Print-All Page: May 1, 2006

After soaring to record levels for three consecutive years, the single-family housing market is gliding toward a “soft landing” in 2006, as rising interest rates, affordability issues and a reduced role for investors and speculators soften demand, according to economists at the NAHB Construction Forecast Conference in Washington, D.C. on April 27.

“After topping out in the third quarter of last year, it is pretty clear that the housing sector is in a period of transition. Sales and starts are trending lower toward more sustainable levels,” said NAHB Chief Economist David Seiders. Even so, the slowing housing market is not likely to derail the current economic expansion as other industries pick up the slack.

Expressing a similar assessment, Michael Moran, chief economist at Daiwa Securities America Inc., said, “The housing sector is going through an adjustment, not a collapse.”

Taking a bullish view on the current economic and inflation outlook, Jim Glassman, managing director and senior policy strategist with JP Morgan Chase & Co., noted several factors that bode well for housing.

“Real estate is pricing itself back to reality and in the long-run it is reasonable to expect starts in the 1.8 million to 2 million range,” said Glassman. “Housing won't continue to make the same contribution to the economy that it has. But when I think about where the economy is, I think we're in the fifth inning with a good chance of going into extra innings. This expansion may prove to be the longest one ever seen.

“Inflation is key to the longevity in the current economic expansion and to the underlying health of the building business,” he said, noting that Federal Reserve Board policymakers are doing an excellent job of keeping inflation in check.

Economists agreed that the Fed will raise its benchmark short-term interest rate to 5% at its May 10 meeting, which would be the 16th consecutive quarter-percentage point increase since it began moving up rates in June of 2004, starting from a lowly 1%.

Both Seiders and Glassman believe that the 5% mark should be enough to ease inflationary pressures in the months ahead and to keep the Fed from moving forward with additional rate hikes. However, citing higher energy prices and a low unemployment rate of 4.7%, Moran predicted that the central bank won’t stop until it raises the federal funds rate to 5.5%.

Seiders said that new home sales in the first quarter of this year were down 10% from the fourth quarter of 2005, and looking to the future he expects them to ease further in the coming months before leveling off in 2007.

NAHB is forecasting that new home sales will hit 1.13 million units in 2006, down 12% from last year’s all-time high of 1.28 million units, and then edge down slightly in 2007 to 1.09 million.

“Hopefully, most of this decline will be due to investors and speculators stepping out of the market. What we don’t want to see is investors dumping homes on the market,” said Seiders.

After posting a record 1.716 million single-family starts in 2005, NAHB is predicting that new home construction will level off to 1.595 million units in 2006 and 1.488 million in 2007, which would still rank high by historical standards.

Commenting on the dramatic home price increases in many markets in recent years, Seiders said home price appreciation is expected to fall from an average 12% in 2005 to about 4% in 2007, with mortgage rates rising to 6.7% later this year.

Seiders added that the multifamily market has remained “eerily stable” since the late 1990s, and is expected to continue the same pattern in 2006, with starts dropping slightly to 351,000 apartment units from 355,000 last year.

The rental market has solidified, and Seiders said he expects it to regain some ground while the red-hot condo markets start to cool.

Seiders is also predicting that residential remodeling expenditures will continue on an upward trajectory, in part because "an immense amount of home equity will continue to support this spending."

Looking at housing on a more localized level, Bernard Markstein, NAHB’s director of forecasting, said that the forces driving housing demand vary significantly by region.

Among the forces affecting demand are home prices, population growth, household formation and growth in employment opportunities. Other factors that can greatly affect demand include immigration and migration, energy prices, large-scale natural disasters such as Hurricane Katrina and an area’s appeal as a second home location.

Mark Zandi, chief economist for Moody’s Economy.com, said that “builders have done a pretty good job of matching supply and demand” and that “nationally, house prices and supply will go flat in 2006, 2007 and 2008.” This implies that there will be some price declines in key markets, he said, but the markets are going to “correct, not crash.”

Markets where Zandi anticipates significant corrections — defined as more than a 10% peak-to-trough decline — are in the Northeast, the Mid-Atlantic, Florida, California, parts of Arizona and Las Vegas.“ Any fundamental rise in interest rates will bite hard,” Zandi said. “The rise will lock out two key groups that are important to local/regional markets: first-time home buyers and investors (investors include second home buyers and other buyers in it for the long term, not just those in the market with the intent to flip and get out.)

With interest rates on the rise, housing finance was a major topic at the conference.

“Housing is the most interest rate sensitive industry in the country,” said Frank Nothaft, vice president and chief economist of Freddie Mac. “Mortgage interest rates, home prices and family incomes — these are the three ingredients that families think about when deciding to buy a home.

“We expect mortgage interest rates to rise slowly through the end of 2006, but they’ll still remain well below historical norms,” Nothaft said. “The affordability problem is a function of increases in home prices.”

He pointed out that among families with prime mortgages, 87% of the loans are fixed-rate. “So even if the Federal Reserve continues to raise interest rates, most American families will be insulated because they have fixed-rate mortgages.”

The major tailwinds that have driven loan originations in recent years have swung 180 degrees, and could be major headwinds in the coming years, said Scott Anderson, senior economist for Wells Fargo & Company. These include rising interest rates, weakening demographics, increasing housing inventories and less investor demand — especially if the stock market picks up.

“The Federal Reserve is doing its best to take away the punch bowl,” Anderson said. “It should be no surprise that the housing market is going to slow down.”

Floor Plans: Creating a Sense of Community

Developer:
The Lander Group (www.dakotaonthepark.com)
Architect:
DJR Architects, Inc.

West River Commons, overlooking the Mississippi River in Minneapolis, is the kind of community that can come to life when you replace an abandoned, contaminated gas station with a visionary, mixed-use, people-friendly development in an established urban neighborhood.

Created by the Lander Group, West River Commons features 53 rental apartments; three for-sale townhouses; about 8,000 square feet of restaurants, offices and shops; an acclaimed public art project; and views of the Mississippi and the downtown Minneapolis skyline.

West River Commons is situated along popular Minneapolis’ popular Grand Round hiker/biker trail system. The public plaza and retail section of the development are at the foot of the bridge spanning the Mississippi River gorge between Minneapolis and Saint Paul. Onsite bus service and nearby light rail offer quick and access to the University of Minnesota and the downtown Minneapolis business district.

The owner-occupied townhouses at West River Commons feature contemporary design ― clean finishes and open floor plans with three full levels of living in approximately 2,100 square feet.

West River Commons townhouse floor plan

Flexible layout allows for a variety of living options on upper and lower levels. The fully finished lower level of the homes includes a full bath and offers the opportunity to create a comfortable guest suite and entertainment area.

Each home has a convenient street-front entry in addition to a rear entry accessing the individual garages. The townhouses are priced between $299,900 and $349,900. West River Commons also offers one- and two-bedroom and luxury apartments ranging from $900 to $1,750 a month.

At the heart of the community’s public plaza is public art created by nationally-known Minneapolis artist Andrea Myklebust, who was brought into the project early in order to integrate art into the new community. The plaza serves as a gathering place for residents as well an outdoor seating area for West River Commons businesses.

