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San Antonio Construction Forecast 2021-2022
Due to various circumstances, the construction industry is experiencing a paradoxical phenomenon, in which demand is high, production is relatively low, supply chains, manufacturing, and other factors are also low.
By: Proactive Commercial Lending Group, LLC
The San Antonio construction forecast at this point has the potential for tremendous growth. Because interest rates are so low and people are pouring into the Lone Star State at record rates, there's a huge opportunity for new construction in many of the most popular destinations, which include San Antonio.
Currently, thousands of former California residents have left the West Coast in favor of places like San Antonio, into the south, and southeast. People are leaving high taxation, high regulation states for places that are more affordable, and this not only includes individuals, but businesses relocating their headquarters.
Therefore, San Antonio's construction industry can look forward not only to a steep increase in the residential home building but also to commercial property construction and remodeling. As businesses relocate to the area, they'll need commercial space and their employees will of course need personal residences.
Again, this means huge potential for the construction industry in San Antonio but is tempered by the present supply chain disruptions. This, not to mention the lack of materials. Due to the pandemic shutdown last year, many manufacturing plants ceased operations or greatly reduced their output. This subsequently resulted in shortages in key building materials such as lumber plywood, and more materials.
But, these anomalies aren't the only thing holding back the construction industry in San Antonio. A labor shortage persists, making it very difficult to staff construction sites, be it residential or commercial, with contractors and subcontractors. Since there are fewer workers available, even construction firms with a solid book of business must scale back their schedules in order to complete projects in a timely manner.
Although inflationary pressure continues to mount, interest rates are still at near historic Lowe's. Plus, consumer spending remains strong and consumers are taking the opportunity to complete both minor and major home improvements, as well as jumping into new construction.
Once the supply chain disruptions cease and materials become more readily available, the construction forecast for San Antonio will be bright and full of opportunity.
Proactive Commercial Lending Group, LLC was formed back in 2003 by Bruce Myles with the thought that many good, hard-working business owners were not getting the Banking Services they needed to survive, maintain and grow their business. This was due to the restrictions on banks (FDIC) or banks not willing to take a chance on their own customers and communities (or Lazy Loan Officers)!! For help getting Hard Money Loans in Texas, contact http://www.proactivelendinggroup.com