I read an article this weekend that says that on average, the national percentage of single family homes sitting vacant is 18%! Just two counties over from me, in the playground of the rich and famous otherwise known as Naples, Florida, the number is apparently 32%!

The article just added another nail to the coffin of my “old” financial plan, which was entirely based on the “equity” I was “building” in my two Florida homes. It’s not like I didn’t know it was already dead, but this article even poured water on the coals of hope I was quietly keeping warm while dreaming of a rebound in home values.

Is the term “have a cow” still in existence? Well that’s what I would have done when I read the projection of as far as 2030 before we see 2006 prices in some parts of Florida. As it was, I barely flinched.

Not sure if that’s a sign of strength, or that I need a crash cart.

So What Does It Mean?

One thing it means is that the reason people remodel isn’t going to change back to “it’s a great investment” anytime soon. I think that will fundamentaly change the game.

It’s going to result in a much more reasonable thought process of remodeling homes to meet a few more elemental needs:

• Real NEEDS
  • Must have more space (not want more space)
  • Must have new cabinets (old ones are falling apart, not old ones are dog ugly)
  • Must have handicap accessibility (grandpa is moving in next week)
  • Must have a new roof (this one leaks in more than one spot)
  • Must fix this broken thing or that broken thing (wife has divorce lawyer ad on fridge)
• Long Term View
  • Year One – Deck (my deck)
  • Year Two – Barbecue Area
  • Year Three – Gazebo
  • Year Four – New Landscaping
  • Year Five – Swimming Pool (oh wait, the kids are almost grown – hot tub)
• Pride of Ownership (it may be small, but damn it looks good)
  • Immaculate lawns
  • Perfect white picket fences
  • Window Boxes
  • Painting
  • Landscaping Projects
  • Front Doors
• Alternatives to Big $$
  • Painted Kitchen Cabinets
  • Bunk Beds vs. New Rooms
  • Built-In space saving storage
  • See section on Long-Term and apply to any area of home.

The Future of DIY is Huge

DIY tends to start small and grow. Rather than hire a landscape contractor to build a planter, you decide to give it a shot.

When that works, you figure you know how to work the saw now, and maybe build a bench, or replace a broken piece of door trim.

Next thing you know, you’re replacing whole doors, then doing drywall, then you build a shed. The point is that necessity and a simple financial equation will get you started on the road to DIY, then you’ll see that you can do it and that the how-to info is available right now online. And that you can save buku bucks.

Unfortunately for the contractors, the expenses of doing business aren’t changing and that means that the real pros will still be expensive and the fly-by-nights will get worse and do more flying.

It all points to DIY. So you might as well get to it!

Just my opinion… what’s yours? Comments are always welcome.