The End of the Line for Small Contractors?
2025: The Year the Little Guys Get Squeezed
The construction world is changing—and not in a way that’s been kind to small contractors. Around the Pacific Northwest, you’ll hear it in job site chatter and see it in the number of work trucks parked for good. If 2024 was a warning, 2025 is the fallout.
What’s Happening Out There
Hiring is rough. Costs are worse. Materials that used to be reasonable are now a moving target. Steel’s up more than 50% since a few years ago. Tariffs have tacked on even more, especially for things like aluminum and fixtures that aren’t always made stateside.
And the worker shortage? It’s real. The Associated Builders and Contractors says we need over 400,000 new workers just to keep up this year. That’s not a typo.
For the big guys, it’s frustrating. For the small guys, it’s survival.
Local Builders Are Feeling It
“We’re watching good contractors either shrink down or disappear entirely,” said Jordan Mitchell, a local industry analyst out of Portland. “They’re losing bids not because they’re not skilled—but because they can’t eat the costs or fill a crew.”
A lot of the folks being pushed out are the same ones who built the homes many of us live in. It’s not about talent. It’s about pressure—cost, time, labor, supply—and not having a buffer when things tighten.
What We’re Doing About It
At HD Contractor, we saw this storm coming and started making changes a while back.
- We brought in equipment. If we need to dig, haul, or move something, we don’t have to wait around on a rental company or pay extra for it.
- We cut down on bottlenecks. Running our projects through software like Buildertrend helps us spot issues before they become problems.
- We locked in good people. Our partnerships—with tradespeople, suppliers, and vendors—are all built on trust. That gives us stability, even when the market’s acting wild.
It’s not about being the biggest. It’s about being ready.
If You’re Planning to Build or Remodel…
Right now, homeowners should be asking the hard questions. Is your contractor built for what the industry looks like today—not five years ago? Can they keep a project on track even if prices jump or a delivery gets delayed?
That’s the difference. That’s what we focus on every day.
Want to Work With a Team That’s Built to Last?
We’re HD Contractor. Portland-based. Detail-driven. Built to handle what 2025 throws at us.
📞 Call 360-980-0418
🌐 www.hdcontractor.net