West River Commons blends into the surrounding Longfellow neighborhood, characterized by its diverse residents, tree-lined streets, friendly community atmosphere and many locally-owned businesses, including coffee shops, restaurants, bars and clubs.

The Lander Group held 24 public meetings with nearby residents and hosted an interactive Web site so neighbors could register ideas online and submit comments.

West River Commons won a Best in American Living (BALA) award in the Urban Smart Growth category. The Lander Group also was named one of two Freddie Mac Multifamily Development Firms of the Year award winners in the Pillars of the Industy competition.

Features and Specifications

West River Commons Townhouse Features:

Three bedrooms/two and a half baths
10-foot ceilings and hardwood floor throughout main level
Designer kitchen cabinetry with granite countertops and stainless steel appliances
Designer baths with Jacuzzi tub and double sink in master
Fully finished lower level with full bath
Individual detached garages
Private street-front entry
Private yards

Community Features:

Views of the Mississippi River and the downtown Minneapolis skyline
Expansive outdoor plaza with commissioned artwork
Proximity to freeways, bus routes and bike trails
Within walking distance of great restaurants and many services, including a co-op grocery store, movie theater and bowling alley

Developed by: the Lander Group, Minneapolis
Designed by: DJR Architects, Inc., Minneapolis

Photos by Alex Steinberg Photography.

“Building Community: Live, Gather, Play,” available through BuilderBooks.com, shows you how to design a community that is sensitive to the environment, respects the neighbors, is financially successful and has the elements necessary to last generations.

“Building Community” is an indispensable core text for the study of community planning, residential and commercial architecture and landscape architecture. To view or purchase this publication online, click here, or call 800-223-2665.

Tentative Timber Accord a Blow to U.S. Consumers

The U.S. and Canada announced on April 27 that they have resolved their long-running cross-border softwood lumber dispute by entering into a tentative managed trade agreement that will be detrimental to housing affordability and millions of U.S. consumers.

Under the framework, Canada would impose a complicated system of export taxes and quotas on its softwood lumber exports when the price of U.S. lumber is below $355 per thousand board feet (the current price is $377). The deal would remain in place for seven years, with an option to renew it for an additional two years.

If the settlement is finalized and results in new trade barriers limiting Canadian lumber shipments into the U.S., NAHB will help builders seek lumber sources from other countries and promote the use of alternative building materials wherever practical.

“From a policy perspective, NAHB will work to increase the supply of German and Swedish lumber, and we will consider options to import Russian softwood from Siberian forests,” said Jerry Howard, the association’s executive vice president and CEO. “In addition, we will encourage interested builders to explore using steel and other building materials and construction techniques.”

While the negotiations were still underway, NAHB launched a media blitz in an effort to show that a managed trade deal would drive up housing costs. Howard was quoted in the Wall Street Journal, Associated Press, the Dow Jones Commodities Service, the Miami Herald and the Deseret Morning News. In addition, he appeared in virtually every major Canadian broadcast and print outlet.

“Such market-distorting trade restrictions would be completely unjustified following four years of litigation that has proved the Canadian lumber industry is not subsidized and does not constitute a threat to domestic producers,” Howard said.

Noting that the framework seems geared toward reaching a political resolution that is acceptable to Washington and Ottawa and to lumber producers rather than considering the impact on consumers, on inflation and on the overall economy, Howard said that “it is certainly no coincidence that the talks deliberately exclude several key stakeholders in the debate — most notably, U.S. consumers, who stand the most to lose.”

North American Free Trade Agreement (NAFTA) panels have repeatedly and unanimously ruled that U.S. lumber producers are not threatened with injury from Canadian softwood lumber shipments, and that there were no significant subsidies provided to Canadian producers. The verdicts call on the U.S. to rescind costly tariffs that harm housing affordability and to refund to Canada the more than $5 billion in duties that have been collected.

Although a NAFTA ruling carries the weight of law in Canada, the U.S. and Mexico, the Administration has failed to implement decisions that invalidate the lumber duties and return all duties paid out by Canadian firms.

This issue is critical because there are not enough trees available in the U.S. to produce the lumber needed for home building. Canadian lumber imports currently constitute about one-third of domestic consumption and are absolutely vital for the construction of affordable new homes and residential remodeling. Imports from other countries accounted for about 5% of the domestic supply in 2005.

“For an Administration that espouses free trade, there is no logical reason to ignore repeated NAFTA rulings and to engage in one-sided negotiations that would provide a massive subsidy to the U.S. timber industry at the expense of millions of American consumers,” said Howard.

The agreement announced by the two governments cannot be made final until all Canadian industry associations and mills drop their litigation against U.S. anti-dumping and countervailing duties, and the pact also requires importers and U.S. industry groups to agree to certain provisions. Just one Canadian firm could scuttle the entire deal by refusing to drop its litigation.

The Canadian parliament will also have to approve legislation that would allow provinces to collect export taxes on Canadian softwood lumber exports, an effort that could take months.

To read an outline of the tentative managed trade agreement between the U.S. and Canada, click here.

In a related development, the U.S. on April 27 filed a last-ditch extraordinary challenge on a NAFTA verdict that found that Canadian lumber is not subsidized and compels the Administration to eliminate its countervailing duty order. The Administration has stated that this challenge would be withdrawn if a deal is finalized.

For more information, e-mail Michael Strauss at NAHB, or call him at 800-368-5242 x8252.

Doors Close for Real Estate Speculators

Investors are pulling out of the real estate market in the Washington, D.C. metropolitan area, dampening home sales, especially of new condominiums, which fell 43% during the first quarter of 2006 compared to the same period last year. “We think the softness of the market is largely due to the pulling out of investors,” said Gopal Ahluwalia, staff vice president for research at NAHB. “They have not pulled back, they are cancelling purchases.” Robert Toll, chairman and chief executive of Toll Brothers, said that the Washington market was the hardest-hit in the nation by investors who bought properties intending to flip them and have now put the homes up for sale. “We can feel the impact of speculative play coming back to the market,” he said. Delta Associates, a real estate research firm in Alexandria, Va., said that there are almost 26,000 new condos being marketed locally now, but only about 2,000 new condos were sold in the first quarter, down from 3,520 in the same period of last year. And listings of mostly previously owned properties by the Metropolitan Regional Information Systems showed about 5,500 condos and co-ops for sale in March in Washington and its close-in suburbs, up from 1,400 in March of 2005. (www.washingtonpost.com)
Washington Post (4/22/06); Kirstin Downey

The Long and Grinding Road; The Rat Race Is Turning Into a Marathon — 'Extreme Commuters'

