Remodeler Confidence Rebounds in Second QuarterJuly 30th, 2013 by Editor
Confidence in the remodeling market rebounded in the second quarter of 2013 with the Remodeling Market Index (RMI) rising six points to 55, according to the National Association of Home Builders (NAHB). The rise in existing home sales and increased demand for remodeling projects contributed to the positive report.
An RMI above 50 indicates that more remodelers report market activity is higher (compared to the prior quarter) than report it is lower.
The future market indicators component of the RMI increased to 56 from the previous quarter level of 48. Current market conditions rose from 50 in the previous quarter to 54. All of the indicators of future activity (i.e. calls for bids, work committed for three months, backlog, and appointments) were over 50 for the first time in eight years.
“Remodelers’ positive sentiment is directly related to increased demand for their services,” said NAHB chief economist David Crowe. “Rising home prices are making remodeling jobs possible for more homeowners while existing home sales provide additional momentum as homeowners prepare their homes for market.”