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Week of April 14, 2003

Front Page

President's Message

* Housing Have-Nots Deserve a Boost From Congress

Housing Forum

* Letters to the Editor

Environment

* Pygmy Owl Data Sets Precedent for Landowners

Housing Politics

* House Passes Major Home Energy Bill
* Health Plan Bill Advances in Congress
* Bill Would Speed Up Apprenticeship Program Reviews

Housing and Economics

* Spotlight on: Chicago
* Eye on the Economy
* Economists to Examine How Housing Is Holding Up

For Consumers

* High Ceilings a Trend in Reshaping American Homes

Member Dividends

* NAHB Team Helps Builders Win Political Challenges

Green Building

* New Mexico Builder Slashes Construction Waste Costs
* Construction Debris Diverted From Landfills in Milwaukee
* Soy-Bean Based Insulation Wins Green Product Award

Multifamily

* Multifamily Sector Looking at a Mixed Picture
* Job Growth Key to Apartment Market
* Slowdown Expected in Multifamily Lending
* Tax Credit Legwork a Must for Success

Business Management

* Know Your Technology Needs Before You Invest

Construction Safety

* Toolbox Talk: Don’t Overlook Scaffold Safety

Housing Finance

* Discussions on Rural Housing Needs Continue

Labor

* HBI Helping Builders Find Skilled Workers

Building Products

* Performance of CPVC Piping System Unmatched

Building News Coast To Coast

Association News & Events

* NAHB Board to Meet in Early May
* May 5 Is National Membership Day

NBN Back Issues

 

Building News Coast to Coast


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Need to Buy General Liability Insurance?
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Structural Defects, Can They Happen to You?
Insurance Coverage a Challenge?

Home Builders Boost Biz With Customized Options

More and more new-home buyers in all price ranges are spending thousands on upgrades, and builders are responding by offering a broader selection and opening design centers. For example, Beazer Homes' upcoming design center will showcase numerous fixtures, lighting, carpet, paint, tile and cabinet options; John Wieland Homes & Neighborhoods has added a new lighting studio to its design center; and KB Home Studio's model kitchens and bathrooms will let buyers envision the finished product. These design studios are set up like retail stores; but unlike the major home-improvement chains, KB Studios Senior Vice President Lisa Kalmbach says buyers can include the cost of the upgrades in their low-interest mortgages. Wieland sales executive Walter Nichols attributes the popularity of upgrades to low interest rates, the weak stock market and the assistance of professional designers. Meanwhile, some builders have cut the number of standard features to keep prices competitive, and they agree that buyers should only pay for what they want. Says Kalmbach, 'We build as standard what we know the market wants. Then we say, 'Come on in, personalize your home.'” (www.charlotte.bcentral.com/charlotte)
Charlotte Business Journal Online (04/07/03) Sidden, Jennifer Boyd
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IBM Builds Networked Homes With Developer

Commonwealth Builders and IBM have joined forces to equip the 170 homes in the Roanoke, VA-based Village at Tinker Creek with a number of smart home technologies. IBM's infrastructure will allow home owners to remotely operate door locks, appliances, security systems, garage doors and heating and air conditioning systems. In addition, residents can access neighborhood bulletin boards, local news and calendars as well as manage their utilities. According to IBM, the $3,500-per-home package will result in better energy efficiency and security, lower insurance costs and improve resale potential. Moreover, these smart homes are for the less affluent, priced in the $200,000s — unlike other versions of the connected home. Each residence will feature 802.11b wireless connectivity, C.P. Technology's NetAppliance Residential Services Gateway and Information iHome Application from SVA. (www.internetnews.com)
InternetNews.com (04/07/03) Olavsrud, Thor
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All Clear: Add Space, Light and Brightness to Your Home With a Touch of Glass

According to Winter Park, FL-based interior designer Francie Prince, “The translucence of glass doesn't block the eye, so it opens up any area of the home — the shower, the living room, the bedroom — every part of the house can benefit from the use of glass.” Home owners can install a door with a glass insert for a more sophisticated entryway, using frosted, etched or sandblasted glass for privacy. Kitchens, meanwhile, can appear larger with the use of glass doors that draw the eye to the back of cabinets; and glass shelving allows light to illuminate crockery, cookware or other items on display. As for the bathroom, the newest trends are colored glass tiles on the floor, ceiling, countertops, shower stalls and walls, as well as glass basins in place of porcelain sinks. In addition, home owners can replace street-facing windows with glass block, which allows light in while preserving privacy. Stained glass windows in bedrooms and glass tiles around the fireplace can also jazz up a home. (www.orlandosentinel.com)
Orlando Sentinel (04/06/03) P. 16; Enos, Denise Bates
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Is That a Daisy Growing on Your Roof?

