InvestingDaily.com

Account Information

  • My Account

    Manage all your subscriptions, update your address, email preferences and change your password.

  • Help Center

    Get answers to common service questions, ask the analyst or contact our customer service department.

  • My Stock Talk Profile

    Update your stock talk name and/or picture.



Close
FEATURED STRATEGY

$1,230 in Instant Income?

$1,230 in Instant Income?Our top income expert recently pulled the wraps off his breakthrough moneymaking technique. And he proved beyond a shadow of a doubt how you can use it to generate instant cash payouts of up to $1,230 (or more). Over and over again. But then he took things a big step further and guaranteed you can make $1 million by following his program. And the second he did, our phones went nuts! Space is limited — get the details here.

 

 

Remodel Your Portfolio

By Linda McDonough on August 23, 2016

Thinking of replacing those bulky kitchen cabinets or having your bathroom remodeled? Take a number. Contractors are swamped with requests for quotes these days from homeowners eager to spruce up their biggest asset.

Demand for remodeling is set to surpass records set 10 years ago during the housing boom. A recent analysis by the Harvard Joint Center for Housing Studies and John Burns Real Estate Consulting group forecast that spending on home remodeling projects will rise almost 10% in 2017 to $300 billion. This robust growth is already lifting profits for many remodeling suppliers.

With more than $300 billion slated for residential overhaul spending next year, I’ve been compiling a list of stocks benefiting from the boom. Many of these stocks took a quick breather when Lowe’s missed its second quarter comp sales number due to bad weather in May. Most of this weakness was related to outdoor sales which make up 40% of second quarter sales.

Both of my Profit Catalyst Alert and Growth Stock Strategist portfolios hold at least one position that should directly benefit from this trend, but I’m ready to scoop up some more stocks to help remodel your portfolio for gains.

A Strong Market

The particularly tenacious strength in the housing market is partly responsible for the remodeling binge. During the housing bubble, homeowners would simply “trade up” to a home with walk-in closets, landscaped patios or the granite counters that they wanted. The rapid rise in prices meant buyers could quickly reap huge gains on housing investments. Loose and abundant financing allowed for ridiculous bidding wars.

But these days more subdued price increases, record levels of absolute housing prices and more rational lending standards make house flipping less attractive. Staying put and improving your existing home is frequently the more popular choice.

The price of a home is steadily increasing each year. Year to date the average price for a U.S. home is $365,000 versus an average price that poked up just above $300,000 at the 2006 housing peak.

Slim inventory is keeping these prices aloft. The John Burns Real Estate Consulting report notes a dearth in listings. For sale listings as a percent of total occupied households is 1.7% this year, the lowest percent in at least 30 years and well below the 2.3% median.

Frustrated real estate agents are stuffing mailboxes of residents in desirable neighborhoods with pleas for new listings, and first time buyers are shifting their dreams to condos from single family houses.

Despite low mortgage rates, buyers are not able to find a desirable home at an affordable price. So homeowners are deciding to stay put and hire a team to upgrade their homes. Home Depot and Lowe’s both confirmed on their second quarter earnings calls that remodeling is going strong. Both companies saw above average demand from professional contractors buying lumber, doors and other supplies.


You might also enjoy…

 

Boost Your Annual Income By As Much As $12,036

We’ve uncovered a unique income-boosting opportunity that allows you to collect up to $1,003 a month in extra government cash. 

This plan is available to everyone over the age of 18.

The amount you make isn’t dependent upon your marital status…

How much money you currently make…

Or even how much money you made in the past.

Best of all, because of the way Uncle Sam views the money that comes from this plan, your current—or future—Social Security benefits won’t be affected, either. 

There’s still time to get your name on the list for the next check run. 

I’ll show you how here.

Stock Talk — Post a comment Comment Guidelines

Our Stock Talk section is reserved for productive dialogue pertaining to the content and portfolio recommendations of this service. We reserve the right to remove any comments we feel do not benefit other readers. If you have a general investment comment not related to this article, please post to our Stock Talk page. If you have a personal question about your subscription or need technical help, please contact our customer service team. And if you have any success stories to share with our analysts, they’re always happy to hear them. Note that we may use your kind words in our promotional materials. Thank you.

You must be logged in to post to Stock Talk OR create an account.

Create a new Investing Daily account

  • - OR -

* Investing Daily will use any information you provide in a manner consistent with our Privacy Policy. Your email address is used for account verification and will remain private.

Stock Talk

  1. avatar
    Lyubov Litvin Reply August 25, 2016 at 7:06 PM EDT

    What ‘s names of 7 Must-Have survivors stocks for the coming correction ?