Buy? Sell? Why Not Remodel?

With foreclosure numbers high and real estate prices low, experts say that now is the time to buy. What confounds that seemingly easy decision is selling your existing property in an already crowded market. What’s one to do? Consider remodeling!

Inc.com reported that countless home improvement businesses have seen their number of projects increase as the real estate market continues to decline. Why? More and more people are electing to stay in their homes and remodel instead of starting from scratch in a new abode. Case in point: Decorating Den, an Easton, Maryland-based home decorating company. In the past year, its 500 franchises have seen dollars invested in redecorating projects rise by four percent over last year, even as the overall number of projects has dropped.

"There was surge in the number of clients that decided to wait out the housing market downturn and remodel instead," says company president Jeff Bevis. "We've tracked an increase in traffic on our Web site, which correlates with more consulting appointments and other requests."

Launched nearly 40 years ago, the company has seen its share of housing market ups and downs, says Bevis. "In the past, when the cycle is in a downturn, the upturn comes fast and furious," he says. "In many ways, you have to be just as prepared for the recovery as the crash."

Andy Bell, the president of Denver-based Handyman Matters, says another effect of the real estate slump is out-of-work homebuilders have started turning to his lower-key upkeep and repair outlets for a paycheck to tide them over during the construction downturn. That's boosting his staff with a steady flow of skilled workers and helping him to expand into the lucrative bathroom remodeling market.

"It's been a real windfall for us," Bell says, referring to the housing crash. In contrast to plummeting revenue and layoffs suffered by bigger builders, sales are rising at most of the 131 Handyman Matters outlets across the United States, Canada, and Ireland. "I think there's a growing realization that people are going to stay put in their homes, so they're willing to put a little more money into quality work," he says.