Ecoroofs — lightweight systems of soil, compost  and perlite coupled with various types of vegetation — absorb a significant amount of water, minimizing storm runoff and related flooding and sewage problems. These environmentally friendly roofs also create better-quality air and reduce city temperatures during the summer. The trend has hit a few major U.S. cities, such as New York — where ecoroofs are being built atop affordable housing in the East Village; projects also are in the works in Portland, OR; Chicago; and Dearborn, MI. The ecoroof being built on top of Chicago's City Hall, for instance, will feature wild onion, butterfly weed, aster and buffalo grass as well as weather stations to track temperature, wind speed, rainfall and wildlife. There are some challenges to building an ecoroof, including the need for more roof trusses, joists and columns to support an additional 10 to 25 pounds per square foot; extra maintenance to make sure drains are not blocked; and water to keep the plants alive and reduce fire hazards in areas with little rain. Green roofs are more costly, averaging $10 to $15 per sq. ft. versus $3 to $9 for a traditional roof, which has hindered widespread adoption; however, some cities are offering grants and tax breaks to developers that build them. Moreover, a 2002 survey by Cahners Residential Group reported that new homes do not meet the demands of most builders and consumers as far as sustaining the environment. It also found that an increasing number of consumers are willing to spend more to improve the environment. (www.csmonitor.com)
Christian Science Monitor (04/09/03) P. 19; Nakazawa, Liz
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Second Homes: A Sooner, Not Later, Purchase

An increasing number of baby boomers and retirees are purchasing second homes earlier in life — mainly because of rapid appreciation, plans to work past the traditional retirement age and the ease of tapping into their equity. Housing experts say most second-home buyers are motivated by recreational, not investment, purposes. A recent study by the National Association of Realtors found that 51% of second-home owners made the purchase as a vacation retreat, 18% for retirement, 16% to diversify their investment portfolios and 15% for rental income. Fidelity National Information Solutions CEO Patrick Stone also agrees, suggesting that those persons interested in property solely as an investment would consider real estate investment trusts, rather than purchasing and repairing single-family homes. (www.latimes.com)
Los Angeles Times (04/06/03) P. K8; Kelly, Tom
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Low-Income Housing Gains Favor

The findings of a new survey done for Housing Illinois indicate that the majority of Chicago-area residents polled back the introduction of more low- and moderate-income residences in their areas. Of those polled, 31% said they would strongly support such projects, 35% would offer some support and only 17% said they would vehemently oppose low- or moderate-income housing. “The results are surprising and fly in the face of stereotypes,” commented Hoy McConnell, co-chair of Housing Illinois, a coalition dedicated to raising public awareness of affordable housing. “It suggests there are a lot of YIMBYs out there — yes, in my back yard.” While the research suggests that Chicago-area residents increasingly favor diverse communities, it also uncovered nagging fears about low-income housing. Two-thirds of survey respondents believe such property suffers from poor maintenance, for instance, and more than half believe it triggers more criminal activity. “These are two of the concerns that advocates really have to address in order to make their efforts successful,” stated Nancy Belden, a partner at Belden Russonello & Stewart, the Washington, D.C., public opinion research firm that conducted the poll on behalf of Housing Illinois. (www.chicagotribune.com)
Chicago Tribune (04/11/03) P. 3; Grady, William
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Putting Green Just Out the Back Door

