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Economy

Discussion in 'Business Fundamentals' started by Sno, Jul 21, 2003.

  1. Sno

    Sno Senior Member
    Messages: 320

    Any one else notice a severe decline in new work this month?

    Regardless of type.
     
  2. wyldman

    wyldman Member
    Messages: 3,265

    I'm not in the landscape trade,but everything else around here has been booming.We have been going non stop since mid May.
     
  3. Sno

    Sno Senior Member
    Messages: 320

    Thats interesting.. Canada..

    Anyone else?

    Reason I ask is I think it has to do with shots fired.

    Right after the Iraq big battle I got swamped.

    Seems it went out the window on the Korean fiasco.

    Not sure if thats it or just my area or my change in advertisements.
     
    Last edited: Jul 21, 2003
  4. JD PLOWER

    JD PLOWER PlowSite.com Veteran
    Messages: 751

    We have been seeing a decline in a few sectors of the local economy for awhile now. High tech is is suffering badly around here (lot of layoffs from companies that had been making boatloads of cash not that long ago) and the commercial real estate market reflects that. Many vacancies and some building projects have stopped completely while others are very slow moving (if at all). You can drive around and see many vacant offices and in some cases entire complexes are empty. We have had a building in this city that has'nt had a single tenant in 2 plus years and its brand new. The defense sector around here is doing fine on the other hand, lots of new contracts but even they are reluctant to hire more labor. We just don't have as much money floating around these parts as we used to and its noticeable in the fact that houses are staying on the market for longer but the prices haven't dropped (if anything they've gone up) and won't until the rates increase more than they have. Looks like its going to be slow recovery artound here :mad:
     
    Last edited: Jul 21, 2003
  5. Arc Burn

    Arc Burn PlowSite.com Addict
    Messages: 1,139

    Real Estate took off like a rocket around here after 9-11 and it had been dead for a few years before that,I'm about 3 hours from New York City and those people are buying houses and land left and right.
     
  6. Mick

    Mick PlowSite.com Veteran
    from Maine
    Messages: 5,546

    The economy seems to be a really mixed bag. Many layoffs around here, especially in manufacturing, the paper mills and the computer industry. But you'd never realize it from going to the stores. Rental rates are out of sight. House prices keep going up as mortgage rates fall. I just refinanced a 6 year old 30 year mortgage to a 15 year at half the rate saving about $200 a month. The interesting part is that if I was buying it, I couldn't even afford my own house. In six years, it doubled in value!

    To the original question - I've been watching around lately to see how the contractors (builders, electricians, plumbers, landscapers etc) are doing. Everybody seems to be busy, you can't get anyone for small, odd jobs. I just can't figure out where all the money is coming from. Maybe we're just getting a bigger divide between the haves and the have-nots?
     
  7. Rooster

    Rooster Member
    from Kansas
    Messages: 650

    Terrible here too, not to mention no snow for almost 6 months!

    Rick

    :D
     
  8. Pelican

    Pelican 2000 Club Member
    Messages: 2,075

    We're experiencing a home building boom too, $500,000 seems to be entry level now. Mick, I'm in the same boat as you. I couldn't afford to buy my own home at today's market, it's worth about 4 times what I've got into it!

    I have to wonder where my daughter is going to be able to live...

    To answer the original question, at this point I'm somewhat relieved when there are only 2 or 3 calls on voice mail per day, my season's booked up!
     
  9. Sno

    Sno Senior Member
    Messages: 320

    New york seems to be booming... As is Canada...

    Just crawling along here, staying busy but sure not booming.

    I may have to change my advertisement again.

    One thing, I finally get in the phone book in October...

    I was late starting the first year, then missed the deadline the next.

    See what that generates this snow season, too late for much else...

    Maybe thats another thread? Hmmm...


    ;)
     
  10. Rob

    Rob PlowSite.com Veteran
    Messages: 306

    I gotta believe that the housing market is a symptom of the pathetic rates you get at the bank / stock market etc. Can't make money saving it or investing and when you can borrow for next to nothing, it makes sense to make capital improvements to your home, because when the economy turns around and interest rates are high, you'll be using "their" money for next to nothing. The sad interest rates are what's fueling the houding / home improvement market. (IMO)
     
  11. wyldman

    wyldman Member
    Messages: 3,265

    The housing and real estate market is booming here too.

    I just bought another home,as I stood to make $100 K on my existing resale,and got the new one for a song.The interest rates can be beat either.New mortgage is quite a bit lower at 4.3 for 6 years.Can't go wrong.I sure hope the market stays up,as when the kids start moving off to university in a few years and we decide to downsize,I would like to see the same profit out of this house.
     
  12. A.L. Inc.

    A.L. Inc. Member
    Messages: 97

    Sno- This year has been a little funky. We got a late start due to snow (actually plowed on April 10) and then were plagued with wet weather in May and June. Then it got hot all of the sudden.

    We worked through it, but it's not shaping up to be our best year. I think people are holding back a bit on big projects and extras. I've got plenty of maintenance work like mowing, pruning, and mulching, so we are busy, just not as busy as I would like to be.

    My biggest problem right now is cash flow, people are really taking their time paying bills. It has made things tough for me this year.

    On the bright side, my wife and I just bought a new house, and our interest rate is 5.6% on a 30 year fixed. I don't think it's going to get much lower than that:D . Sold our house for close to double what I paid for it three and a half years ago.

    Real estate is the way to go. I used to work for a guy who owned several rental properties. He would always say to me "With real estate, you make money while you're sleeping" So true. Mike
     
  13. Sno

    Sno Senior Member
    Messages: 320

    A.L.,
    Thats what Im looking for, same exact thing here.

    Staying busy with routine stuff that has to be done but nothing new and big, hardly gaining any new customers at all.

    Just enough to have lots of inefficiencies to watch out for.

    Funky is the word... Had two small spurts this year out of the blue. Phone rang off the hook from new and old customers both. Only lasted a week both times, then silence.

    Wish I could put a finger on what causes it and why it goes away.

    Last year at this time I had a steady phone call a week.
     
  14. A.L. Inc.

    A.L. Inc. Member
    Messages: 97

    I guess that's just business, you'll have ups and downs. Ride it out, it will get better. Mike
     
  15. CARDOCTOR

    CARDOCTOR PlowSite.com Addict
    Messages: 1,310

    we have two repair shops the last few months have been the best weve had in two yrs




    cardoctorpayup
     
  16. Sno

    Sno Senior Member
    Messages: 320

    Pen State,

    Is that auto repair?

    bussiness is good... Wonder if new cars are down much?

    I'm feeling like Alan Greenspan.. LOL

    Analyzing the market...

    I'm in Construction / Maintenance / Home improvement

    A lot of factory layoffs and its getting pretty competitive with a new competitor starting almost weekly.