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Subscribe to RSSAmid all the gloom and doom on the housing market comes a pinprick of light. A new survey from the American Institute of Architects shows that demand for design services is growing for the first time in almost three years.
The AIA's Architecture Billings Index hit 50.4 in September, up from 48.2 the prior month. A reading above 50 indicates growth. It was the first time since January 2008 the index has edged above 50.
Why is this obscure index something to watch? According to the AIA, it reflects an approximate lag time of nine to 12 months between architecture billings and construction spending.
The index has been rising for four straight months, but the AIA's chief economist Kermit Baker said to keep the Champagne on ice until we see more consistent and sustained growth.
“This is certainly encouraging news, but we will need to see consistent improvement over the next few months in order to feel comfortable about the state of the design and construction industry,” said Baker.
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Dallas' residential market is already experiencing significant growth, but we're always thrilled to hear more positive news.
Briggs Freeman Real Estate Brokerage, www.UpdateDallas.com
But AIA membership is way down & they can blame themselves for much of their membership problems. AIA dues are way too high and much of their message is increasingly irrelevant.
This is a good trend, if true, regarding demand for licensed Architects (I assume) within the residential design arena. One of the big problems though is the LACK of practical experience that the majority of registered Architects have when it comes to competing with the builder/developer who in most cases obtain permits for their houses through the use of Structural Engineers and draftsmen only. This practice should be examined by the AIA.