Remodeling index slides from recent high

The second quarter results of the Remodeling Market Index (RMI) slipped under pressure from a softening labor market, according to the National Association of Home Builders (NAHB).

The RMI is based on a quarterly survey of NAHB remodelers that asks them to rate current remodeling activity along with indicators of future activity, like calls for bids.

“Remodelers have some backlog of jobs and along with higher quality leads, this is making them cautiously optimistic about the near future,” said George Moore, NAHB Remodelers chairman. “The positive outlook is constrained by continuing credit constraints and inaccurate appraisals that make customer financing difficult for big jobs like additions and whole house remodels.”