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The Power of Consistency: What Won’t Change in the Next Decade?


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In an era marked by rapid technological advancements and constant change, it’s easy to get caught up in predicting the future. Jeff Bezos once said, “I very frequently get the question: ‘What’s going to change in the next 10 years?’… I almost never get the question: ‘What’s not going to change in the next 10 years?’ And I submit to you that that second question is the more important of the two.” This insight highlights the critical importance of focusing on the constants that underpin lasting success.

One need look no further than to Katerra, the now defunct technology-driven off-site construction company founded in 2015.  Katerra seemingly held so much promise for streamlining the construction process.  Its demise ultimately came down to not-so-great management, but another contributor was lack of enthusiasm by the home building industry to make a major shift in construction methods.  Who knows, with AI coming into play we may see change in the next 10 years, but that won’t happen unless home builders and homebuyers begin to look at housing in a new light.  A house is one of the few things that is still entirely handmade here in America, and therefore a career choice and point of pride for many.

Image by Katerra Group courtesy of LinkedIn

The Foundation of Enduring Success

Success isn’t just about anticipating the next big trend or technological breakthrough; it’s equally about understanding and leveraging the fundamental principles that remain stable over time. These enduring elements form the bedrock of resilient and adaptable strategies.

Institutional Knowledge: The Unchanging Asset

One such constant is the value of institutional knowledge. This encompasses the collective expertise, experiences, and insights accumulated within an organization over time. Institutional knowledge is a critical asset that, when effectively harnessed, can guide decision-making, foster innovation, and provide a competitive edge.

Like any other industry, decision makers in home building often change roles, move to another company, or retire at some point.  New people coming onboard often have “new” ideas.  Sometimes the ideas are truly innovative, but often they have already been explored.  Whether it be in new home marketing, construction, or sales, this is where institutional knowledge is beneficial.  Long term employees and adequate documentation prevent companies from spinning their wheels, keeping them on the road to progress.

Unlike fleeting trends, institutional knowledge represents the enduring wisdom that an organization has built. It includes documented processes, historical data, and the nuanced understanding of market dynamics that only comes with experience. Preserving and utilizing this knowledge ensures continuity and stability, even as external conditions change.

Resilience: The Human Element

Another unchanging element is the human capacity for resilience. As Bezos emphasized, the ability to endure and adapt is crucial. This resilience is not just about weathering storms but thriving amid them. It involves cultivating a mindset that embraces challenges, learns from failures, and remains flexible in the face of uncertainty.

Will anyone ever forget 2020?  Builders moved their offices home, stopped construction for a short while, retooled their product, then charged ahead constructing new homes as the housing market boomed!  The ability of home builders to quickly pivot in 2020, and subsequent years as housing needs rapidly change, is a shining example of resilience.    

Building a resilient organization means fostering a culture where employees are encouraged to innovate, take risks, and learn continuously. This adaptability allows an organization to pivot and respond effectively to new opportunities and threats, ensuring long-term success.

The Intersection of Technology and Human Insight

While technology continues to evolve, the intersection of advanced tools with human insight remains a constant driver of innovation. Technologies like artificial intelligence and machine learning can process vast amounts of data and generate actionable insights. However, the interpretation and application of these insights still rely heavily on human expertise and intuition.

Check out this article from Denim Marketing about “Buy Now” buttons in home building!

With the rapid advance of technologies, builders have been exploring the potential of selling homes online with the click of a button.  Unlike most other products, there are many hurdles to clear when it comes to buying/selling a home.  Securing funding, credit checks, title searches, home inspections, appraisals, additional credit checks, construction and loan delays, pages of documents to sign, and last-minute snafus all come into play making human expertise essential – at least for the foreseeable future.   

Organizations that successfully integrate technological advancements with institutional knowledge and human resilience create a powerful synergy. This combination enables them to navigate complexities, anticipate changes, and maintain a strategic advantage.

Practical Strategies for Leveraging Constants

1. Document and Share Knowledge:

   – Create robust systems for documenting processes, best practices, and lessons learned.

