Biggest Challenge in the Residential Contruction Business – Banking

Posted by allanmadams on October 16th, 2009 at 02:35am

Nation’s Economy – Greatly Affecting Small Businesses

5 decades, there are many industries that are adversely affected, but go unnoticed~A large quantity of industries and small businesses are struggling indirectly because of the national recession~The biggest recession that U.S. residents and businesses have seen in the past forty years continues to indirectly affect many small businesses}.  The housing market and stock market have been some of the major focuses, while the banking and financing business trails a close second.  Many of these industries are inter-related in some way, but many major industries that affect millions of Americans are not far off.

Most will concur that the housing industry has taken a huge hit, and the housing in Phoenix, Arizona sits at the epicenter of impact.  These buyers all have property that has greatly depreciated in value over the past twenty four months (sometimes being down hundreds of thousands of dollars).  Home foreclosures are on the upswing, repossessions are common place, and people are just walking away from their homes because of negative equity. 

Just when Americans think they have not been affected by this economic recession, some find out they are incorrect.  Many owners who are considering improvement to their property in some way often require financial assistance of some form.  Home improvement loans of this type can generally be obtained through relationships with your local credit union, banker, or credit agency.  As of lately, most prospecting buyers have not had these loans available for many home improvements, swimming pools, or landscape projects.

Since up to 70% of swimming pool customers require financial assistance or loans, Phoenix swimming pool builders have been one of the largest affected industries.  Financial Assistance allows buyers to invest the money they want into each pool, and without a loan, buyers simply invest much less or don’t buy at all.  Many Phoenix pool companies have closed their companies, while others have down-sized, tightened their spending, and expanded into other venues of construction.  Intelligent pool and spa companies have diversified into other venues such as pool remodeling, general construction, and even landscaping.  Some general contracting companies and home remodelers have switched entire industries, giving a go at completely un-related fields of work.  By offering other landscape features such as outdoor kitchens, Phoenix BBQ grills, fire pits, and paver patios, some Phoenix Landscape Contractors are producing additional revenue.

One swimming pool and landscape Phoenix company, Unique Landscapes and Custom Pools, has figured out the technique of offering many assorted products to customers years ago.  Unique is able to offer its customers many different options and services in the home improvement industry because of it’s diversity as a Phoenix pool company, general contractor, and landscaping contractor.  “By diversifying several years prior into swimming pools, landscaping and general construction, our company has been able to keep busy during these difficult times.  However, the major challenges have been the simple fact that these financing programs are simply not available to the average homeowner.”

“It’s tough to think about all the money that was given to banks just a year ago for these construction loans, and now it’s almost impossible for our clients, who want to buy our products, to get this assistance” claims owner Chris Griffin, of Unique Landscapes and Custom Pools in Mesa, AZ.  Maybe it’s time for the government to look a little further into some of the struggles of the smaller companies that are greatly affected by this struggling economy.  “I don’t see the light at the end of the tunnel yet, but I can tell it’s there….” claims Griffin, “Phoenix pool loans are getting a little better”.

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Tags: economy, financing, landscaping, loans, pool and landscaping, recession, swimming pool financing, swimming pool loans, swimming pools

Under mortgage refinancing Tags: economy, financing, landscaping, loans, pool and landscaping, recession, swimming pool financing, swimming pool loans, swimming pools