“Extreme commuters” who travel more than 90 minutes each way to and from work are the fastest-growing group of commuters, according to the U.S. Census Bureau, which counts more than 3.4 million commuters in that category, double the number of 1990. And nearly 10 million people now drive more than an hour to work, up 50% from 1990, a trend that is growing because more people than ever are willing to trade time in their car for the big house and big yard they can’t afford at a closer-in location. Today’s average commute takes 25 minutes, up 18% from two decades ago. In California, real estate agents call the phenomenon “driving 'til you qualify.” In places like Southern California, each exit along the interstate can reduce housing prices by tens of thousands of dollars, the reason why Chris Neeley, a 43-year-old resident of Lancaster, drives 80 miles to work in Los Angeles. Last year he moved his family of five into a $400,000 3,000-square-foot home that is twice the size of his former home closer to the city. He now spends three to six hours a day on the road. “I love being out in the middle of nowhere,” he says, “and seeing no people around.” (www.newsweek.com)
Newsweek (5/1/06); Keith Naughton, with Hilary Shenfeld, Raina Kelley, Nadine Joseph and Jennifer Ordonez

Builders Fret Over Immigrant Debate; Construction Would Halt Under Stricter Laws, the Industry Warns

Facing serious labor shortages from the housing boom and Hurricane Katrina rebuilding efforts, the residential construction industry has become increasingly reliant upon the immigrant workforce. More than one-quarter of workers on overall construction jobs are immigrants, according to government statistics, and on a typical day 117,600 mostly immigrant workers around the country either work as day laborers or are looking for such work, according to a recent survey. “The immigrant workforce is still keeping the housing market afloat to some extent,” said Jerry Howard, chief executive of NAHB. Immigrants are taking on dangerous and grueling work often for less pay than native-born Americans would demand and in many instances are performing jobs that native-borns won’t do. Economists and construction workers say that new housing would cost much more and take longer to build without these workers. For example, a recent study found that the absence of Hispanic workers would have cost North Carolina up to $10 billion in lost construction-related revenue in 2004, including up to 27,000 homes that would not have been built. (www.dallasnews.com)
Dallas Morning News (4/23/06); Katherine Yung

Nation’s Flood Insurance Plan Faces Overhaul; Premiums Will See Hefty Increases

Looking at claims from Hurricanes Katrina and Rita, which will cost the National Flood Insurance Program almost as much as all the other floods since the program began decades ago, Congress is debating a series of changes, including jacking up the premium as much as 15% a year until the program is back on solid ground. Among major flaws plaguing the program, property owners pay less in insurance than the claims the programs pays out, some properties are repeatedly flooded and the program covers vacation homes that are often build along the ocean, according to various analysts, who also say that the insurance program’s financial outlook is dire because going on half of the $2.2 billion collected in premiums each year is used to pay claims. NAHB President David Pressly told the Senate Banking Committee that reforms should not represent an overreaction to the unusual circumstances of last year’s exceptionally powerful Gulf Coast storms. He said that his association would accept a “slight” increase in the premium rates but urged “careful study” before Congress expands the rules on which properties must carry flood insurance. (www.fortwayne.com)
Fort Wayne Journal Gazette (4/23/06); Sylvia A. Smith

Builders: Energy Use Becoming Selling Point

A growing number of builders in the Ft. Worth, Texas area are stepping up the energy efficiency of their homes as a selling point, with several builders meeting or exceeding Energy Star standards for tighter construction, temperature-resistant windows and better insulation. The builders are making the homes look virtually identical to their less-efficient models in the same subdivisions. “You don’t have to go weird to go green,” said Jennifer Walsh of the Green Building Initiative, a home-building group supported by materials manufacturers and building associations with about 5,700 members a little more than a year after it was created. “We’re getting more building programs around the country,” said Calli Schmidt, director of environmental communications for NAHB. “We’re pretty close to a tipping point.” Home Depot said it increased the number of green building products on its shelves by 43% last year. Those products include insulation made from recycled materials, compact fluorescent light bulbs, flooring made from renewable materials such as bamboo and solar landscaping lights. (www.star-telegram.com)
Fort Worth Star-Telegram (4/23/06); Andrea Jares

Condo Conversions Still Abound in Las Vegas

Real estate investor Louis Birdman of Florida-based SunVest Communities is bullish on condominium conversions in Las Vegas, even as the housing market generally cools, because escalating land and construction costs in the area have deterred developers from building new apartments. His company has sold 1,500 condos so far this year in Florida, Arizona and Nevada, including 400-500 units in Las Vegas. Condo conversions in the city were triggered by housing price appreciation of as much as 50% in 2004 and a shortage of affordable homes available to the thousands of new residents relocating there every month, according to Randall Friend, co-founder and principal of Anaheim, Calif.-based Eagle Real Estate Group. “I think condo conversions will continue to be a more feasible option for people looking to buy,” said Michelle Johnson, sales director for the Coldwell Banker Condo Store in Las Vegas. “As opposed to the higher priced high-rises, and with the median price for all condos continuing to rise, the value provided by conversions makes them more palatable for a lot of buyers.” (www.reviewjournal.com)
Las Vegas Review-Journal (4/22/06); Hubble Smith

California Housing Director Affordability Advocate

Jacobs’ duties include managing housing finance, rehabilitation and community development programs across the state to preserve and expand safe and affordable housing opportunities and promote strong communities for all Californians.

With nearly 20 years of experience promoting affordable housing development, Jacobs sits on the Board of Directors and Executive Committee of the California Building Industry Association, which represents more than 6,500 builders and other industry partners throughout California. Jacobs sits on and has chaired several boards and organizations, including the California Housing Partnership Corporation, the Loan and Grant Committee for the Department of Housing and Community Development, the Workforce Investment Board of Ventura County, the Ventura County Unified School District Bond Oversight Committee and the City of Ventura Planning Commission.

The biggest task for the new director will be to oversee awarding nearly $800 million remaining in a $2.1 billion housing bond intended for low-income and first-time home-buyer programs. The governor has directed the department to expedite awards of the bond funds, which have been used for more than 83,000 housing units and shelter beds in less than three years. Additionally, the first project eligible for funding from the Governor’s Initiative to End Chronic Homelessness has been submitted and received preliminary approvals.

Jacobs, in recognition of California’s steady population growth, will be working to encourage increased housing production. She is also charged with assisting Sunne Wright McPeak, secretary of the California Business, Transportation and Housing Agency, to advance the governor’s historic infrastructure agenda. Lack of infrastructure is cited by local governments as a major obstacle to approval of housing projects.

New-Home Sales Up in March, But Trend Is Down

Sales of new single-family homes were up 13.8% in March, following an 11% decline the month before, the U.S. Commerce Department reported last week. However, the sales pace for the first quarter of 2006 was 9.7% below the fourth quarter of 2005, and year-to-date sales were down 8.2% from the year before.

“While we were expecting a slight rebound in sales from the pace reported by the government for February, we definitely are seeing demand taper off from the highs of last year as interest rates inch up and affordability becomes a more overriding factor,” said NAHB President David Pressly. “Indeed, builders are offering more sales incentives and are shifting their production mix toward more moderately priced homes.”

“Month-to-month changes in the new-home sales series are notoriously volatile, but the quarterly pattern of sales is reasonably in keeping with other housing indicators, including NAHB’s surveys of single-family builders,” said NAHB Chief Economist David Seiders. “This longer-term pattern is consistent with the orderly cooling down process we’ve been anticipating, as affordability problems and reduced investor demand bring home sales down from the unsustainable levels of 2005.”

