While the RMI indicates that the home remodeling market softened somewhat in the second quarter, this is still the second highest RMI we’ve been able to report since the third quarter of 2007.”

Please follow the link below to read the full article from NAHB about the RMI and it’s trajectory.

http://nahbenews.com/nahbrenew/issues/2011-08-17/index.html

Relationships with your clients that grow from first impressions, to trusting bonds, to making coffee for the crew when your work day starts before the homeowners have gotten themselves really going for the day.

Relationships with your subcontractors that start with a great bid and grow into a trusting, quality driven, and mutually profitable partnership.

Relationships with your suppliers that start with a simple order and grow into the kind of give and take where you can get the replacement tile you need shipped out in a week instead of three weeks and you can wait a few extra days for that light fixture because it’s going to save you both a bundle.

The HBA PRO recently worked together with NWSID, NKBA, and the ORA to produce an event that was truly and solely focused on helping attendees to network and build relationships across all fields of the remodeling industry.  Follow this link to an article from K+BB (Kitchen and Bath Business) a national magazine, about the face of networking today and how well the BUILD retreat serves that essential function.

To find out more about getting involved in this and other great face to face networking opportunities, call or email Jessica at the Professional Remodelers Organization.  503-684-1880 or jessicam@hbapdx.org

It’s an easy trap to fall into, when faced with so many options for activities, seminars, continuing education classes, etc., to lose track of the greatest resource provided by the PRO… the combined experience, expertise, and insight of our over 225 members.  In a group of that size, it’s safe to say that most questions could be answered with a thoughtful and informed response, and someone has probably tried it, whatever it is, at least once, and can tell you why they would, or wouldn’t, do it again!  So this month we took a moment to tap that wellspring of experience and talk about what we can do to market our businesses.  Some of the ideas seemed simple, but all of them were things that we can easily lose sight of as our pace and/or workload increases.

• Everyday Good Practices
  • Create Alliances and Maintain Contacts
    • Build win-win relationship with your contractors, suppliers and vendors though camaraderie and incentives
    • Stay in touch with people in your industry.  Know what they’re up to.  Their next big project could carry you with them.
    • Leads from Lenders – find out who’s really ready to get started.
  • Networking
    • Membership & Engagement in Trade Organizations
    • Diversify your efforts – join multiple network building organizations
  • Let everyone know what you do – ALL of what you do!
    • Your neighbors might know you’re a remodeler, but may not think to call you for that new deck they’re building.
  • Competition & Award Entries
    • Leverage your awards by promoting them on your website, in newsletters, blogs, social media, and email signatures.
  • Branding
    • Consistent messaging & Logo use is a must for brand recognition
  • Know your product and your customer
  • Continuing Education Courses
    • Increase your value and skill set with continuing education and advanced certifications
  • Goal:  How often can you get your name in front of your customer?
    • Quarterly Newsletter
    • Door Hangers
      • Place locally to your job locations.
    • Job signs at your construction sites
  • Hard Cover Portfolios
    • Order them online for an inexpensive but professional look for your business in place of a notebook.
      

• Bang for the Buck
  • Home Shows
    • You’ll find a more targeted audience, despite the smaller numbers
  • Subscribe to Industry Publications
    • Weekly Construction Monitor
    • Commercial/Residential Bid Reports
  • Tour of Remodeled Homes – Find a way to display your work to the public.
  • Use your local newspapers
  • Bus ‘Butt’ Advertising Banners
  • TV
    • Targeted Ads, use the video’s for web and blog content
    • Many found TV & Radio to be unsuccessful  – it’s all about timing and target audience
  • Ask HOW people found you to determine the best use of your dollars.

• In this Day and Age
  • Website
    • Make sure your contact information is easily accessible.
  • Social Media
    • Twitter, Facebook, Blogs – stay in touch and keep yourself in the front of your customer’s minds.
  • Blog
    • write what you know, who you are.
  • YouTube
    •  build your own channel to highlight your work, show interviews & customer testimonies.
  • Increase your Google presence
  • Use QR Codes

• Old School, Tried and True
  • Referrals and Testimonials
    • Perform Quality Work
      • Consistent, quality work will keep the referrals coming
    • Offer referral incentives
    • Always ask for testimonials from clients, vendors, suppliers
    • Give referrals and testimonials – more exposure for you too!
    • Use ‘Thank You’ gifts, surveys, and newsletters to stay engaged with past customers.
  • Hand-written thank you notes
  • Cold Calls and Follow up calls

• Ready for some help?
  • Contract Marketing consultants or firms
    • Set clear goals up front for what you hope to accomplish
    • Define measurable and achievable deliverables and timeline
    • Find one through a reputable referral or trade organization resource… like the HBA PRO website.

