According to Construction Dive, Construction Industry Spending Falls for Second Straight Month. Here's the lowdown, and a simple way to obtain a construcion business loan.
- Construction spending fell 1.0% in January to a seasonally adjusted annual rate of $1.180 trillion, below the revised rate of $1.192 trillion in December, the Commerce Department reported Wednesday.
- Private residential construction grew 0.5% in January, while private nonresidential construction remained nearly identical to December's figures. Within residential, single-family rose 2.3%, while multifamily spiked 9.0%. Public construction dropped 5.0% between December and January.
- January's construction spending figure came in 3.1% above the January 2016 mark.
January's figures follow a slowdown in December's spending that put the brakes on a previous post-recession high. While January's report reveals a second-straight month of declines in spending, analysts have forecast spending growth in the coming year.
Month-to-month spending figures remain volatile as a persistent labor shortage and strict regulatory climate continue to undermine new construction activity. Still, economists at Dodge Data & Analytics have predicted an increase in starts for 2017 that could total up to $712.9 billion for the industry. Despite falling back 2.6% in January, the month's housing starts still came in 10.5% ahead of the year-ago mark, and a rise in January's building permit authorizations bodes well for building activity down the line.
On the infrastructure side, industry observers have pinned their confidence in future prospects for construction growth, in part, on the Trump administration's $1 trillion infrastructure plan and the construction of the U.S.-Mexico border wall. While funding for both proposals remains hamstrung in Congress, builders are optimistic about the potential for business growth and a much-needed injection of federal funding back into the industry. This week, U.S. Customs and Border Protection officials opened up the bidding process for the border wall, giving companies from March 6 to March 10 to submit their designs for the project.
Industry-watchers are cautiously optimistic about the construction industry’s future growth. That’s why we believe that having access to business capital via tools such as construction business loans is a prudent strategy. With a construction loan from LVRG Funding, your business can leverage growth opportunities now and be well-positioned for uncertainties that may lie ahead. Our business construction loan options have helped many construction companies grow, and we can likely help you as well, even if you have poor credit.
LVRG Funding is uniquely positioned to help construction companies grow. Not only can qualified construction companies obtain business loans for up to $1 million, but the application process itself is fast and easy. Once approved, funding for small business construction loans can become available in as few as two business days, and funds can be used for virtually any business need, including:
- Purchasing new or used construction equipment and materials
- Expanding or upgrading your company’s facilities
- Hiring new employees, training, and education
- Overcoming unanticipated business expenses
- Managing cash flow
The LVRG Funding loan application and approval process are tailor-made for busy construction industry professionals who are looking to qualify for a flexible business construction loan. Here’s what you can expect from one of our small business construction loans:
- Streamlined underwriting and approval that won’t keep you waiting for weeks or months
- Funds in your account in as few as two business days after approval
- Repayment terms that are structured to your business model and cash flow
- Capital that can be used at your discretion, for any business expense
- Poor credit is not a disqualifier for fast funding
Apply for a Construction Loan Today
Construction business loans from LVRG Funding can give you the working capital you need for today and tomorrow. See what many construction companies across the country already know: Our business loans and merchant cash advances are useful tools of the trade. Please contact us today with any questions about our construction business loans, or apply online.