The construction industry is still benefiting from its rebound of 2012, but the road to recovery has not been easy. The lack of skilled labor is still causing problems for construction companies, but that is not stopping the industry from growing at a minimal pace.
As 2018 barrels onward, it is interesting to see the projections and predictions that industry experts have for the coming 12 months and the expectations everyone within the industry has for its future.
Revenue Growth From Year To Year
In 2017, the combined revenue from residential, non-residential, and non-structure construction rose four percent from the previous year. The projections for 2018 are even more promising, as industry experts expect a rise of five percent in revenues from 2017. That would indicate an increase of nine percent in overall revenues from 2016 to 2018. That is a healthy level of growth that should keep companies in the construction industry very happy.
Natural Disasters Will Alter The Focus
The focus on multi-family dwellings almost ground to a halt in 2017 for a variety of reasons, while activity in new single-family home construction increased. Any hopes of getting back to building multi-family dwellings in 2018 were dashed with the string of natural disasters that plagued the country throughout 2017. Single-family dwelling construction is expected to increase again in 2018 to replace the homes that were lost, while renovation and remodeling projects will look to be a close second.
Millennial Living Habits Will Influence 2018
One of the trends that has been keeping residential construction growth down is the tendency for Millennials to want to live in cities. The suburbs and outlying areas of cities all over the country had seen significant growth for years, but that started to change when Millennials started moving into high-rent apartments in renovated city blocks. If Millennials decide to become home buyers in 2018, then there could be an even bigger jump in residential construction for single-family units. But if Millennials keep living in the city, then that will continue to stunt the growth for single-family houses all over the country.
Technology Will Continue To Advance
In 2018, the construction industry will start to see the last remnants of resistance to technology break down and disappear. For the last few years, drones have become a staple in the construction industry, but most smaller companies had avoided using drones. By the middle of 2018, there should be significantly more drones in use in construction companies of all sizes and the software being developed for drones will also continue to evolve.
Another piece of technology that will become more pervasive in construction in 2018 will be 3D printing. The ability to turn images of a project in progress into 3D models that project managers and project owners can see has become a huge asset to companies throughout the industry. The need for 3D printing will increase, and there could also be a movement toward 3D models becoming mandatory parts of project progress reports as well.
Ongoing education will also be a priority in 2018, and PDH Contractors has the online courses you need to keep your construction knowledge sharp. You can start a course with PDH Contractors today and keep your knowledge base updated throughout the year.