According to the National Association of Home Builders, the Remodeling Market Index (RMI) dipped three points to 57 in the first quarter of 2018. The RMI has been at or above 50, indicating more remodelers report market activity higher compared to the prior quarter, for 20 consecutive quarters. Despite slipping three points, demand for remodeling jobs continues at a solid pace. While unusually cold weather in some areas of the country may have had an impact, strong home prices and an ongoing inventory shortage continue to provide a robust remodeling market.
The overall RMI is an average of an index measuring current market conditions and another measuring future market indicators.
In the first quarter of 2018, the current market conditions index decreased two points to 58. Among its three major components, major additions and alterations waned four points to 56; minor additions and alterations increased one point to 60; and the home maintenance and repair component fell four points to 57.
The future market indicators index dipped four points from the previous quarter to 55. Calls for bids increased one point to 57; amount of work committed for the next three months decreased four points to 54; the backlog of remodeling jobs dropped nine points to 57; and appointments for proposals fell three points to 54.
Full RMI tables can be found here.
This article first appeared in our sister publication Qualified Remodeler.