According to Commerce Department figures, new-home sales rose to a seasonally adjusted annual rate of 1.213 million units in March. However, the sales pace was 1.159 million units for the first quarter as a whole, down from 1.283 million units for the last quarter of 2005 and down from 1.249 million units for the first quarter of last year.

March new-home sales rose 4.7% in the Northeast, 6.9% in the South, 10.9% in the Midwest and 35.7% in the West. However, the first-quarter average was below the final quarter of 2005 in all regions.

The inventory of new homes for sale rose to 555,000 units at the end of March, a 5.5 months’ supply at the current sales pace. Of that total, for-sale units that were not yet started showed the largest increase and represented 20.2% of the inventory. Units still under construction were almost 57% of the inventory, and completed homes for sale were 23% of the total ― about the same as a year earlier.

Find out in HousingEconomics.com’s Long-Term Forecast. HousingEconomics.com includes downloadable Excel tables featuring the housing starts forecast, GDP, demographics and more.

NAHB Chief Economist David Seiders says a "soft landing for housing is still in the cards" on NAHB's economics blog, “Seiders on Housing” — an informal Internet-based forum dealing with economic issues, housing trends, survey research and other topics affecting the housing sector of the economy.

Log onto the blog at http://nahbblog.blogs.com and get direct access to Seiders' expert opinions, projections and responses. Then let Seiders know what you think by giving your perspective.

Builder’s Tip: Creating an Effective Caulk-Tube Extension

On a recent job, I had a problem with a stainless-steel kitchen countertop and its integral sinks. They had come unstuck from their countertop substrate and needed to be re-glued with silicone caulk — in a hard-to-reach location, of course.

Putting off the task until the next day seemed like a good idea, so I headed out to the backyard to hook up the drip-irrigation system.

I started cutting tubing and slipping it into the fittings, marveling that water pressure didn’t push the tubing right back out.

Then the old light bulb went off: Why not use drip-irrigation fittings to fashion a caulk-delivery system for hard-to-reach locations?

Using this rig, I was able to snake the nozzle extension through a couple of carefully drilled holes in the substrate into the gap beneath the stainless-steel counter. I squeezed caulk as I retracted the nozzle and weighted the top for a day to let the caulk set up. It worked great.

Since then, I’ve used these cheap, disposable extensions to seal leaks in windows and doors by working from inside, and regluing large panels without having to remove them. The fittings come in both 45° and 90° versions.

BuilderBooks.com Offers More Than 250 Books That Help You Build Your Business

BuilderBooks.com is your source for training and education products for the building industry. The official bookstore for NAHB, BuilderBooks.com offers award-winning publications, software, brochures and more available in both English and Spanish.

Explore the latest housing industry news and information on www.nahb.org — the official public and members-only Web site of NAHB.

With an expansive "For Consumers" section, www.nahb.org provides a credible source of information on home building and remodeling for your customers. The Web site also provides a wealth of member discount programs and business resources developed for you.

Plus, to make it easy to get what you need, the Web site has built in time-saving features like My NAHB to customize the site to your interests, My Favorites so you can select specific links to appear on your www.nahb.org Home page and online Staff Directories so you can find NAHB housing industry experts quickly and easily.

Use www.nahb.org to stay on top of the latest housing industry news, access your council and committee materials, register for courses and events and stay abreast of NAHB’s efforts to promote housing.

New Custom Builder Quarterly e-Newsletter Launched

Subscribers to Custom Home Builder Quarterly also will receive regular updates on the NAHB education and networking event specifically for custom builders — the Custom Builder Symposium. This year, the symposium takes place at the spectacular Lake Las Vegas resort in Nevada.

Available now and four times a year, click here to subscribe to this free e-newsletter.

NAHB Has More Than 250 Resources to Help You Run Your Business More Profitably

Go to NAHB's Business Management Tools Web pages (available to members only) for instant access to more than 250 timesaving, moneymaking and cost-cutting business resources to help you run your business more profitably. Get guidance on accounting and financial management, business strategy, computers and information technology, customer service, human resources and more.

Resources are added weekly, so bookmark www.nahb.org/biztools to go directly to these vital business management resources.

Local and state home builders associations can link directly to www.nahb.org/biztools from their Web site and give their members instant access to these resources. It will make your HBA's Web site the place to go for the information and guidance that members need to succeed.

NAHB’s Business of Building e/Source is your monthly electronic guide to the hot issues and emerging trends in home building business management. You’ll find practical advice, tricks of the trade and sound business guidance — all delivered monthly, straight to your desktop, in a quick and easy-to-read format. Business of Building e/Source is available free to NAHB members and their employees.

To subscribe, visit www.nahb.org/BoB on the Members Only side of the NAHB Web site.

NAHB’s Technology Solutions Directory — an easy-to-use directory that enables builders, remodelers, contractors and other industry professionals to find information on software and IT solutions and services for their businesses — is now online. The directory is sponsored by the Business Management & Information Technology Committee.

Software and technology solutions providers interested in being listed can sign up for:

The Technology Solutions Directory is solely for educational and informational purposes. Nothing in the directory should be construed as policy, an endorsement, warranty or guaranty by the National Association of Home Builders of the listed software, IT service or the software/IT vendor. The National Association of Home Builders expressly disclaims any responsibility for any damages arising from the use, application or reliance on any information contained in this directory.

OSHA Responds to NAHB Study of Construction Site Noise

A study showing that residential construction doesn’t generate enough noise to require home builders to comply with burdensome, unworkable and impractical regulations for their employees is another victory for the NAHB Construction, Safety & Health Committee on behalf of the association’s members.

“I must say, we’ve got a pretty good batting average right now,” said committee chair Vern Pottenger of Pottenger Construction in Beaufort, S.C. “I am proud of the work our committee has done on behalf of home builders to help keep regulatory excess at bay. It’s a real important win for housing affordability.”

The NAHB study demonstrates that average noise exposures for certain home building jobs fall below the current federal Occupational Safety and Health Administration (OSHA) permissible exposure limit and are also lower than average noise exposure for commercial construction. Following its review of the NAHB research last month, OSHA has put the issue on the back burner.

Additional information about how builders can apply the results of this study will be available soon. Examples are likely to include simple measures to reduce employee exposure to noise, such as keeping compressors, generators and other equipment a little farther from the house on the job site, said Rob Matuga, NAHB’s director of labor safety and health.

The Construction, Safety & Health Committee meets May 11 during the NAHB spring board meeting in Washington.

For more information, e-mail Rob Matuga at NAHB, or call him at 800-368-5242 x8507.

The “Jobsite Safety Video,” available through BuilderBooks.com, provides an overview of the key safety issues residential builders and workers need to focus on to reduce accidents and injuries. Based on the “NAHB-OSHA Jobsite Safety Handbook,” this DVD is intended to be used as part of an essential residential construction safety-training program and includes two 20-minute videos.

‘Extreme Makeover’ ― What It’s Like on the Job Site

Last January, my wife, Konne, and I were lucky enough to work on the popular home building show, “Extreme Makeover — Home Edition.” The fruits of our labor, and of that of hundreds of other volunteers, aired on Feb. 20.

