With the federal government playing a larger role in the economy and in business, Big Builder Online surveyed its readers last week about how the government's latest round of intervention is either helping or hindering their business.
More than half of the respondents--58.3%--said government intervention is not needed to help the home building business, while 41.7% of respondents say the intervention is necessary.
One respondent not in support of the government intervention noted: "In the end, no one will be able to afford a home after they have paid their taxes for all these programs."
Out of the federal government¹s latest plans to stimulate the economy, 41.7% of respondents said the creation of "bad banks" for banks' toxic assets will have the most positive effect on housing, followed by the first-time home buyer tax credit and more funding for Fannie Mae and Freddie Mac, each garnering 16.7% of the vote.
"All measures are important, but nothing is more important than getting the toxic assets back into circulation. I hate the idea of bailing out bad banks, and we need to break up the "too big to fail" banks and put others out of their misery," said one respondent.
However, more than half of the respondents--58.3%--said their company could survive the downturn without some of these federal measures, while 16.7% said they couldn't survive and 25% were unsure.
Operationally, three-quarters of respondents said they have made radical cost cuts in the past 12 months and that this has had the best effect on the health of their business. Another 16.7% said more focus on sales and marketing efforts has helped their business.