There’s no place like home. A man’s home is his castle. Home is where the heart is. Make yourself at home. There’s a reason there are so many well-known expressions containing the word ‘home.’ Our homes are more than just shelter, they are places of comfort and belonging. We want them to be beautiful and stylish, as well as functional. As people spend more time in their homes, they’re looking to make improvements that not only enhance the functionality of their space but also increase their property value.
Homeowners spend billions of dollars each year on upgrades, repairs, and renovations. According to the Leading Indicator of Remodeling Activity (LIRA) report published by the Joint Center for Housing Studies at Harvard University, residential renovation and maintenance spending will continue to grow at 15.1% in the first quarter of 2023, a projected annual total of nearly $450 billion dollars.
What’s Driving the Home Improvement Boom
Home improvement market has always been healthy and several recent developments have added fuel to the fire.
First, COVID-19 changed the way we live. At the beginning of the pandemic, we were forced to quarantine in our homes. Even now, three years later, most of us are spending more time at home than ever before. Many jobs have gone remote, giving employees the chance to work from home instead of commuting to an office. Spending so much time inside had many homeowners thinking about all of the parts of their home that they didn’t like, that weren’t functioning at their best, or that they just wanted to re-do.
Then, last year, mortgage interest rates jumped dramatically. According to the Federal Home Loan Mortgage Corporation, AKA Freddie Mac, mortgage rates rose from 3.22% in January of 2022. While they are trending lower in 2023, they are still almost double what they were a year ago, making it more expensive to buy a home.
And inflation also rose to 11.1% in October, impacting potential homeowners’ ability to get the loans they need.
As housing purchases decline, the demand for home renovations increases, as consumers look to improve the house they have, rather than trade up.
The Home Services Industry— More than Remodeling
The home improvement, or home services industry, is a large umbrella. In addition to renovations, remodeling, and redecorating, it encompasses any business that repairs or maintains the interior and exteriors of homes. This includes plumbers, electricians, house cleaning services, landscapers, and many more.
The continued growth of the home services industry has sparked an interest in entrepreneurs looking to cash in. That means some markets may be oversaturated with home improvement businesses. So, to increase your chances for success, you may want to consider buying a franchise, rather than starting a business on your own.
A franchise gives you the benefit of an established brand name and proven business model. When you buy a franchise, you’re buying into a system that has already been tested and refined, so you don’t have to start from scratch. You’ll also receive training and ongoing support from the franchisor, which can help you avoid costly mistakes and increase your chances of success.
In addition, a home improvement franchise gives you access to a network of other franchisees who can offer advice and support. You’ll be part of a community of like-minded business owners who share your goals and challenges, and who can help you navigate the ups and downs of entrepreneurship.
Finally, a home improvement franchise can be a great investment because it allows you to capitalize on the profitable home improvement market without the need for specialized skills or experience. With the right franchise, you can focus on running the business while leaving the technical work to trained professionals.
Home Franchise Concepts—A Leader in the Home Services Industry.
Home Franchise Concepts has been a leader in the home services industry for thirty years. We are the parent company for nine superior home services brands: Budget Blinds, PremierGarage, The Tailored Closet, Concrete Craft, AdvantaClean, Aussie Pet Mobile, Kitchen Tune-Up, Bath Tune-Up, and Two Maids.
Contact Home Franchise Concepts Today
If you’d like to take advantage of the booming home improvement market by owning your own home services franchise, contact Home Franchise Concepts today. One of our franchise consultants will be in touch to answer your questions, so you can determine which of our award-winning brands is right for you.