In last week’s article, we examined some of the magic, truths and myths surrounding the popular home building show — and dispelled some of the myths. (The house went up very quickly — I dare say, extremely quickly — but not quite as quickly as depicted on TV.)

Konne and I were able to work on the inside of the house. Our primary task was to help screw down the sub-flooring throughout the house. And while the work kept us dry and out of the rain, it put us right smack in the middle of a whirlwind of activity.

We screwed down Weyerhaeuser sub-flooring with special screw guns while all around us the sheetrock was being hung, taped and floated at the same time.

The Bawdens screw down some sub-flooring — in relative solitude.

There was no electricity in the house at that point, so every trade working indoors (including the sheetrock installers, carpenters, clean-up crews and more) was hooked into a rat’s nest of extension cords that ran all over the house to power their individual tools.

After only a couple of hours of work, I came upon a ball of tangled extension cords about a foot and a half in diameter near the upstairs landing. The tangle reminded me of some battles that I lost with my fishing reels ― only much, much larger, of course.

While my wife and I went from room to room screwing in 1-1/8-inch decking, about 75 sheetrock workers — many on stilts or scaffolding ― barked orders back and forth all around us and put up drywall in some very difficult places, including archways and on full two-story high ceilings.

That gives you some sense of how hectic it was on the job site throughout construction. Everyone worked quickly. There was noise and activity everywhere. But that’s only half of what went on.

Some construction processes, as you well know, take time. Here’s what they did on “Extreme Makeover” to accelerate the processes while the rest of us worked on the Kubena family’s home.

For one thing, we poured the slab during the wee hours of the first night of construction. In Texas, most homes are built slab-on-grade with no basements. The slab on this project was post-tensioned with sleeved cables that would be stretched later.

The crew used an industrial strength concrete curing accelerator brought in from Canada to save valuable time. The process was closely supervised by inspectors.

One of the engineers told me that the concrete chemical used to set concrete quickly was primarily used in very cold climates. But because the temperature was mild on our job at the time of the pour, the concrete hardened at an alarming rate. The crew, however, was ready and worked quickly.

Still, the men floating and finishing the concrete barely had enough time. The slab literally hardened under their feet as they worked.

A white tent about 35 feet in diameter was set up on the site to house the job’s woodshop. Woodworkers, cabinetmakers and artists who created all the neat furniture and unusual décor that you see being made on the show worked inside.

The show's woodshop out in the open and under canvas.

On TV, the stars of the show seem to be highly involved in the woodworking. On site, though, to me it looked like most of the work was done by the craftsmen in the makeshift woodshop.

Interestingly, all of the furniture and wood-constructed décor items were made using MDF (medium density fiberboard), since it is easy to work with and remains stable. There was some impressive creativity going on under the tent. It was fun to see the finished products later on the TV program several weeks later.

The show’s stars were fairly accessible and available to all the volunteers. They looked for opportunities to be cheerleaders, act silly and make the process fun.

As for the volunteers, well, they were everywhere, too. While we tried to screw down the stair treads, there was so much up and down traffic trudging past that we had to be really careful not to screw people’s feet to the stairs.

With so many people working at once, the progress was amazing ― and so was the dust.

As the drywall taping was completed in each room, kerosene room heaters were brought in to speed the drying of the mud so that the next float could be applied. Quick-Set was used to accelerate the joint compound drying.

Then the rooms were painted and the cabinets and wood flooring were installed ― all seemingly at the same time.

During these steps other trades had to do be weaved into the process, as well. One plumber told me how he was lying on the floor connecting the supply line to a toilet in one of the bathrooms and became a makeshift sawhorse for a trim carpenter hustling to finish his trimwork assignment.

The carpenter had laid a piece of baseboard across the plumber’s legs to cut his base and quarter round to length. The startled plumber looked up to see who was laying his trim across his legs and, satisfied that the guy was sawing a safe distance from his body, calmly went back to his wrenches.

Lights. Camera. Post-tensioned concrete slab action.

My episode of “Extreme Makeover” is filled with many such stories of people cooperating in difficult, close quarters while trying to get their work done. Amazingly, it all worked and the mood was upbeat.

The work took place with amazing speed and, just as amazingly, no one was injured. I watched as the Hardie siding was applied on the second story of the home — with painters spraying the finish coat of the siding right behind the installers.

Through all the hustle and hammering, the inspectors watched and requested corrections to minor infractions as they occurred so that the finished product would be up to snuff ― and up without delays.

One preconceived misconception I had about the show was that the houses must surely be built poorly because they are built so quickly. I found out that this was not the case at all. In fact, the materials that are donated, in every category from lumber to paint, are of the highest quality.

It takes great coordination, managed by a skilled home builder and lots and lots of people to do the work.

Someone estimated that there were nearly 1,000 workers on the job during the week. I don’t doubt it.

Hard work by skilled laborers for 24 hours a day for seven days is how the job gets done.

If you ever get the opportunity to participate in a project like this, jump on it. Bring the special skills you have and put them to their best and highest use. I guarantee you will get back way more than you put into it.

To read part 1 of this series: "The Magic — and Truth — Behind ‘Extreme Makeover," click here.

Dan Bawden, CAPS, CGR, GMB , is president of Legal Eagle Contractors in Houston, and the winner of the "Texas Remodeler of the Year" three times, the Houston Remodeler of the Year twice, Big 50 winner and National Remodeler of the Month, among others. Bawden teaches other builders and remodelers Certified Graduate Remodeler/Graduate Builder Institute classes at the "CGR College" he began in Houston while he was the Remodelors™ Council president. For more information, contact Bawden via e-mail or through his company’s Web site.

May Is ‘Remodeling Month’ and NAHB Has Resources for You

This ad, produced by the NAHB Remodelors™ Council, is one of the many resources available to members to help promote themselves and the industry during National Home Remodeling Month throughout May.

May is “National Home Remodeling Month,” and if you or your local Remodelors™ Council are looking for new marketing ideas or ways to increase remodeling awareness, take advantage of the NAHB Remodelors™ Council’s nationwide campaign blitz to promote it.

The council has developed a National Remodeling Month Kit that includes easily customizable press releases and articles and offers plenty of marketing ideas to help promote remodeling throughout May.

In addition, the kit includes a step-by-step guide to lead you through the campaign.

"Having access to such a wealth of knowledge is an invaluable resource," said Vince Butler, CGR, CAPS, GMB and chair of NAHB's Remodelors™ Council. "Being an active member of the Remodelors™ Council helps remodelers improve their skills, connect to peers and improve their bottom line. And with the advocacy support, you know that as a member of the industry your voice is being heard at the local, state and national level."

For more information, or for ideas to promote and plan events for “Remodeling Month” in May, e-mail Jim Lapides at NAHB, or call him at 800-368-5242 x8451.

NAHB's Remodelors™ Council has two designations — Certified Aging-in-Place Specialist (CAPS) and Certified Graduate Remodelor™ (CGR) — that will give remodelers the expertise and knowledge to set themselves apart from their competition as well as run their businesses more efficiently and effectively.

