They’re Back & You’ve Faced These Problems Before
There’s no getting around it. Inflation is rearing its ugly head. If you’ve been in this industry awhile, then you’ve been through this before and know that it will happen again and again. This is not your first rodeo.
Unfortunately, that’s not the only problem contractors are facing. Along with the increased cost of goods, there are also material shortages, lack of qualified workers, and dealing with the remnants of COVID. It’s the perfect storm.
Strangely, finding roofing jobs is not a concern. Western roofing contractors tell us that there are plenty of long-time and would-be clients beating on their doors, money in hand, asking when will work begin on their project.
As was pointed out in a previous issue, runaway inflation can be managed if proper steps are taken when the warning signs are first acknowledged. A few small course corrections by the Federal Reserve early on would have made our life easier today. Unfortunately, politicians don’t want to make unpopular preventive decisions and react to situations only after the fact. Regrettably, with our sound-bite culture, everyone is working to make headlines rather than working behind the scenes to make things right.
It’s predictable that when the butterflies are fluttering and unicorns are dancing in the streets, those in charge will take immediate credit, yet when something goes afoul, it’s their predecessor’s fault. I want to know how they’re going to fix it, not where to place the blame.
The rising mortgage rates and inflation have somewhat slowed the rising price of homes. I’m still having a hard time trying to figure out that if people are leaving large metropolitan cities, then why are housing prices still on the rise in those areas? Has the basic economic law of supply and demand been suspended for places like San Francisco and Seattle?
While rising mortgage rates may slow the new construction market, what happens to the remodeling and reroofing market remains to be seen. The rebuilding and repurposing of commercial buildings is still ongoing. People are still remodeling, expanding, or moving to accommodate working remotely from home. Home offices are a hot commodity. The retail speculation market, however, will most likely take a hit. Those buying and selling for a quick turnover will not be happy campers.
In this issue, we’ll take a look at the reroofing and recover market in the West. There are many new and existing labor-saving products on the market to help you take advantage of this segment of the industry.