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(rdnewsNOW/Josh Hall)
increase in business

Homebuilding industry looks to be rebounding following recession

Oct 20, 2019 | 1:54 PM

Those in the know say the future appears to be bright for the homebuilding and home renovation industry.

A number of companies were on hand this past weekend for the fifth annual Red Deer Fall Home Show at Westerner Park, including Lacombe-based Vleeming Construction.

Designer and office manager Jessica Vleeming says there is optimism with business having picked up over the last six months.

“There’s light at the end of the tunnel and we’re booking into spring, but there were definitely budget cuts (before) and layoffs that had to happen, which was a really hard thing to do,” she says. “On average, we try to get six to 10 news homes in a year and three to four large renovations, but we were maybe hitting half that.”

Victoria Cassels, a sales consultant with Abbey Platinum, believes upticks in jobs and job security have boosted confidence in the economy.

“We have a lot more quotes happening, and people are serious about going to the banks to get their pre-approvals,” she says. “There’s a little bit of hesitancy, maybe because of the election, but a lot of people are coming into the show homes, inquiries with our sales line are up, and with renovations over the past year, we’re seeing an increase.”

What’s also on the rise is the energy people are giving to ensuring their new homes are efficient. One way Abbey is contributing to that cause is by offering clients an EnerGuide rating through Natural Resources Canada.

Jessica Vleeming and Korey Sterling with Vleeming Construction; the former says there’s light at the end of the tunnel coming out of the recession. (rdnewsNOW/Josh Hall)

“The show home that I’m in right now at 236 Ellington Crescent is coming in at pretty much net zero for air exchanges per hour, which is even better than green and passive homes,” she explains. “A normal home at 2300-2400 square feet usually burns 150 to 160 gigajoules of energy per year. That show home is coming in at 87 gigajoules, so quite a difference in energy consumption.”

Homes from years gone by, even pre-90s, can be significantly improved for efficiency, Cassels adds. She says they’re also upping their installation of things like solar panels, electric vehicle hookups, and in-home recycling systems.

Meantime, Vleeming has found success with a Canadian innovation called Insulated Composite Envelope (ICE), which gives 70 per cent higher insulation value than a standard foundation and framing.

“It’s replacing your basement concrete floor, your foundation, your main floor walls, and your roof system (trusses),” says Vleeming. “This is our first year using the product and a good 95 per cent of our projects have gone this way. They choose to go this way even though it’s about 15 per cent more on your investment, but you save 70 per cent on your utility bill.”

According to Cassels, land costs have remained fairly steady over the last five years, and a lot more people are building on acreages.

More information on future home shows is at bildca.ca.