For all the hype surrounding the rise of home renovation companies in the last few years, it is worth remembering that the business model was a real head-scratcher for homeowners, and one that was largely invented by the rental industry.
And the rental sector has long been the target of online retailers like HomeAway, which, for the most part, have only focused on low-end renovation services.
“We don’t want to take our business model too seriously,” says Matt Cogan, senior vice president of Rental Business Services at HomeAways.
“But if you want to get into the business, it’s a good place to start.”
For starters, RVs are often a cheaper way to renovate your home than a traditional home.
For instance, the average price of a new house in the US has climbed from $1.6 million in 2006 to $1 million in 2017.
And as the cost of a traditional renovation falls, homeownership rates have also increased.
That means more people are turning to home improvement, especially as more millennials enter the workforce.
According to an article in The Wall Street Journal, millennials are moving into their first homes as a result of the growing popularity of home improvement and the associated job market.
“I think this is the tipping point,” says Cogan.
“It’s a time when homeownership is really hot right now, and it’s just the right time to be a home improvement contractor.”
For example, according to HomeAws survey, a whopping 76% of homeowners surveyed believe their home has become “un-repairable,” and 36% of those surveyed said that they “would be very upset if they could not afford to maintain their home” after they renovate.
And that is a significant portion of the market.
HomeAaws survey also found that homeownership has increased for both younger and older consumers, with younger millennials having the highest percentage of home improvements.
According the Wall Street Times, millennials account for about 10% of the US population, making them a key demographic for the sector.
So what makes home renovation so appealing?
For starters it is very easy.
Most of the companies that are targeting millennials are focused on smaller projects.
They can do a basic, single-family home renovation in a few weeks for around $1,000.
That’s pretty standard for any major home improvement company.
However, if you are a larger home improvement firm like Home Aways, you can work with a team of professionals who specialize in custom projects.
These professionals will build and decorate a custom home, or can work directly with a homeowner who is seeking a home renovation.
If a home is a “complete home” the renovation includes an interior and exterior, but it does not include a kitchen or bathrooms.
“The biggest selling point for us is that it’s not a full house,” says HomeAwards CEO Matt Cavanagh.
“A complete home is not going to be that much work.”
HomeAows is also well known for its work with individuals who want to build and renovate their own home.
Cavanah says the average cost for a complete home renovation at Home Aaws is $1-1,500.
For smaller projects, the company offers a “sketch-up” option that can run $300-$400, depending on the level of customization.
A homeowners insurance company is also an important component to a homeowners home renovation project.
A HomeAware home inspection costs $125-150 and includes the cost for the entire home and the inspection itself.
But the company also offers a comprehensive service, including a 24/7 phone hotline and a 24-hour maintenance team.
“When you look at the work they do, it feels like a real business,” says Dan Pardue, senior director of home maintenance and renovation services at HomeBucks.
Pardues company provides home maintenance services and repairs at a wide range of price points, from $10,000 to $25,000 for smaller projects to $50,000 and up for larger homes.
“You can’t beat that,” says Pardutes.
“They have great people.
They have great service.
They do a lot of different things.”
A lot of these companies are doing a lot more work than just getting a house up and running.
Home Aights HomeAights offers a full service home improvement package including a full-time maintenance team, the option of home inspections and a full inventory of finished products.
In addition to homeowners insurance, HomeAews offers homeownership and loan assistance.
“HomeAights is one of the few companies that really offers homeowners insurance,” says Mike Eades, CEO of the real estate company.
“There are some pretty great homeowners insurance companies out there, but there are just a few that have that full service.”
That’s because homeowners insurance has a limited amount of coverage for major home repair work.
“In the past, homeowners had to pay for