"How to Find a Professional Remodeler," available at BuilderBooks.com, promotes the professionalism of your remodeling business by offering valuable advice to your customers on the process of selecting a remodeler. The brochure guides consumers from the dream to the reality of having their homes remodeled by skilled and trained professionals. Sections include what to look for in a professional remodeler, what questions to ask and signs of a professional remodeler. To view or puchase this publication online, click here, or call 800-223-2665 to order.

‘Dragon House’ Basement Scorches the Competition

The Balmer Brothers finished basement, winner of the 2006 Basement of the Year competition.

The “Dragon House,” a 5,964-square-foot complex basement with garden walls, curved walls, stone ledges, jumps, a multitude of corners ― and very few right angles — won the Concrete Foundations Association’s (CFA) 2006 Basement of the Year competition.

Alternately known as “The Spaceship,” the basement of the Hattersley residence in Eastown Township, Pa. was built by foundation contractor Balmer Brothers Concrete Work, Inc., of Akron, Pa.

While not the largest foundation the company has completed, Jerry Balmer, president of Balmer Brothers, said it was the most complex basement that they probably ever constructed. Many corners went from straight to curved walls with a multitude of corners, T-walls and Y-sections coming in at various angles. One of the jumps, from nine feet to a three-foot wall, occurs in the middle of a curved wall.

“It seemed like every corner we came to brought on a new challenge, especially the Y areas, where we used various sized ties as the two walls turned into one,” said Balmer. “Most of the time crews were transitioning curved into straight walls and sometimes curved-to-curved.”

Stone ledges surrounding the house and ranging from 1-foot to 3-feet deep by 6-inches wide added to the complexity. Much of the ledge was on curved walls and was required to be constructed of multiple pieces to allow for flexibility.

The Hattersley residence has 995 total linear feet of wall, wall heights ranging from 3 to 9 feet and wall thicknesses of both 12 and 16 inches. Radius measurements range from 4 feet, 2 inches to 91 feet, 8.5 inches ― with many different sizes in between.

The project required 345 yards of concrete in the walls and 27,680 linear feet of No. 4 matt steel at 2 feet on center. Hundreds of vice grips were needed to hold in ledges, spreaders and props. Hinged corners were used to ensure that corners and shapes were correct. Hundreds of fillers were used to create smooth, curved angles and offsets. Forms were double-stacked for height. A roller bender was used to bend rebar to match the radii of the curved walls.

Balmer Brothers is a third-time winner of CFA’s Basement of the Year award. In 2001, the firm won the competition with a 29,000-square-foot basement located in Philadelphia. Last year, the firm won again with a 34,000-square-foot basement in Gladwyne, Pa.

This year’s second-place winner is the Briarcliff West project located in Kansas City, Mo. and submitted by Louisburg Foundation of Bucyrus, Kan.

Third place went to the Cahn residence project in Cherry Hill, N.J. by Marone Contractors, Inc., of Thorofare, N.J.

Contractors voted for the “Basement of the Year” at the 2006 World of Concrete trade show in Las Vegas. The awards will be presented during CFA’s annual summer meeting in Wisconsin Dells, Wis. in July.

For more information about the Concrete Foundation Association, visit www.cfawalls.com.

The 2006 Concrete Technologies Tour will be held June 11-13 in Phoenix. Learn about and profit from one of the fastest-growing segments of the construction industry — concrete building systems and cement-based products.

The registration deadline is May 26. To register and for more information, visit www.nahb.org/concretetour.

There is still time to register for the 2006 Modular & Panel Plant Tour to be held May 21-23 in Appleton, Wis. The tour will include stops of modular and panel plants and related products. Register today at www.nahb.org/PlantTour.

New NAHB Tool Navigates EPA Regs, Saves Time and Money

A new tool to enable home builders to more easily create comprehensive, company-wide environmental policies and programs — and save time and money doing so — will be launched at the NAHB Spring Board of Directors Meeting in Washington, D.C. next week.

The NAHB Environmental Management System (EMS), the first tool of its kind for the home building industry, will help members better comply with Environmental Protection Agency regulations, especially those regarding storm water permits, as well as target issues of importance.

Designed for medium- to large-sized firms, the EMS tool includes a CD and a detailed book of instructions ― including ways to customize the templates so that companies can create their own forms, policies, procedures and more.

The heart of the EMS tool is the “Significant Aspect/Impact Register,” a Microsoft Excel spreadsheet that allows home builders to prioritize potential environmental issues they may have to address — ranked by impact or importance as they relate to the environment, regulatory compliance and costs.

Once the information is entered and the choices selected, the tool compiles and ranks the issues according to the parameters set by the builder. Home builders can use the completed document to quickly determine what kinds of policies, procedures or training programs they may need to meet regulatory requirements and enhance environmental protection.

To use the EMS program, members can copy the CD into their own computers. They can also take advantage of two enclosed slide show presentations for training their office and construction personnel.

Bobby Bowling, of Tropicana Homes in El Paso, Texas, tested the new EMS tool and said it was valuable to his business and easy to use.

Bowling compared the EMS tool and the reports it generates to the program that his company has used successfully to comply with Occupational Safety and Heath Administration (OSHA) regulations. When Tropicana Homes can demonstrate that it has in place regular training seminars and that it monitors its job sites for potential safety violations, OSHA is less likely to come knocking with inspection papers.

Dave Yorgason, of Capital Development in Boise, Idaho, said the new EMS “can be a nice tool. It’s flexible, so you can tailor it to the needs of specific projects.”

However, he added that small builders may find the tool a little overwhelming. “It takes some work to understand it because of all the environmental lingo. You have to understand the terminology.”

Members attending the spring board meeting will be able get a thorough introduction to the new tool at the Environmental Research and Education Subcommittee meeting on Thursday, May 11, where it will be distributed to committee members and other attendees.

Copies will also be made available to state home builders associations and member companies later this spring.

Ultimately, staff and member volunteers hope that the EMS can be used as part of an EPA pilot program, much like the existing OSHA program.

EPA has stated that it is looking for companies to use a standardized management system to adopt policies and programs that integrate environmental responsibilities into their business practices. The new EMS tool fits the bill, said Kimberly Wagoner, an environmental policy analyst specializing in storm water issues for NAHB.

While NAHB advocates are working hard to encourage EPA to see the merits of such a pilot program using the EMS, it is not yet guaranteed.

However, the ability to calculate potential environmental impacts and to immediately determine what to do about them should save NAHB members time and money.

To learn more about ordering the new EMS tool, e-mail Delicia Jenkins at NAHB, or call her at 800-368-5242 x8163.

IRM Achievement Runs in the Family

Kay Green and her son, Aaron Jennings, were both honored for IRM achievements.

Kay Green, MIRM, founder of Kay Green Design, Inc., a model home interior designer based in Orlando, Fla., and her son, Aaron Jennings, were honored for their IRM (Institute of Residential Marketing) achievements during a ceremony at the International Builders’ Show earlier this year.

Green received the Trina Ripley Excellence in Education Award for her years of teaching IRM courses. Jennings received his Certified New Home Marketing Professional (CMP) designation.

“I don’t know which honor I was more excited about,” said Green, who served as the chair of the National Sales and Marketing Council in 1989.