With more than 60 million golfers and 30,000 golf courses worldwide, it is not surprising that residential putting greens are becoming more popular. Consumers are spending between $1,100 to $4,500 or more on home putting greens to spruce up the backyard landscape and enjoy the game at home. Some industry sources claim that putting greens give homes a resort-like atmosphere and add value, while others insist that home owners will recoup no more than 40% of the project's cost when the property is sold because of its specialized appeal. The popularity of the sport has prompted a number of senior adult communities to install greens, and Ryland Homes and other builders may soon offer them as options. In fact, NAHB Vice President of Research Gopal Ahluwalia predicts the number of home putting greens will continue to rise due to demand among new-home buyers for expanded landscaping options. “It's a big thing with the consumer,” he says. “People are spending a lot on landscaping and it has become a big business for builders.” (www.sunspot.net)
Baltimore Sun (04/06/03) P. 1L; Goldberg, Susan
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Going for the Green

Despite the weak economy, U.S. consumers are spending a record amount of money on their lawns and gardens as concerns about the war and terrorism keep them at home. National Gardening Association Research Director Bruce Butterfield says that spending on lawn and landscaping services has soared 40% from $7.6 billion in 1997 to about $10.7 billion currently; and American Nursery & Landscaping Association Executive Vice President Robert Dolibois reports that spending on professional garden construction and planting surged from $3.6 billion in 1997 to $11.2 billion in 2002. The booming housing market, the preference for outdoor spaces, the popularity of second mortgages and low interest rates have ramped up interest in gardening. Butterfield notes that nearly 25% of households hire lawn and garden services to handle lawn cutting, leaf blowing and other arduous tasks, which gives home owners more time to spend on so-called pleasure gardening. Home owners spend about $1.4 billion per year on water gardens, pond liners, plants and fish and $500 million on herb gardens. In the three major categories of spending, home owners fork out $12 billion on do-it-yourself lawn care, about $9 billion on trees and shrubs and $3 billion on flowering annuals and perennials.  Spending on professional services, meanwhile, skyrocketed from $14.6 billion in 1997 to $29 billion last year — a trend that Dolibois attributes to affluent baby boomers and home owners who have someone else care for their lawns out of preference or need. (www.washingtonpost.com)
Washington Post (04/10/03) P. H1; Higgins, Adrian
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No Major Risks Come With a 'Spec' House

Uninformed house-hunters may be suspicious of purchasing a home that is being constructed “on speculation,” meaning that the builder does not have a contract out for it.  Such fears are generally unfounded, however, as builders have several reasons for building on spec. In some cases, for example, productivity is maximized by keeping a steady flow of homes under construction. Meanwhile, other builders prefer to do their work without the demands and pressures that buyers can exert. Some home builders simply want to be able to present homes in move-in condition to buyers who need a property in a very short period of time. Whatever the reason, buyers of spec homes are not at any greater risk than other buyers. The only drawback they may experience is that they will be limited in terms of options and upgrades and the changes that can made. For this reason, it is important that the spec home already have the preferred amenities and that its value is in line with other properties in the neighborhood. (www.miami.com)
Miami Herald (04/06/03) P. 13H; Radice, Dennis
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Safe at Home

Though once designed for corporate executives, celebrities, diplomats and even eccentrics worried about their safety, safe rooms today are drawing mainstream interest as a result of high crime rates, war and the threat of biological and chemical terrorist attacks. In fact, NAHB believes these fortresses could someday become an option for luxury home buyers. Home owners can spend $6,000 for a  model the size of a telephone booth or well over $80,000 for a larger one, as well as thousands more to add on trap doors, secure telephone and power lines, air filtration systems, closed-circuit television and other security features. Safe rooms typically are fortified with steel and concrete and usually are located in the basement or hidden behind a bookcase or in another part of the house. Most manufacturers insist that the rooms are to be used, temporarily, as refuges from intruders or natural disasters until help arrives — although some can upgrade the unit to include protection from nuclear and chemical attacks. (www.sunspot.net)
Baltimore Sun (04/06/03) P. 1D; Alatzas, Trif
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You Can Go Home Again

