The past year saw one of the most drastic changes in the world. In just a snap, the way people live has been altered beyond recognition. It’s not only people’s lives that changed; even businesses and industries were affected.
As countries have entered lockdowns because of the COVID-19 pandemic, results had been varying from different industries. After 2020, the world economy has shrunk, and it might take a while before the economy recovers and bounce back from the losses it experienced.
Overview of the Industry amid the Pandemic
When it comes to the construction industry, effects had been varying. In a broad definition, the construction industry includes workers, contractors, owners, developers, and supply chain, vendors. All of these had been affected by the pandemic. Because of the unpredictability and the unexpected protocols placed because of the pandemic, many construction projects had been put to a halt or had been scrapped altogether. But that still varies from place to place. Some projects had been considered essential, like government infrastructures. As such, these can still push through despite the threat of the virus. With that said, there had been a slowdown altogether in the construction industry. From available goods to the labour force, the pandemic affected the ongoing projects.
Delays in Home Constructions
Aside from projects and home construction has also been affected, mainly because of the concern of home buyers. A lot are concerned with purchasing or even constructing houses. There is a hesitance to take out a mortgage for fear that there will be uncertainty in jobs and income. People who purchased homes who were laid off amidst the pandemic had to put on hold buying homes. This generally resulted in the slowdown of the construction industry, and more so in the real estate industry.
Experts predict that delays will be evident. If you are looking to purchase a home or any real estate, exercise caution and exert patience. In the United States, the expected decline of home construction is at 20%, as per Robert Dietz, chief of the National Association of Home Builders.
Other industries related to real estate are also affected, like bathroom tiles and toilet suppliers, kitchen countertops and supplies, furniture and fixtures, and anything related to home construction. From interior designers to labourers, professionals find it more difficult to land projects because of the uncertainty today.
Changes in Construction Sites
In terms of labour, workers had to abide by the health protocols mandated by the experts. This required many workers to spread out across the site, which has led to even more delays in the site. But even with the delay, most developers were able to adapt to the health protocol requirements. Workers are now required to wear masks on site. Sanitation also became significant in sites. Washing stations have been put up to remind worker s to disinfect and wash their hands regularly.
Taking Advantage of Virtual Tours
Because of the ongoing pandemic, real estate agents and developers have to adapt to the health protocols and guidelines. To avoid physical contact, a lot has now made use of virtual touring.
Changes in Home Designs
Because of the current pandemic, a lot has to be taken into consideration. That includes space. A lot of modifications must be done in future homes. A home office is now becoming a necessity, with work from home arrangements becoming more popular and more practical now more than ever.
Despite the plummeting of the trend towards construction and other related industries, many builders believe that there are enough indicators that point to possible growth in the future. First, even if most people are hesitant to buy homes now because of the instability in the economy, trends show that real estate is still top investments, especially for families. Population growth and emerging households are also factors that might affect this change. Aside from that, real estate is still the most stable and reliable form of long-term investment today.
Experts also predict that home construction will bounce back as early as May. It may show stabilisation by that time. It is an optimistic view, and even if it is still not on the same numbers pre-pandemic, it is a relative improvement compared to the onset of strict lockdowns.
With the continued ravaging of the pandemic, experts are still debating its lasting. Uncertainty is still there. However, 2021 is looking like a year of bouncing back. For the construction industry, everything will depend on projects. It’s going to be a slow claw back the top, but it is possible.