Green credits her teaching of IRM courses with improving her public speaking skills and learning more about the industry. “Teaching is something I learned to do. I wasn’t a good public speaker when I started, but I’ve become one by being involved with IRM. Teaching helped me to do that,” she said. “I love teaching the IRM courses. I meet incredible people, I get to travel and I learn so much myself.”

While Green encouraged her son to get his real estate license, Jennings began taking the IRM courses on his own volition. He soon discovered he had made a wise decision.

“I was 22 when I got my real estate license, and because of my age, no one took me seriously,” he recalled.

That changed once he had IRM classes under his belt. “Now, I’m in a company with four people, and although I’m the youngest, my colleagues come to me for advice on marketing because of the education I’ve had,” Jennings said. “They also look at me as the condo expert.” He added that his IRM coursework relates directly to the MBA classes he is currently taking.

The two aren’t the only family members in the industry. Jennings’ dad, Rick Jennings, CGB, CGR, is a custom home builder with Nautilus Homes in Central Florida. His twin sister Ashley, who originally studied for a career in aerospace and learned to fly airplanes when she was 16, now works at Kay Green Design and will eventually take over the company.

“It’s really flattering when your kids decide they want to do what you do because it means they’ve seen how much you enjoy it and how much you’ve gotten out of it,” Green said.

The Trina Ripley Excellence in Education Award was created in 1989 as a tribute to Ripley, who was instrumental in creating the IRM’s educational programs. The award is one of the most prestigious honors given by IRM.

For additional cutting-edge sales and marketing information, subscribe to NAHB’s Sales + Marketing Ideas Magazine (www.smimagazine.com).

Click here to learn about membership benefits of the National Sales and Marketing Council and the Institute of Residential Marketing.

The Institute of Residential Marketing (IRM) offers four designation programs for sales and marketing professionals:

You also can ask designation holders questions about obtaining a designation, specific courses, case studies and more. "Ask An Expert" is available on the NAHB Web site by clicking here.

“Sales and Marketing Checklists for Profit-Driven Home Builders,” available through BuilderBooks.com, covers the major steps involved in successful new home sales. Learn the ins and outs of the comprehensive contract, the move-in, warranty service, asking for referrals and a great close. This expanded second edition includes a new chapter on utilizing technology in your marketing and a more extensive chapter on mulitcultural sales.

Education Calendar

Whether you’re new to the industry, hope to make your next career move or want to improve your company’s bottom line, The NAHB University of Housing can assist you in your educational pursuits.

Visit www.nahb.org/education for a comprehensive listing of courses throughout the country. Be sure to visit often in order to view the most up-to-date information in your area.

At the NAHB/BALA Design Institute for Builders, you'll learn the latest in residential housing design trends from the industry's top professionals, tour beautiful award-winning homes and communities that display the best in cutting-edge architectural design, and learn how to profitably apply these design ideas to the homes you build.

The NAHB Web site, www.nahb.org, gives you access to nearly 5,000 pages of housing industry information and exclusive members-only resources 24 hours a day, seven days a week. Access is fast, easy and free to NAHB members.

To take full advantage of the exclusive NAHB members-only resources on www.nahb.org, however, you must log in.

By logging onto the NAHB Web site, you will have access to twice as much information as non-members — information that will help you stay ahead of your competition.

You will be able to view and read entire sections of content developed just for members, and you will be able to personalize the site to your specific interests.

To learn more, log in and visit the "How to Use" www.nahb.org section in My NAHB.

For questions or help logging in, call 800-368-5242 x0; or e-mail your name, company name, state and phone number to login@nahb.org.

Want to Know More About Designations? Ask an Expert

"Ask an Expert" allows members to e-mail designation program graduates with questions that will help then earn their CSP, Master CSP, CMP or MIRM designations.

The graduates will field questions and concerns ranging from course content, to the designation process, to how the designation has benefited them.

So, if you're thinking about enrolling in the CSP, Master CSP, CMP or MIRM designation programs or have already started the necessary course work and have questions or concerns, visit “Ask an Expert” on the NAHB Web site.

A variety of designation holders will provide you with guidance and help you navigate the ins and outs of the program.

Whether you’re new to the industry, hope to make your next career move or want to improve your company’s bottom line, The NAHB University of Housing can assist you in your educational pursuits.

Visit www.nahb.org/education for a comprehensive listing of courses throughout the country. Be sure to visit often in order to view the most up-to-date information in your area.

To take full advantage of the exclusive NAHB members-only resources on www.nahb.org, however, you must log in.

By logging onto the NAHB Web site, you will have access to twice as much information as non-members — information that will help you stay ahead of your competition.

You will be able to view and read entire sections of content developed just for members, and you will be able to personalize the site to your specific interests.

To learn more, log in and visit the "How to Use" www.nahb.org section in My NAHB.

For questions or help logging in, call 800-368-5242 x0; or e-mail your name, company name, state and phone number to login@nahb.org.

Efficient Ductwork Cuts Heating and Cooling Costs

Winners of the NAHB Research Center's EnergyValue Housing Award (EVHA) have found innovative ways to ensure the efficiency of ductwork, which is responsible for as much as one-fifth to even one-third of a home’s heating and cooling energy use.

The winning builders are saving home owners money and improving comfort by bringing ducts into conditioned space, sealing ducts against air leakage and creating efficient designs.

Production builder Aspen Homes of Colorado simplifies bringing ductwork into conditioned space by using a conditioned crawlspace — or a “very short basement,” according to Rob Sabin, the company’s director of research and development.

The builder’s two-story designs, however, require foresight for efficient mechanical system planning. “We make sure the duct layout is planned at the same time as the framing and joists,” he said. “Because we do our own design, and because we build entry level homes [with simple rooflines and building shapes], it’s a little easier.”

A centrally-located furnace keeps duct runs short and, where possible, supply ducts have minimal curves and branching.

Sunterra Homes of Bend, Ore., often uses an unvented attic design, which brings ducts into conditioned space by moving the building insulation to the roofline. To manage the high cost of the polyurethane foam attic insulation, the builder combines 3 inches of foam with batt insulation.

The unconventional design, however, didn’t initially meet code approval, and the builder worked with the state energy office to finally obtain approval.

“It’s always a fight,” said Jim Chauncey, the company’s president. “You are at the whim of the building official.” And, he added, although his company always tries to place all of the ductwork in conditioned space, “It can’t always be accomplished. Sometimes you have to penetrate the building envelope because of design logistics.”

Chauncey estimated that the entire insulation system, including spray foam in the wall cavities, adds about $3,000 to a 2,000-square-foot single-family house, “a small price to pay for what it gives you,” he said.

Ferrier Builders of Ft. Worth, Texas uses Structural Insulated Panel (SIP) roofs on most of its homes to create an unvented roof. The vaulted ceilings created by the SIPs present a unique challenge for running ducts without compromising aesthetics. One solution the company has found is to keep the blower in a central area, such as a bathroom or closet with a flat ceiling, and then to use sidewall vents to supply air to the adjoining spaces.

For more information about duct design, check out the PATH Technology Inventory or obtain a copy of “A Builder’s Guide to Placement of Ducts in Conditioned Space” from the NAHB Research Center.