In the hustle and bustle of our everyday grind, it’s sometimes easy to forget that we should take a step back and marvel at the skill, beauty, and creativity involved in our craft.  It is not often enough that we celebrate ourselves and those around us for the true craftsmanship that is exhibited in our community by members of the Professional Remodelers Organization.  On June 8^th we took a moment to celebrate the wealth of quality and innovation in our PRO community of Professional Remodelers and Designers.

Nearly 200 home building professionals gathered for the Home Builders Association of Metropolitan Portland’s sixth annual Excellence Awards Banquet, which recognizes the outstanding work of local companies across a variety of marketing, green building, remodeling, and residential building categories.

This year, the Home Builders Association presented 28 awards to 21 different companies.  Of those awards, 12 Remodeling Excellence Awards were presented; 9 for excellence in remodeling and 3 for excellence in design. Winners were selected by a panel of industry professionals who rated each project based on its aesthetics, general design, budgetary considerations, and challenges and obstacles faced.

“The annual Excellence Awards competition is a testament to the undying spirit of the remodeling and building industry in our community,” said HBA President Karl Finkelnburg. “Despite very difficult economic conditions, these professionals continue to pour their hearts and souls into their work and to produce the highest-caliber projects. All things considered, it is a great time to purchase a new home or revamp an existing home. I applaud the individuals who lead our association and industry through their efforts and commitment to excellence.”

REMODELING EXCELLENCE AWARDS

Residential Bath Design – The Urban Realm, Inc.

Residential Kitchen Design – Paolo Design Group

Residential Whole House Design – Paolo Design Group

Bathroom Remodel – Neil Kelly Design/Build Remodeling

Kitchen Remodel under $100,000 – Metke Remodeling & Woodworking Inc.

Kitchen Remodel $100,000 and above – Cascade Restoration & Remodeling

Master Suite Remodel – Neil Kelly Design/Build Remodeling

Open Category – Craftsman Design and Renovation

Exterior/Outdoor Living/Deck Remodel – Stanley Renovation & Design, Inc.

Whole House Remodel under $250,000 – Neil Kelly Design/Build Remodeling

Whole House Remodel $250,000-$375,000 – NW Renovations and Design Co.

Whole House Remodel $375,000-$500,000 – Cascade Restoration and Remodeling

The awards program was sponsored by ProBuild, Energy Trust of Oregon, Contract Furnishings Mart & Ansonylon, The Oregonian, and OregonLive.com.

Excellence awards were also presented in the categories of Green Building, Marketing, and Residential Building.  For more information about the Excellence Awards or other HBA or PRO programs, go to www.hbapdx.org.

The Professional Remodelers Organization of the Home Builders Association of Metropolitan Portland is dedicated to facilitating expert remodeling choices to all residents in the greater Portland area.  PRO partners with related industry professionals creating an environment which enables members to effectively and knowledgeably meet the needs of their clients and employees.

One word… Lead.

The PRO arranged for an OSHA inspector to participate and help demystify some of the angst and confusion surrounding lead based paint rules in Oregon.

There were a lot of questions and hopefully some good answers, but it seems like this recent blog post by Jonathan Sweet from HousingZone.com sheds a little light on why there is so much momentum around this subject right now…

All the remodelers out there who thought that the EPA RRP lead paint rules weren’t going to be enforced may want to think again. 

The EPA announced in May it would be pursuing action against a Rockland, Maine, remodeler for alleged violation of the RRP rules. The EPA has said that Colin Wentworth is facing fines of at least $150,000 for multiple violations.

It’s the first punitive action the EPA has taken for violation of the new rules, although the agency has cited several companies for failing to provide the “Renovate Right” pamphlet to owners of pre-1978 homes. That has been required of remodelers for years, but many have ignored it.

The relatively lax enforcement of that rule has probably been what led many remodelers to think this would be no big deal.

Read the rest of the article to see what has changed… and keep an eye out in late July for our next Remodelers’ Round Table.