Jan Quintrall: Despite gloom , sun is starting to shine on region’s economy

Ten years ago, when I accepted the position of CEO at the Better Business Bureau, they lied to me. Those five board members told me the weather in Spokane was very similar to Colorado and I would just love the continued four seasons and feel right at home. Liars!

In Colorado you can count on your fingers the gray days in a year. The sun is a whole lot more involved in each day, and I really miss it. I love living in Spokane and my life here, but man, oh man, February really weighs on me. Toss in all the bad news about the economy and 2009 has been extra challenging so far.

So let’s take a mental trip to the beach with some good local news.

Real estate

Things are beginning to pick up. People are out looking and they are making offers; sales are happening. I make it a point to take the temperature in a number of industries as often as I can, and the reports are more positive from the real estate pros than they have been for quite some time. The number of Realtors has dropped, and those who still make this their profession are working harder, but the market is improving.

Financial stuff

The majority of banks are fine; only the massive failures get the headlines. Insiders tell me the bank failures are probably not over, but the healthy banks are ready to acquire the underperformers in many cases. And mortgage refinancing is going like gangbusters. If you want to refinance, plan on waiting four to six weeks to close, because there are that many people in front of you. If you have good credit, refinancing and buying is as easy as ever.

Investments

The 401(k) jokes are not as funny as I used to find them. I am not alone, and the BBB inquiry numbers support the fact that people are looking for advice on investments and retirement. This shows the majority are not burying the retirement fund in the backyard; they are just looking for new or additional guidance.

Cars

One of our local dealerships just about broke a sales record for January, and had it sold just two more cars, it would have. Yes, some dealers are really struggling, but not everyone is. Loans are available – again, to those with good credit – and certain models are selling. If you are in the market for a new truck or SUV, discounts are deep and there are folks taking advantage. And auto repair is humming. As we keep our cars longer, repairs become the norm.

Furniture

There are fewer furniture stores in the Spokane-Coeur d’Alene area than a year ago, but the survivors are reaping the benefit of less competition. After a dismal fourth quarter, the start of 2009 has been quite strong.

Business consultants

Yes, they are actually adding staff. When businesses need answers to new challenges, they often turn to consultants. And for good reason. As outsiders they have no ax to grind, and if the advice is bad, they get fired. Consultants can stay at the 30,000-foot level and not get stuck in the processes or the people. That kind of perspective is critical when challenges are looming. Plus, by hiring a consultant, a business does not take on the overhead of a staff person.

Employees

There are some fine people looking for jobs right now – victims of layoffs or business closings. That is good news for employers, and now is the time to upgrade your human resource assets if you can. When unemployment was under 3 percent, many hired the best of a less than optimal selection. Now the choices are better and we can get talent that was not available several years ago.

Economic downturns drive consolidation, and sometimes the market needs that culling. The strong survive; opportunity is out there for those who are in a position to take advantage. That is tough news when you are the victim of a downsizing or closing of a company. But there are industries in the recovery mode already.

One thing economists tell us is that the companies that jump ahead and lead their industry in the recovery win in the long run. Business has the tendency to pull back and put all sorts of things on hold. But it is those who sit by and wait to be sure recovery is really happening who will lag behind the leaders when business turns around.

What are you doing right now to be a leader? Good question to ponder on the beach.