453: Construction Industry Insights For 2022

<h1 style="text-align: center;"><span style= "color: #0000ff;"><strong>This Podcast Is Episode Number 453, And It's About Construction Industry Insights For 2022</strong></span></h1> <div>There is a natural ebb and flow in the business cycle, which in regular times operates, somewhat predictable.</div> <div> </div> <div>In normal times, contractors who pay close attention to their Five Key Performance Indicators financial reports and stay aware of the macro global economy and the microlocal economy can plan and earn an expected profit after paying themselves a reasonable salary.</div> <div> </div> <div>The past two years have been anything but ordinary, and frankly, we are having a tough time with the economic forecasts models we follow, including our internal ones.</div> <div> </div> <div>Something similar occurred from 1976 to 1980, and suddenly in early 1981, the national and global economy began to turn around, and there was a severe shortage of contractors and qualified construction workers.</div> <div> </div> <div> <p><span data-preserver-spaces="true">During the remainder of that expansion and boom cycle, many construction company owners made substantially high profits, and the wise ones who thought ahead invested their windfall profits in real estate, stocks, and other investment vehicles.</span></p> <p><span data-preserver-spaces="true">The good news is the Universe is always in balance, and we could be nearing the beginning of a period of massive expansion, the likes of which we had not witnessed since the end of World War II when the housing boom was explosive for the next 20 years.</span></p> <p><span style="color: #0600ff;"><strong>Pent-Up Demand For Construction Projects</strong></span></p> <p style="padding-left: 40px;"><span data-preserver-spaces= "true">1. Deferred maintenance. Due to the lack of cash flow, many commercial property owners have been putting off sealing parking lots, painting, renovating, and other general maintenance projects. </span></p> <p style="padding-left: 40px;"><span data-