Residential construction is down in the dumps rights now, but eventually new home construction will take off again. Builder Magazine offers some lessons learned in what not to do when it comes to the bottom line for home builders:
Which makes it all the more mystifying that so many builders continue to leave money on the table, or?as some expert observers and peers will tell you?commit the operational equivalent of throwing a pile of cash into a dumpster and setting it ablaze. Even in the most brutal of economic conditions, capital is being squandered in some amazing and clueless ways.
So, if your ultimate goal is to bury your business, forgo all of your worldly possessions, and live in a yurt on the edge of eastern nowhere, then by all means, go ahead and do what many builders have been doing for years. Sticking to the status quo could be your ticket out.
But if you?re looking to shore up your bottom line, run a tighter ship, and maintain the time-honored American tradition of turning a profit, then read these tips as a cautionary tale.