Sizing up the remodeling market

Baby Boomers

Baby Boomers are a key market in the remodeling industry, representing 4OVo of all Americans over 18, or 30Vo of the population. This generation (anyone born between 1945 and 1962) controls the trends of nearly every U.S. industry.

Baby Boomers want convenience and comfort. and will do whatever it takes to make their home feel that way. They don't want the typical new room-they want something custom made and designed to show off their personality and flair. But they won't do the work themselves; they'll call a contractor. They have money, but they don't have time.

Other factors that make Boomers such a strong market include their desire to stay in their current home, finding ways to avoid d-i-y projects, and a strong urge to spend.

Ttt" Muto.e Market

The mature market is looking for home modifications that increase efficiency and comfort. Older homes don't accommodate a range of abilities or incorporate enough universal design features. The elderly also require accessible floor plans. And their needs will start increasing over the next 20 years.

Baby Boomers have money, but they don't have time.

Although the population is growing, there will be slower growth in new households in the next five years. The slump in birth rates in the 1970s resulted in fewer homeowner-ready young adults. This means slower sales of older and starter homes. Around 2010, this will start to change as the children of the Baby Boomers will come of age.

By the year 2020,94.9 million people will be over 55, with 21.8 million of them over 75. By 2030, 20Vo of Americans will be over 65. These dramatic changes in our population will require more design modifications, especially on older, smaller homes.

The elderly are the most likely demographic group to own their own home (75Vo) and least likely to move out of their cunent home.

Currently, under l07o of the 100 million U.S. homes are accessible or adapted for the handicapped. A prime remodeling site is the kitchen, since the elderly eat in more frequently.

Generation X

Generation X is the up and coming demographic group for home remodeling. New on the homeowner scene, they will make a difference in the coming years.

They started remodeling smaller, older homes a step at a time in the '90s and will continue to do so over the next two or three decades. Lacking the resources for a complete remodel, they will update a project at a time, as they can afford it. They don't like to be in debt and will likely seek small loans or pay in cash for smaller jobs. Don't expect larger projects until they start to hit their peak earning years (mid-40s) around 2008.

Family is another important part of Generation Xers' lives. They saw how divorce and the excess ofthe '80s affected family life, and don't want to repeat their parents' mistakes. When they select a remodeling project, the focus will be on the family, not on pampering themselves like the Boomers. This makes Gen-X a prime market for home offices, family areas and large kitchens. They want a home that invites the family to gather together, not scatter all over the place.

This is the generation of renovation, too, drawn to older, historic homes. They will be conscious of the environmental and sustainable trends, and buying an older home is one way to "recycle, reduce, reuse." (In contrast, Boomers talk a lot about environmental concerns, but don't always follow through-Gen-X does.) They also want to be unique, and think an older home has a lot more personality than a new townhome or their parents' planned community home.

Generation X does not hold the financial power of the Baby Boomers and the Mature Market, but they should not be ignored. They are a viable market for remodelers, and that interest will continue to grow.

f ANDSCAPE lighting used ro be I-lsimple. A few recessed can fixtures lining the front path, a couple of downlights tucked in the trees. That was it.

Not anymore. When it comes to the great outdoors, homeowners have seen the light. "Today, the biggest excitement in outdoor lighting is the whole artistic aspect," says Richard

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"Think of it as painting a picture of the landscape at night, using lights to achieve the look a homeowner wants."

Nowadays, homeowners might spend $800 to $1,200 highlighting a couple of trees in a typical suburban front lawn, or as much as $10,000 for an elaborate lighting scheme covering a one-acre property.

The newfound fascination in landscape lighting has not only created an opportunity for big-ticket sales, but also the need for someone to dispense expert decorating advice.

Nighrlighting a landscape is an artform, offering unlimited creative options. Properly placed, lights can dramatize trees, highlight favorite shrubs and accent statuary, fountains and flowerbeds.

"The challenge with landscape