   – Encourage knowledge sharing across departments to foster a collaborative environment.

2. Invest in Employee Development:

   – Provide continuous learning opportunities to help employees adapt to new technologies and methodologies.

   – Cultivate a growth mindset that values resilience and innovation.

3. Balance Technology with Human Insight:

   – Leverage AI and data analytics to enhance decision-making processes.

   – Ensure that human expertise guides the interpretation and application of technological insights.

4. Foster a Culture of Adaptability:

   – Encourage experimentation and risk-taking within a supportive framework.

   – Recognize and reward resilience and innovative thinking.

The Future of Stability

As we look to the next decade, the challenge lies not just in predicting change but in identifying and leveraging the elements that will remain constant. By focusing on institutional knowledge, human resilience, and the balance between technology and human insight, organizations can build a foundation for enduring success.

While the specifics of the future may be uncertain, the principles that drive success remain steadfast. By understanding and harnessing these constants, organizations can navigate the complexities of change and emerge stronger, more resilient, and better prepared for whatever the future holds.

Written by Jim Sorgatz and Tabitha Warren

Know Your Homebuyer Audience


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Are you surprised by the new home construction trends in your own city?

Two homes, one much bigger than the other.
Guess which house is the newbie?!

Having been in the industry for nearly 30 years, it is not often that I am surprised by trends in new home construction. The goal is to sell to anyone who financially qualifies. And, in these times of elevated interest rates and home prices the buzz is all about affordability, which typically translates to smaller homes. So, I am shocked to see the newest homes being built in my “affordable” neighborhood are 50%+ larger and significantly more expensive than my home that was built in the fall of 2022. The families shopping for homes right now are, apparently, looking for space, and have the means to afford a bigger house. And I guess that makes sense. Although there genuine efforts by cities and builders to create affordable housing, with a median price of $430,000 nationally per realtor.com, there really aren’t many homes that are affordable right now for first-time homebuyers. This hammers home the importance of knowing your core audience, building for them, and marketing to them appropriately.

There are many builders who do this well and adapt to the changing environment. One example is Arizona based Meritage Homes whose mission today is, “To design and build homes that are innovative, built with care and superior craftsmanship, which deliver enduring value.” Contrast that with their mission a couple years back, “To build move-in-ready affordable homes for entry-level and first move-up buyers,” and you can see the evolution to better reflect the current new home market.

How can you be sure you are targeting the right audience? Begin with a review of your overall marketing strategy. Do your website, sales offices, and print marketing appeal to the potential buyers you are attempting to attract? Although first-time and luxury home buyers are both seeking out their dream homes, the marketing for these two distinct groups looks very different. This is where consultation with marketing experts like Denim Marketing, Blue Tangerine, Adlanta Creative, and Bokka Group to name a few, can be highly beneficial.      

Next, review your digital marketing tools, and upgrade them if necessary. If you are still using static floorplans and stick renderings, think again. Interactive floor plans, renderings, virtual tours, animations, and visualizers all play an integral role in engaging homebuyers and selling homes.

Interactive Floor Plans (IFPs) have universal appeal, and every builder website should feature them. Buyers of all demographics love to select structural options and customize their living spaces with the interactive furniture planner. 

Interactive floor plan with furniture.
Outhouse’s new colorized Interactive Floor Plan

Quality renderings are essential for all builders as well. Black and white stick drawings are never a good option, even for the simplest of homes. Standard 3D (Outhouse Bronze and Silver) renderings are perfectly acceptable for homes at lower price points. For move-up and luxury homes, you will want to implement 3D photoreal renderings (Outhouse Gold). Luxury and custom builders may want to opt for Platinum renderings that can be further enhanced and customized.

Should your budget for digital marketing tools be a bit larger, investing in animations and virtual tours pays off in two significant ways. First, they enable homebuyers to digitally explore your homes from anywhere. Second, both are available at a fraction of the cost of constructing a model home. Your target buyer should be the top consideration when choosing which format to offer. Younger buyers prefer user-controlled virtual tours. Buyers over 50 typically gravitate towards video format animations.

