The Evolving Home Building Industry and Implications for Consumers
Just discovered an interesting report on the Harvard Joint Center for Housing Studies site that I thought was interesting and others here might like to read it and talk about it’s implications: The Evolving Home Building Industry and Implications for Consumers by William C. Apgar and Kermit Baker.
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Replies
Jerrald,
i only read the summary and the chapter of "Changes in Operation". it is a 9MB download for us dial-uppers.
Just a quick comment on a project from this year. I did a cabinet installation for a homeowner having a new house built. The builder was far and away the most organized builder I have ever observed. (Homeowner let me see some of the paperwork involved)
Two things that heavily contributed were sub-contractor co-ordination, and component pre-assembly.
This was a semi-custom house that was panelized in a factory. The layout lines on the plates were computer generated and printed on the wood. My only complaint was having to go back and straighten the kitchen and bath wall studs where the cabinets would be. In a stick built house i would assume that some of the worst studs would have been culled.
The subs were co-ordinated nearly flawlessly. The project started in mid May, and the builder told owner that they would move in on October 10th. October 9th the Cert. of Occupancy was given by the inspector.
When I asked the tile sub about working for this builder he showed me a complete material list and elevations for the tile designs. the tile guy explained that he could just come in and work because there were no questions to be asked. Much more effeicient than other jobs.
Anyway, I am not a new home builder, but seeing this builder's operation convinced me that if I ever tried it, I would get my sorry azz blown out of the water, if I had to be that efficient.
Bowz
Anyway, I am not a new home builder, but seeing this builder's operation convinced me that if I ever tried it, I would get my sorry azz blown out of the water, if I had to be that efficient.
Don't be intimidated by his exceptional paperwork, Kaos is the norm for many builders. Like Woddy Allen once told Twiggy: 80% of success is just showing up.
The report told me that there were four elements to the success of the topmost profitable and successful home builders, and two of those are what you noted: subcontractor coordination and scheduling, and offsite component assembly.
Makes a whole lotta sense to me.
I have done some cost analyses re panelized walls, and have come to the conclusion that I cannot afford onsite stick framing. Our future projects will all be panelized to one degree or another.
(hijack alarm goes off)
Panelized by a vendor or by you in your own shop?
You normally have an agenda . What is it ?
Tim
And you normally act like a know-everything bad-azz. Why bother?
David
Mooney -
"You normally have an agenda . What is it ?"
Nah, I'm not always on a mission. I often just post links to articles and books that I run across that other contractor's and building professionals might find useful and informative.
However if there is a mission behind posting this link it might be to add some real well researched information to the dialog as to just how the building business is going and changing rather than just the anecdotal observations we all so often trade here in these forums.
View Image
Thanks for posting the link. Very interesting.I happen to be reading "The Millionaire Next Door" right now.The "M N D" documents that the self employed are much more likely to become millionaires than are the corporate employed.The Harvard study documents that self employment in home construction is waning quicly.The social implications of those two combined bits of information are unfortunate.Centralization of wealth marches on.
"Doubt is not a pleasant condition, but certainty is absurd."
~ Voltaire
Is it worth a three hour download?SamT
Now if I could just remember that I am a businessman with a hammer and not a craftsman with a business....."anonymous". . .segundo <!----><!---->
If you're on a dial-up why not just download it overnight? Unless you're paying for your connection by the minute what's three hours while you're asleep. I think it worth it. In fact there are a lot of other publications on the Harvard Joint Center for Housing Studies site I think you and everyone here will find of value.
View Image
Thanks for the link. It's now bookmarked.SamT
Now if I could just remember that I am a businessman with a hammer and not a craftsman with a business....."anonymous". . .segundo <!----><!---->
NODial up connection, eh?
"Doubt is not a pleasant condition, but certainty is absurd."
~ Voltaire
Thanks for the advice.SamT
Now if I could just remember that I am a businessman with a hammer and not a craftsman with a business....."anonymous". . .segundo <!----><!---->
I probably should have said, "Not for me."
"Doubt is not a pleasant condition, but certainty is absurd."
~ Voltaire
Sam,
It can be downloaded a chapter at a time for us knuckle dragging types. the summary loaded I think in a few minutes, the changes in operation chapter was under a half hour. I would guess mostly for the picture on the opening page.
Bowz
SamT
Now if I could just remember that I am a businessman with a hammer and not a craftsman with a business....."anonymous". . .segundo <!----><!---->
Who doesn't anymore?
Happy
Holidays
Well , he usually has a point of his own to make which is usually educated . Normally through the years he makes a subject and posts it in a new thread like he has done here . Off the cuff we comment on it and then here he comes with his education on the subject. Which is all fine and I enjoy it in him but sometimes it reminds me of stepping in front of a moving car. Hes very good at this type of thing and very gentleman in his responses. I just want the other boot to drop when I see this type of thread from him. <G>
Tim
LOL.
I know whatcha mean.
Happy
Holidays
I am trying to start a remodeling business in Seattle, and there are over 2000 GC just in the city of Seattle not counting the city of Kirkland and the several other cities around Seattle. I wont be surprised if there are close to 5000 GC in and around Seattle. But I am going to go ahead and start my business and see how it goes.
The thing about the home industry is just awful. These new homes are just god awful. The insides of these things are just plain boxes. I went to a community they are building in West Seattle. I think they were over a 1000 homes there; maybe that number is much much greater. I can't remember. The city of Seattle called it model of development for the future. It was built green. I have no idea what that meant when I went to take a look there. The comunity featured swales, which was one of their main selling points surprisingly and there was no backyards and a very little front yard. I think they were going for over 400000. They said it was 2000sf, I think they included the garage because the top two floors were tiny. And I am sure that they will sell the homes and someone is going to make a lot of profit. People have no clue what they are buying. It is just sad. These homes had engineered "hardwood floors" (another selling point. These home were just pile of garbage in my opinion. All of them looked the same and there was no built in work inside. Just drywall inside and some shiny appliances.
These home did not take a lot of skill to build. I saw Mexican workers working a few blocks from the finished homes. these builders take advantage of lowwage il-legal workers so that they get a high bottom line.
Another thing, this Green thing is just plain advertising in most cases. It just another thing to lure unsuspecting homebuyers. I don't really know why some of these homes cost so much because they don't have any expensive materials and it doesn't take a lot of time to build these POS. There is a lot of building on the Eastside (of Seattle). There are putting up a lot of million dollar homes there by one of these big national builders. And all the rich people are buying them. Don't forget Microsoft is on the Eastside. Well there you go.The bottom line is people don't know what they are buying specially first time home buyers. They probably don' t have high expectations. And secondly, big builders will continue to take a greater share of the market. I think the only way to beat them is through pricing and quality. I dont know. But carpenters don't work fast and I really don't know this but seems like there is a lot of interest in being electricians and plumbers, so no wonder all the mexican's are building the homes. Hope things make a little sense.