Builders at home show hoping economy recovers this year

YAKIMA, Wash. -- Nowhere to go but up.

That was the general consensus of folks in the home building and remodeling industry at the 29th annual Central Washington Home and Garden Show on Friday at the Yakima SunDome.

The exposition of construction techniques, landscaping services, equipment companies and contractors attracted 230 vendors this year, said Carly Faul, executive officer of the Central Washington Home Builders Association.

Building and home improvements generally ramp up this time of year, but the exhibitors guardedly said their businesses are showing signs of improvement after the generally dismal sales of the recession-whipped 2009.

"I don't see it getting worse than last year," said John Duyck, a salesman for Western Materials, a construction supplier with stores in Pasco, Yakima and Wenatchee.

For Western Materials, which supplies contractors with everything from lumber to drywall and roofing to masonry, 2009 meant fewer trucks making deliveries and less overtime for employees, Duyck said.

This year, more customers are asking about improvements, especially for backyard and patio materials, such as paver stones. Among the hot topics: backyard pizza ovens and fireplaces.

Duyck suspects homeowners are spending money they used to spend on vacations to create getaways in their backyards. So-called "staycations" became a popular way of coping with the tough economy last year.

Nationwide statistics show the same trend of not-so-bad -- if not great -- news.

In January, homeowner improvement spending was down 12 percent over the same point the year before and is expected to improve to 3.1 percent below by fall, according to the Joint Center for Housing Studies, a research nonprofit based at Harvard University.

In December, 147 existing homes and 24 new homes were sold in Yakima County, compared with 109 existing homes and 12 new homes in December 2008.

Credit markets are softening some nationwide but thriftiness may simply get old, suggested Cameron McMillan, who owns Bernina Sewing and Vacuum Center with his parents, Brad and Sue.

"It's sort of, 'It's been two years without spending anything. I want something,'" McMillan said.

The Yakima company fixes and sells sewing machines and vacuum cleaners, but also installs central vacuum systems hidden in walls. The past three months, the business has been installing the systems -- which run between $1,500 and $2,500 -- in homes small and large, he said.

Energy efficiency tax credits and rebates may be driving the uptick, too.

The federal stimulus act, passed in February 2009, offers tax credits for 30 percent of the cost -- up to $1,500 -- of everything from roofs to windows and furnaces to water heaters purchased by the end of this year.

Meanwhile, more utility companies offer cash rebates for energy-efficient appliances, such as washers and water heaters.

About 75 percent of the customers at Central Valley Glass ask about the incentives, co-owner Les Riel said.

"If they aren't asking about it, we're telling them about it," he said.

Tom Morin, co-owner of Motion's General Construction of Yakima, was more guarded.

"We're hoping things will pick up," he said.

He suspects the high turnout of vendors means there are more contractors "hungry" for work.

Morin said customers like rebates and incentives but don't make their decisions based on them.

"It doesn't make or break a deal," he said.

His partner, Jeff Twiet, said things will improve as long as inflation stays low.

"We're going to hang in there one way or another," Twiet said.

* Ross Courtney can be reached at 509-930-8798 or rcourtney@yakimaherald.com.