Visualizer showing a before and after kitchen
Visualizer’s allow home buyers to customize interiors and exteriors

Another online tool appealing to home buyers at all price points is the Visualizer. With both interior and exterior versions available, buyers can mix and match colors and finishes to achieve the desired look and feel. The visualization process is so much easier than making selections for an entire house based on one-inch paint chips and tiny floor, counter, and cabinet samples. It also removes some of the pressure and stress from the design center visit.

Here are a couple more ideas to help you connect with your appropriate audience:

Elevate your brand with distinguished print marketing. Consider the hotel industry when investing in print—the swankier the property, the more excellent the print collateral. The manager of the high-end hotel presents you with a “folio” at checkout, not simply hands or emails you a bill. Although print appeals greatly to buyers in the luxury home market, even younger homebuyers like to walk away from the sales center with a brochure featuring their preferred floor plan and elevations at a minimum. In today’s digital world, people still appreciate a tangible marketing piece when making one of their biggest life purchases. Why not present them with something sophisticated or fun, and memorable?         

Printed brochure showing families participating in various activities
A great print piece makes a lasting impression!

Today, the most progressive builders are transforming their websites with artificial intelligence (AI) to better understand and target their audience. Like that provided by openhouse.ai, AI offers home buyers a personalized shopping experience and predicts where your unique market is going with more accuracy.

So take some time during this evolving housing market to understand your homebuyer and determine if your current marketing strategy is meeting their needs. If not, consider working with online marketing experts to determine which digital and on-site tools will move the needle most with your target audience to increase your new home sales.   

Growing New Home Sales By Casting the Widest Net Possible


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Shortly after moving to Blaine Washington, a small city sitting right on the United States and Canadian border, my spouse suggested we head to the Night Market located in Richmond, a suburb of Vancouver. I happily went along knowing nothing about this event other than it ran from 7:00 PM to Midnight, and and there would be food vendors. I was hoping the food might be better than the the typical state fair, and I wondered if the market would look a bit like a renaissance fair with turkey legs and all. When we arrived I saw this!

Night market packed with people between two rows of food booths.
The Richmond Night Market

There are more than 600 food booths here, and 90%+ of them are Asian. A quick search on Google and I learned Richmond is home to 230,000 people, three quarters of whom are Asian Canadian. The food was amazing, and I’m ready to fight the crowds again this summer. Having never been to Asia, I finally had a taste of the infamous night markets that friends tell me offer some of the tastiest delights.

In the stretch of the Pacific Northwest between Vancouver and Seattle, there are significant populations of immigrants from around the globe. China, Japan, Korea, India, Mexico, Europe, Ukraine, Russia, and many more. In my neighborhood in Blaine which sits right on the border, we have residents from both Canada and the U.S. as many families lives take place in both. This is often due to marriage, jobs, or immigration status. Peace Arch state park which is an open space between the two countries was one of the only places along the border where families could meet during the pandemic. I love taking the pups there, and jokingly warn them not to say “Eh” when we are on the Canadian side.

What does all this have to do with home building? North America is a melting pot of immigrants and cultures. Unless you are Native American, most of our families traveled from other countries to get here. And as more immigrants arrive, put down roots, and start their own families, home builders may need to look a little differently at the design, sales, and marketing of new homes. Just as men and women, families, singles, and various generations seek out different amenities in new homes and neighborhoods, people from various cultures often have unique wants and needs as well. North America also has home builders founded by immigrants including Outhouse clients Couto Homes in Texas where the Couto family hails from Portugal, Trico Homes in Alberta founded by Wayne Chu who came to Canada from Hong Kong, and K. Hovnanian Homes whose founder is from Iraq. There are also builders owned by foreign entities like Woodside Homes (Sekisui House), and Stanley Martin Homes (Daiwa House USA).

What it all boils down to is, like the diversity within our industry, the pool of homebuyers is vast. Casting the widest net possible to reach buyers is essential for sales. And that means thinking outside the proverbial box, and diversifying our sales and marketing strategies.

