Competitive Homes, Your Local Builder in New Zealand

14 Jun 2014

When you choose to build with Competitive Homes, the money you spend stays in your community, as each Competitive Homes branch is owned and operated by a carefully selected local New Zealand builder, and that builder purchases locally, hires local sub contractors and does general business with other local companies.

The use of local businesses, in general, is widely acknowledged as a great way to support one’s community and local economy. Because of the labour intensive nature of the building industry, local New Zealand builders, in particular, typify these benefits. A locally based New Zealand builder is not only much more likely to keep profits in the community and spend them there, the local New Zealand builder is much more likely to use local resources in the projects that are undertaken. From buying materials from local vendors, using local financial resources such as banks and accountants, renting equipment and hiring local subcontractors, the local New Zealand builder is much more likely to spread expenses among local New Zealand builders than a national builder. Even the sourcing of building materials can have an impact, since local New Zealand builders may be more likely to use local suppliers, who use local transportation companies to move materials. Moreover, a national builder is much more likely to bring in a set of well established designs, so that functions such as architectural and engineering design, legal services are more likely to be centralized at the builder’s headquarters. National builders also are less likely to incur tax obligations locally and are more likely to ask for and receive tax incentives to locate their business in a community.

Studies have indicated that the value of a dollar when spent with a local business is actually far greater than a dollar, when its total effect is considered. This results from that dollar being passed from business to business, for intra-business goods and services. Each time that dollar is passed to a new and local business, the local economy is again stimulated. Even better, as each business that is touched by this local spending takes profit, uses other local services and pays employees, other businesses that are outside of the construction industry also benefit. These same studies indicate that locally spent dollars can have a multiplier effect of up to three and a half times.

Even matters such as home warranty service can provide significant stimulation to the local economy. New housing typically come with ten year warranties. A decade of warranty service can give rise to a great deal of work for local subcontractors and repairmen, where a local New Zealand builder is used. A national builder is much more likely to maintain a presence in the area and service those warranties with businesses that will send their profits out of the community.

To sum it up, you are helping your community when you build your new home with Competitive Homes, your local New Zealand Builder.


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