Some home buyers choose to purchase their childhood homes from their parents, although exact numbers are not known since most of these sales do not involve real estate agents. Such transactions have both advantages and drawbacks. Buyers, for instance, are likely to receive a bargain price, are not likely to be deceived when it comes to disclosure and already are familiar with the neighborhood and its surroundings. Once the nostalgia wears off, on the other hand, these buyers may begin to notice the age of the plumbing and electrical systems and the smaller size of bedrooms and closets. Says Seymour Turner of the Chicago-area architecture and building firm AIROOM, “When people think of moving back to their homes, they think of that tree in the backyard they used to climb. They tend to forget about the other things.” Scott Sevon, president of Palatine, IL-based Sevvonco Builders — who also has been contracted to remodel homes purchased by owners from their parents — adds that couples usually decide to expand kitchens, bathrooms and master bedrooms and install more energy-efficient windows and doors. However, some of the problems they encounter are not connected to the home itself. They often lack the excitement of new-home buyers; find themselves plagued by memories of dead relatives; begin to resemble their parents; or become annoyed by the constant presence of neighbors who remember them as children. (www.csmonitor.com)
Christian Science Monitor (04/09/03) P. 15; Rafter, Dan
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Camera Phones Offer Good Picture Quality

While not intended to replace conventional camera equipment, the Nokia 3650 and the Sanyo SCP-5300 camera phones are designed to capture those “Kodak Moments” or send instant images to another phone or an e-mail address. Recognizing that many consumers may feel owning a camera phone is economically impractical, wireless phone marketers are targeting insurance adjusters and real estate agents. Both phones, priced under $400, are among the first integrated phones to hit the U.S. market. The Sanyo 5300 is like most flip-style phones and features separate buttons to activate the picture function and snap the shutter. The device is also light sensitive, and users can either send images via e-mail or upload them to a Sprint Web site for cropping and lighting or tone adjustments. The larger Nokia 3650 has a unique circular keypad, but is quick at e-mailing pictures or uploading them to ofoto.com to easily purchase prints. (www.contracosta.com)
Contra Costa Times Online (04/06/03) Bergstein, Brian
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Marketers Can Spread the Word With Weblogs

More and more small businesses are using Weblogs, or daily Internet diaries, to enhance communication with customers and boost marketing. For example, bed and breakfasts, local shopkeepers or restaurants can use Weblogs (also called blogs) to post local news, show photos and highlight new features or products, according to research from Dan Bricklin, co-founder of VisiCalc. Firms can also use blogs to relay urgent messages such as product recalls. Blog enthusiasts suggest that Weblogs be used in a firm's intranet to deliver information previously sent via e-mails encumbered with large attachments. Another advantage of blogs is that their format makes them suitable for use in search engines, which use automated “spiders” to look for multiple postings, highly specific information on a particular topic and links to other sites, says consultant John Lawlor of Boca Raton, FL, who specializes in building corporate blogs. This can be important since many people use Internet search engines when looking for products, he says. To set up a Weblog on the Internet, firms can purchase inexpensive and effective blogging software to manage and archive postings, says Lawlor. He says firms should link blogs to their conventional Web sites to act as the site's “What's New Button.” (www.sun-sentinel.com)
Fort Lauderdale Sun-Sentinel (04/06/03) P. 3G; Winter, Christine
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Getting to the Hotspot

Companies such as T-Mobile and Boingo are setting up more and more wireless Internet “hotspots” at public places such as airports, hotel lobbies and coffee shops, making it possible for anyone with a laptop to get online and do productive work for their businesses. To be able to use the hotspots, the laptop needs to be equipped with wireless local area network (WLAN) hardware and software, which are easiest to set up under Windows XP or Mac OS X and might take a little more work with older operating systems. Some operating systems may also make it necessary for the user to find out the unique Service Set Identifier, or SSID, for the hotspot — this is posted in some places, whereas in other places it might be necessary to ask employees for it. From a log-on screen in the Web browser, users can then log on if they already have an account with the hotspot vendor, or otherwise provide payment information; hotspot tends to cost $6 to $8 per single usage or $30 to $40 per month for a subscription that allows the user to use any of the vendor's hotspots. Security should be an important concern when using a wireless hotspot, so the user should avoid sending sensitive information over the wireless connection and should also have firewall software on the laptop to keep snoopers out of the computer's files. Users whose companies have virtual private networking (VPN) software on their servers can add VPN software to their laptops in order to access the company's internal network. (www.sbcmag.net)
Small Business Computing Online (04/03) Haskin, David
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