To continue this conversation, On Tuesday, May 21, 2024 at 11:00 AM PST, Outhouse invites you to join us for a webinar featuring Magda Esola from Brookline Homes, Ingrid Prince from Shared Drive, and Safiyyah Siddiqui from DHS Realty. Coming from varied backgrounds they will share their thoughts and experiences on selling homes with diverse buying groups. If you miss the webinar, you will find the program posted on our YouTube Channel following. REGISTER TODAY!

From Income Tax Accounting to Web Design: Navigating Career Shifts and New Opportunities


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Accounting Female to Video Editing Female Courtesy of Canva Pro

During the global pandemic, many of us found ourselves reevaluating our career paths, seeking new opportunities, and embracing change in unexpected ways. My journey from being an income tax accountant to venturing into the realms of web design and social media coordination is a testament to the transformative power of adaptation and seizing new avenues for growth.

As a former income tax accountant, I never imagined myself delving into the creative realms of web design and digital marketing. Honestly, web design was my husband’s area. However, the pandemic presented unforeseen challenges and opportunities that compelled me to explore alternative career paths. With the traditional job market feeling dangerous to an immunocompromised woman, I decided to leverage my skills in finance and analytical thinking to venture into the digital landscape.

One of the most rewarding aspects of this transition has been the opportunity to collaborate with small businesses and the people that run them, particularly in the realms of homebuilding and trail racing. These industries, often operating on tight budgets and with limited digital presence, were initially hesitant to entrust their online presence to a relatively inexperienced designer and marketer. However, through open communication, dedication, and a willingness to learn, we embarked on a journey of growth and success together. Three years later, we continue to work together and implement new technologies and data to strengthen their strategies.

Shendo Cat Racing Home Page

A reader might be thinking, “Homebuilding and trail racing? What do these two markets have in common? How did this woman end up working in two markets that are so completely different?” The truth is twofold. First, I was a little bit lucky. The first project, the home builder marketer, fell in my lap through social connections. The second project, the trail race event coordinator, came by word of mouth after an employee from the home builder marketing company admired what I was doing and recommended me to a friend. But second, the heart of the businesses was the same. Both businesses want to help customers live happier, healthier lives. To achieve this, they needed to generate leads. They need to get their service offerings seen online.

Small and medium-sized homebuilders, in particular, stand to benefit immensely from embracing digital transformation and investing in a robust online presence. A well-designed website serves as the virtual storefront, offering a platform to showcase past projects, highlight expertise, and engage potential clients. Moreover, leveraging analytics and SEO practices can significantly enhance visibility and attract qualified leads, ultimately driving business growth and expansion.

Many people, new to web design and social media believe that having a digital presence will be cost prohibitive, but that isn’t true. The addition of a website and social media often pays for themselves. Especially, if you find a designer or coordinator that is the right fit for your company. Don’t be afraid to outsource to a designer or marketing firm that can help you grow.

According to a survey by Clutch, 46% of small businesses still do not have a website, representing a significant untapped market for digital growth.  Although many small builders have a website, some include little more than a logo, a couple of pictures, and contact info. By harnessing the power of web development and digital marketing, homebuilders can differentiate themselves in a competitive landscape, reach new audiences, and establish credibility in the industry.

Outhouse – The outsource Hub for Home Builders Home Page

In my experience, working closely with homebuilders and race coordinators to develop and optimize their websites has been immensely gratifying. By incorporating user-friendly design elements, compelling content, and strategic SEO tactics, we have witnessed tangible results, from increased website traffic to higher conversion rates. Moreover, the ability to track and analyze data enables us to refine our strategies continuously, ensuring maximum ROI.

As we navigate an ever-changing post-pandemic world, the importance of digital presence and online visibility cannot be overstated. Small companies that embrace innovation and adaptability stand poised to thrive in this evolving landscape. By partnering with skilled web developers and digital marketers, small businesses can harness the full potential of the digital realm, driving growth, and success in the years to come.

My journey from income tax accounting to web design symbolizes embracing change, adaptation, and accepting new opportunities. By collaborating with small businesses, I have not only found success but also forged meaningful partnerships built on trust, creativity, and mutual growth. As I look to the future, the potential for innovation and transformation in the digital sphere is limitless, offering boundless opportunities for those willing to seize them.

