I wrote this a year ago for another website, and I really thought I should reprint it here for those of you in the Gainesville area who are just thinking about using my services…
One good thing about an economic collapse is that it causes you to reassess decisions you have made to provide for your family and your future. Back in 1981, during that recession, I was unemployed, with no education or skillset to market, and I knew I had failed to plan. Going back to school did not seem like an option, and I lived in an area where there were no big employers of blue-collar labor, so I started a business.
My first customers were small shops where I was confident that the owners would part with 2-5 dollars per visit to keep their windows cleaned. I found enough of these jobs to eke out a living, but it all changed when I discovered the market of upscale homeowners. These people paid well for my service. And even though I only saw them once or twice per year, there were so many of them that I managed to stay busy and increase my earnings. But then it got better.
These same homeowners sometime put me off by saying that they needed to get the house power washed first. That was when I started to offer power washing to my clients. Now, instead of making $5 at a single location, I was making over $300. I also noticed that a smaller and smaller percentage of my business was small homes. And that is what brings me to the real meaning of all of this: that maintenance adds to wealth.
Here in America there is so much wealth in our economy that we have the luxury of wasting it. We buy stuff that lasts only a year or two. Or less. We replace things that are out of fashion, even though they are still perfectly serviceable. And we let things fall into disrepair. At least, that is what we do if we are not rich. Rich people know better. And when I say rich, I don’t mean that they make a lot of money. I mean that they have accumulated a lot of money and would have a hard time spending it all because they are so frugal.
I am definitely not one of those people. But I have observed a lot of them from time to time. I’ve also met people who make a lot of money, and live in big homes, but are not rich. Or their riches are so precarious that a slight dip in real estate prices can totally liquidate them.
When I was in high school, my best friend was from a rich family, although you would never know it by looking at him. He had a car, but it was a beat up Plymouth Duster. His dad had died on a cruise ship off the coast of Newfoundland during a storm, when they couldn’t get into port and get him to a hospital. He lived with his mother, who also drove an old car and lived in a modest two-story house on a mountain. I went shopping with them a couple of times, and she knew the price of everything, and could tell when things were marked up just a few cents from the last time she’d been there. Then she would root though the boxes of Cheezits looking for the one that had been missed in the repricing. I just thought she was cheap. But nothing she had was in disrepair. She made everything last.
That is what many of my customers are like; not all, but many. They keep their houses cleaned and repaired because they value them for the long term. Others are in and out of their houses as soon as they can make a profit on them. And now some of them have lost this expensive game of musical chairs by being stuck in something they cannot really afford to maintain. But if they don’t, they will find that their houses are worth less and less in a competitive real estate market that is advantageous to buyers.
The next time you drive by a house with small trees growing out of the rain gutters, and black mold on the walls, and evidience of woodpeckers seeking out the larvae that lives in their wood, remember that this is not a likely customer. It is more likely to be a future real estate bargain for someone wiser who will begin to add value and accumulate wealth.