Green building is no longer just a fad; in fact, energy-efficient remodeling and renovating is one of the few aspects of the U.S. construction business that still holds a positive outlook in the midst of the economic turmoil in 2009.
The U.S. residential construction market was $363 billion in 2008, down 41% from its high of $620 billion in 2006. The home renovations market was $188 billion in 2008, down 18% percent from 2007. But SBI estimates that the home energy efficiency renovations market in the U.S. was $21 billion in 2008; down only 13% percent from 2007’s $24 billion.
Remodeling to improve a home’s energy efficiency instead of buying a new home has become a preferred option in today’s market. In fact, the National Association of Home Builders found that 32% of home builders also provided remodeling services in 2008. Homeowners are still seeing the benefits of improving their home’s energy efficiency even in the economic instability of 2009. With energy consciousness shooting to the forefront of the media during the 2008 oil price peak, the Propane Education & Research Council has found 80% of homeowners are now concerned about the energy efficiency of their homes.
Home builders and remodelers have been quick to provide remodeling services that are focused on energy conservation and green building practices; as an example, 85% of remodelers surveyed by the National Association of Home Builders in 2008 used energy-efficient windows on the majority of their projects. Retailers and manufacturers of building projects, residential builders and remodelers, and even state and federal organizations now have to be able to provide knowledgeable energy conservation expertise to succeed in their business.
Home energy efficiency analysis now uses a ‘whole building’ approach, affecting all categories of building materials, from windows and doors to insulation to completely eliminating air leaks. To fully embrace this view, this report looks at the impact energy-efficient building products are having on the renovations market in a number of categories:
Report data were obtained from government sources, including the U.S. Department of Commerce, U.S. Census Bureau, U.S. Department of Housing and Urban Development and ENERGY STAR; trade associations such as the National Association of Home Builders (NAHB), and the National Association of the Remodeling Industry (NARI); research organizations such as the American Council for an Energy-Efficient Economy (ACEEE) and Harvard University’s Joint Center for Housing Studies (JCHS); websites of home improvement contractors, manufacturers and dealers, industry analysts and print and online business and trade journals.
Consumer demographics and spending trends derive from data compiled by Simmons Market Research Bureau, New York, NY. Trends and recent developments in the industry come directly from personal interviews with key players in manufacturing and sales of energy-efficient building products and discussions with knowledgeable insiders of associations such as the National Association of Home Builders.
What You’ll Get in This Report
Energy-Efficient Home Renovations Market, Full Report provides a concise, focused look on the world of whole home energy-efficient renovations as it exists today, and shows where the market is moving towards in the next five years. The report highlights key players in the industry and pinpoints ways current and prospective competitors can capitalize on recent trends and spearhead new ones. No other market research report provides both the comprehensive analysis and extensive data that Energy-Efficient Home Renovations Market, Full Report offers. Plus, you’ll benefit from extensive data, presented in easy-to-read and practical charts, tables and graphs.
How You’ll Benefit from this Report
If your company is already doing business in green home renovations or remodeling specializing in energy efficiency, or is considering making the leap, you will find this report invaluable as it provides a comprehensive package of information and insight not offered in any other single source. You will gain a thorough understanding of the current market for all aspects of energy-efficient renovations, as well as projected markets and trends through 2013.
This report will help:
Market Insights: A Selection From The Report
Majority of Fenestration Replacements Done by Pros
Replacement of insulated windows has historically been a professional renovation project. Both the American Housing Survey and Experian Simmons surveys show that professionals have been installing more than 75% of window replacement projects each year since 2001.
Both professionally installed and DIY installed windows markets grew considerably in terms of dollars from 2001 to 2007. From $6.1 billion in 2001 to $10.4 billion in 2007, professionally installed windows showed a CAGR of 7.9% for the period. DIY projects grew 7.1% in the same period, from $1.5 billion in 2001 to $2.5 billion in 2007.
The actual number of projects completed by professionals, on the other hand, showed much more fluctuation. In fact, the number of projects in 2003 and 2005 were less than the number of projects in 2001. The general increase in average project cost is responsible for the upward trend in the professionally installed window market.In the News
New Report Sheds Light on Growing Energy-Efficient Home Renovations,
Forecasts Market Through 2013
New York, November 19, 2009 - SBI Energy, a leading industrial market research publisher, has added Energy-Efficient Home Renovations Market, Full Report to its growing sustainable power catalog.
The report combines the major themes of SBI Energy’s three-part home renovation series published in correlation with the Obama administration’s ongoing support of renewable energy through the American Recovery & Reinvestment Act (ARRA) stimulus package, which expanded government tax credits for green home remodeling products.
Energy-Efficient Home Renovations Market, Full Report provides a focused look at the world of home energy-efficient remodeling as it exists today, and shows where the market is headed in the next five years. The report highlights key players in the industry, and pinpoints ways current and prospective competitors can capitalize on recent trends and spearhead new ones. Featured chapters are dedicated to the market for energy-efficient windows and door products; caulking, weather stripping, and insulation products; dishwashers, refrigerators, freezers, clothes washers, and water heaters; compact fluorescent lighting and lighting fixtures; heating and cooling equipment; and thermal roofing products.
SBI Energy forecasts the expanded tax credits—in addition to the steadily improving economy—will boost the market for energy-efficient home renovation products as increasingly confident consumers fortify their domestic eco-friendliness. From 2009 to 2013, the energy-efficient home remodeling market is projected to experience a compound annual growth rate (CAGR) of 15%, growing 50% faster than the renovations market as a whole. According to the report, the energy-efficient market will reach $35 billion and will go from claiming 12% of the home renovations market to 15% by the end of the forecast period.
“The growth will come as a result of the tax credits, new incentives, and the reality that more agencies and utilities are promoting the fact that adding improved energy efficiency is the most cost effective way to decrease home utility bills,” says Norman Deschamps, author and SBI Energy analyst. “Consumers are willing to pay more for green and energy-efficient products, but they expect a return in the long term. Consider the tax credits a step in the right direction.”
About SBI Energy
SBI Energy, a division of MarketResearch.com, publishes research reports in the industrial, energy, building/construction, and automotive/transportation markets. SBI Energy also offers a full range of custom research services.