Tabitha Warren was an Income Tax Accountant for 15+ years.  In the first months of the pandemic, she took a chance and re-careered to freelance in Marketing.  She currently, and very happily, works with video and photo editing, social media marketing, website building, and now blog writing.

Tackling the Home Building Labor Shortage


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Two Innovative Organizations Making Strides In Workforce Development

One of the greatest challenges facing the home building industry in recent years is a labor shortage. With more and more kids going to college, and the tightening of work visa programs for immigrants, recruiting skilled workers has been a full-time job for many home builders and trade contractors. But the tides may be turning. A recent article in the Wall Street Journal, “How Gen Z Is Becoming the Toolbelt Generation,” observes that more young workers are going into trades. A few reasons for this are disenchantment with college, rising pay, and new technologies making careers in building much more exciting.

Home builders are also making strides in workforce development. I’d like to focus on a couple of innovative programs that are demonstrating success in this arena.

Jim Sorgatz, Outhouse VP Marketing holding The House That She Built book, flanked by Natalie Miles, owner of Natalie Miles Design, and Kristi Allen, owner of Woodcastle Homes
Natalie Miles, Owner – Natalie Miles Design, and Kristi Allen, Owner – Woodcastle Homes, with Jim Sorgatz, Outhouse VP of Marketing at a PCBC Professional Women in Building Bruncheon celebrating the success of The House That She Built

She Built Foundation

First is the She Built Foundation, an organization whose mission is to inspire girls to become the next generation of builders. It all started with a little book called The House That She Built, written and illustrated by Mollie Elkman and Georgia Castellano of Group Two. Published in 2021, this book has captivated thousands, inspiring a mostly women-powered movement, bringing the book and accompanying activity book to schools, libraries, and Girl Scout troops across the U.S. To make an even greater impact, the She Built Foundation was introduced to attendees at the 2024 International Builders Show. Did you know that 41% of the U.S. construction workforce is retiring by 2031? The need for construction professionals is great. Women currently only make up 11% of our industry. This organization serves a critical role in educating young girls (and boys) on the benefits of a career in building.

Closeup of three students at the Home Building Academy working with electrical parts
Students at the Home Building Academy learning electrical installation skills

Home Building Academy

A little lesser known is the Home Building Academy located in Phoenix, Arizona. This initiative was launched in 2023, by Home Builders Care, the charitable arm of the Home Builders Association of Central Arizona (HBACA). For students in this 9-week construction training program, tuition is fully paid, and they leave with certifications in carpentry and electrical. In the first four weeks of the program, students learn the basics of construction including:

  • Reading a tape measure
  • Understanding construction documents
  • How to build, level, plumb, and square
  • Using hand and power tools
  • OSHA 10 safe working practices

Following the classroom introduction, students move to hands-on training in carpentry or electrical. Check out the informative video on the Academy website to learn more.

Students at the Home Building Academy practicing construction and electrical skills, against a backdrop of wood framing.
Students at the Home Building Academy practicing construction and electrical skills

Support for programs like this is crucial. Ed Brady, CEO of the Home Builders Institute, tells us we need to replace 2.1 million jobs in the next few years. We have a 2-3 generation shortage of workers, and many longtime building professionals are aging out.

One way you can support the Home Building Academy is by drinking wine and craft beers, and eating some delicious food! Coming up on Saturday, May 11, 2024, is the return of Builders Uncorked, an event I helped launch during my tenure at the HBACA. This fun evening features stations with a unique selection of wines from around the globe. All funds raised go to train the next generation of home builders.

Congratulations to HBACA CEO Jackson Moll on the success of the Home Building Academy. And cheers to Lisa Rugloski, Stratton Hickcox, and the rest of the HBACA team who are leading the charge to raise funds through the Builders Uncorked event. With Phoenix Metro being one of the fastest continually growing areas in the country, the Home Builder Academy’s role in training workers for the future is vital to the home building industry.