A change in demand creates a change in supplyFor many builders, it's meant a shift in goals. For others, it's meant keeping an eye on the competition. "The trend shift is a bit scary," says Nathan Cross of NWC Construction in Florida. "Most builders are capable of building something new, very few are capable of doing renovation work. Sometimes that means the market is flooded with inexperienced people. Homeowners should make sure to hire a professional remodeler — one that can give you references and show you projects." Dave Nielsen, CEO of Portland Oregon's HBA and the Professional Remodeler's Organization spoke with some of the group's 200 members to get their input, and many had concerns about new builders getting into the remodeling market. It's an entirely different field. New builders often price by square footage, which doesn't work in remodeling. As a result, prices are quoted far too low, and sometimes they'll find out they can't complete the job at that cost. This also means that professional remodelers have to work even harder and lower their margins substantially in to compete. There's often confusion on what kind of professional to hire when remodeling. Portland's HBA PROs often clarify this difference with their clients: Builders create a product, and remodelers provide a service. However, there are also many full-service companies that can do whatever a client needs.
