Survey Says Buyers Willing to Trade
Square Footage for Amenities
he average size of newly built homes
decreased in 2016, and a survey from
the National Association of Home
Builders (NAHB) says this is because mil-
lennials are ﬁnally dipping their toes into
the market. One of the amenities they are
looking for is low-E windows.
In 2015, the typical new home
had 2,689 square feet. In 2016,
it dropped to 2,634, according
to ﬁgures supplied by the U.S.
Census Bureau. That’s the ﬁrst
drop in size since 2009, said
Rose Quint, NAHB assistant vice
president for survey research.
Housing Will Continue
Gradual Climb in 2017
production will REMODELING
continue on an Remodelers Find Operational Efﬁciencies as Market Recovers
in 2017, accord-
ing to the NAHB.
NAHB is project-
ing 1.16 million
Remodelers’ average proﬁt margins have increased since 2011, indicating
they are running their businesses more efﬁciently as residential remodeling
activity steadily improves, according to experts.
The 2017 NAHB Remodelers’ Cost of Doing Business Study shows that the
average gross proﬁt margin for surveyed remodelers increased from 26.8 per-
cent in 2011 to 28.9 percent in 2015. The average net proﬁt margin increased
starts in 2016,
up 4.9 percent
from the previous
from 3.0 to 5.3 percent during the same period.
year’s total of 1.11 GROSS PROFIT MARGIN
expected to rise
0 percent in 2017 to 855,000 units
and increase an additional 12 percent
to 961,000 next year.
On the multifamily front, NAHB
anticipates multifamily starts to hold
steady in 2017 at 384,000 units, which
would be 1,000 units above last year’s
AVERAGE NET PROFIT MARGIN 3.0%
Door & Window Market