Remodeling of real estate in Mexico, a little-explored market that a Spanish startup wants to digitize

The passage of time does not forgive anything or anyone and this includes the buildings and constructions in Mexico. According to the National Housing Survey 2020At the national level, 45.1% of the private homes inhabited are more than 20 years old.

Given the aging of houses and apartments of Mexicans, 58.5% of their own units present the need to carry out some repair or remodeling.

In this context, the Spanish startup Here your Remodelingfounded by Gustavo Barraza Miller and Francisco Moreno Tobaruela, reaches national territory with the aim of digitizing and professionalizing the minor construction segment and addressing this phenomenon.

Barraza Miller explained in an interview that there is a latent need to revitalize buildings throughout the country, so they see a positive outlook for the segment of the real estate remodeling through its franchise business model.

“We have the projection of gathering up to 350 franchisees in the next five years, with which we would have the capacity to intervene in around 16,000 restorations per year and generate 4,000 million pesos per year in the execution of work,” said the co-founder of the proptech.

The company’s goal is to carry out comprehensive projects for the residential, commercial and office market of the middle and upper middle segment, where each work of this type has a value of 250,000 to 300,000 pesos.

Pandemic accelerates remodeling market

The Covid-19 pandemic changed people’s consumption habits and new trends such as working from home, sustainability, energy saving, among other aspects, were created. What, according to Barraza Miller, detonated the market for renovations.

“These new habits left behind by the health crisis prompted a 40% increase in construction works. residential remodeling and commercial in the period from 2019 to date”, commented the co-founder of the startup.

Here your Remodeling will grant the rights to use the brand to each partner and will provide technological support for the execution and management of the works.

In this sense, the co-founder of the company explained that the business model is accessible to large construction companies; consolidated and emerging architects, designers and engineers; and even businessmen who have no knowledge of the sector.

And it is that, by acquiring the franchise, investors will have access to software for the administration and execution of projects, which includes everything from quotes, customer acquisition, smart budgets, payments, to virtual reality and blockchain.

“By 2023, we hope to have the only application in which the client and the franchisee will be able to render their spaces without having knowledge of specialized programs, through the camera of their smartphone and obtain a quote,” said the businessman.

It is worth mentioning that the firm will begin operations in December 2022 with the first 25 franchises in 12 cities in the country, such as Chihuahua, Monterrey, Mexico City, Monterrey and Mérida. In addition, it has plans to expand into Colombia, Italy and Portugal.