Business builds success in tough climate

DESPITE challenges currently faced by the construction industry including high interest rates, building costs, and general confidence in the sector, locally owned Stroud Homes Ballarat is showing there’s still room to succeed.

Local builders Simon Walshe and Brad Vagg started the business only months before the COVID-19 pandemic.

“It’s definitely been a tough three years in our industry,” said Mr Walshe. “That period caused shortages in land, shortages in materials which just sent prices through the roof.”

The business is currently seeing a period of growth and Mr Walshe said this is connected to their quality over quantity focus.

“We only need to do six or 12 builds a year to really be successful and we really have that one-on-one care with our clients and take them through the process,” he said.

“We don’t skimp on price with trades or suppliers.”

The business also has a focus on building forever homes and Mr Walshe said this means clients are more likely to have experience and take a risk.

“Yes, there’s a lot of builders struggling at the moment who potentially may not make it out the other side of what has been a difficult period,” he said.

“What we’re finding is that our type of client, which is the person looking to build there forever home, generally already has skin in the game or a block of land.

“They’re really looking to invest and build something that will stand the test of time.”

In terms of solving some of the problems currently being faced by the industry, Mr Walshe said there is no clear solution.

“I think time is going to be a factor as we’re seeing prices come down on land which is good and I think it needs to come down a little way further,” he said.

“I don’t think there’s any easy solutions.”

He encouraged people who are considering building to not be put off by the current state of the residential construction sector and to do research before selecting a builder.

“Our message would definitely be to do your research, get around and look at their current builds,” said Mr Walshe.

“When we have clients come in there is a lot of unease but all we can do is let them talk to current clients and let them sell what their journeys been with us.”