Confidence has returned to the home renovation and design industry
Home remodeling seems to be returning to pre-pandemic levels, according to The 2020 Houzz Renovation Barometer for Q3. This is a welcome recovery following the “dramatic drop” record in Q2.
The Houzz Renovation Barometer is published quarterly by Houzz Inc., a leading platform for home remodeling and design. They survey was taken from late June through July 10, so the information is very current.
Businesses were more positive about the rest of the year as well. Marine Sargsyan, a Houzz senior economist says, ““Confidence has returned to the home renovation and design industry, with many more businesses showing a positive outlook for 2020 than just a few months ago. Expectations for business inquiries and new committed projects have completely rebounded, following a sudden decline when the pandemic was declared.”
Small businesses in the architectural (84%) and design services (83%) sector were severely impacted by COVID-19. The biggest challenges:
- Project delays
- Fewer new business inquiries
- Project cancellations
But these problems, though still relatively high, were lower than they were in Q2. However, more businesses are concerned about shipment delays (55%) or cancelations (62%) now than they were in the previous quarter (41% and 50% respectively).
To help them weather the pandemic architecture and design firms:
- Offered video consultations—59%
- Provided remote collaboration tools—49%
- Sourced more products online—45%
- Implemented safety guidelines at the office and worksite—45%
- Implemented new safety guidelines—62%
- Utilized video consultation tools—37%
- Sourced more products online—33%
In both sectors, the two tactics they primarily relied on were video consulting and sourcing products online.
These businesses are looking forward to a stronger finish to 2020 with 82% of construction companies and 73% of architectural and design services reporting a “neutral to good” outlook for the rest of the year.
The Houzz Renovation Barometer reports the increase in new project inquiries shows homeowners are getting ready to renovate. Sargsyan says, “Home professionals are finding ways to move projects forward with new safety guidelines, remote collaboration tools, and online consultations, invoicing and payments.”