NAHB Trade Mission Explores Mexican Market

Craig Lovell, Gerardo Victorica and Sean Parrish, at the penthouse at Paradise Village, participated in an NAHB trade mission to explore opportunities in Mexico's resort and high-end housing boom.

North American vacationers, retirees and second home buyers are flocking to Mexico to take advantage of its beauty, lifestyle, accessibility and affordability. This wave of popularity is fuelling a demand for housing and represents a new and growing marketplace for enterprising firms willing to expand into Mexico.

To enable builders to explore this growing market, NAHB conducted a trade mission to the Vallarta/Nayarit area of Mexico’s Pacific coast last month so participants could gain first-hand knowledge of the resort and high-end housing boom in the area.

The trade mission included visits to developments and to future development sites along the Banderas Bay and Pacific coast north of Puerto Vallarta. These included Paradise Village, Nuevo Sensara, Las Palmas, Paradise Coves, Litibu, Costa Azul and Real del Mar.

In addition, the secretary of tourism for the State of Nayarit as well as representatives of FONATUR (Mexico’s National Trust for Tourism Development), FIBBA (Fund for Investment in the Bahia Banderas Area), the Cuesta Campos law firm and U.S. Commercial Service provided information about land planning, infrastructure development, property sales, investment and finance, property rights and land ownership in Mexico and along the coastal areas.

NAHB’s trade missions were created to connect members with key players in the housing sector in host countries, tap into a wealth of knowledge and market research information and set the stage for members to explore and pursue future business ventures.

HBI Making Residential Construction Careers Happen

Responding to the ongoing challenge of meeting the labor needs of the fast-growing residential construction industry, the Home Builders Institute (HBI), the workforce development arm of NAHB, earlier this year launched its “Make It Happen” campaign to promote careers in home building.

“Make It Happen” uses multimedia materials and a Web site to tell students, parents, educators, administrators and counselors about the wealth of career opportunities in the housing industry.

The campaign is the centerpiece of HBI’s Career Services effort, a broad approach that is expanding and diversifying the recruitment of prospective employees through collaborative partnerships.

“’Make It Happen’ will help share our industry’s message of opportunity with thousands of young people,” said Michael Sivage, HBI chairman. “This campaign was specifically created to promote careers in our industry to let young people know that no matter what their talents or skills, home building has a place for them.”

An article on “Make It Happen” appeared in the February issue of Techniques, the magazine of the Association for Career and Technical Education (ACTE). With a membership of more than 26,000 career and technical educators and professionals at the secondary, post-secondary and adult levels, ACTE is the largest national association dedicated to advancing career education.

“Make It Happen” has also drawn the attention of the 18,000-strong American School Counselor Association, a division of the American Counseling Association, and was featured in a story on hot career prospects in housing appearing in the March/April issue of the organization’s magazine.

For more information on HBI’s Career Services or the “Make It Happen” campaign, e-mail Deanna Lewis, or call her at 800-795-7955 x8927.

Pink Panther Blog Provides Information on Energy

Keeping a paw on the pulse of energy conservation, the Pink Panther has been named chief energy officer and has received his very own energy blog from Owens Corning so that he can keep consumers informed of hot button issues and energy-saving tips and products.

Inaugurated last month on Earth Day, the interactive blog is available at saveenergy.owenscorningblog.com and can be accessed on Owens Corning’s energy microsite, which also provides instructions on easy insulation projects, an insulation project calculator and the Department of Energy’s R-value calculator.

“For 25 years, the Pink Panther has helped Owens Corning educate consumers about saving energy and the need to insulate their homes,” said Dave Brown, chief executive officer of Owens Corning. “We couldn’t be more excited to broaden his role in a contemporary way. The beauty of the Panther is that the character helps deliver information in a way that consumers respond to — which benefits our collective need to reduce energy usage throughout the world.”

Currently, only 20% of homes built in the U.S. before 1980 are insulated to national energy-efficiency standards, often due to a lack of knowledge about energy-saving projects, according to Owens Corning.

In addition to calendar postings on various energy-related events, the blog provides answers to frequently asked questions about attics, crawlspaces, noise control, walls and more general issues.

This feature is solely for educational and informational purposes. Nothing on this page should be construed as policy, an endorsement, warranty or guaranty by the National Association of Home Builders of the featured product or the product manufacturer. The National Association of Home Builders expressly disclaims any responsibility for any damages arising from the use, application or reliance on any information contained on this page.

NAHB-Produced Programs on HGTV & DIY This Week

The NAHB Production Group produces four weekly television shows on HGTV and DIY for consumers. The following is this week's lineup:

The NAHB Production Group is a full-service, self-contained, media production unit creating programming for cable television, broadcast television, non-profit, museum and corporate clients. Productions range from magazine format shows for general audiences to museum-installation videos for specialized use.

The production group includes award winning journalists, writers and photographers with experience in broadcast, documentary and corporate television.

Explore the latest housing industry news and information on www.nahb.org — the official public and members-only Web site of NAHB.

Enter Awards Programs for Community Contributions

The National Housing Endowment, the philanthropic arm of NAHB, is seeking entries for two awards recognizing the altruistic differences building professionals make in their communities.

Every year, in towns and cities across the country, housing professionals perform countless philanthropic projects, both as individuals and as part of their local or state associations.

The endowment’s Home Builders Care Project of the Year Award, now in its sixth year, recognizes outstanding community service projects developed and implemented by local or state home builders associations (HBAs) or councils affiliated with NAHB.

Winners will receive a $5,000 donation directed to the charity of their choice and will be recognized at the International Builders’ Show (IBS) in Orlando, Fla. next year.

Winners will receive a donation to be directed to their charity of choice: $10,000 for Gold winners; $5,000 for Silver; $2,500 for Bronze; and $1,000 each to the honorable mentions. To read about the 2005 winners, click here.

Complete award descriptions and entry forms for both competitions are available on the NAHB Web site:

For more information, e-mail Niki Clark at NAHB, or call her at 800-368-5242 x8061.

Fargo, N.D. Builders Provide Hurricane Relief to Gulf Coast

The Home Builders Association of Fargo-Moorhead and its builders in North Dakota have provided more than $28,000 in hurricane relief to builders and communities in the Gulf Coast region earlier this month.

Late last year, the association donated $25,000 to its Home Builders Care of Fargo-Moorhead Foundation (HBC) for hurricane relief. In addition, its individual members donated another $3,500 to the fund.

The funds were sent to the Gulf Coast region this month to be distributed in the following ways:

For more information, contact Bryce Johnson at the Fargo-Moorhead builders association at 701-232-5846.

NAHB Spring Board Meeting May 9-13

The following schedule of events is a partial listing provided as a notice for the upcoming NAHB Board of Directors Meeting and Legislative Conference at the spring board meeting in Washington, D.C. on May 9-13, 2006.

Meetings will be held at the National Housing Center and the Hilton Washington Hotel. The spring board program will identify the exact time and place of each scheduled meeting.

GM $500 Exclusive Offer for NAHB Members

During 2006, qualifying NAHB members are eligible for a $500 offer on most GM vehicles.

Throughout 2006, qualifying NAHB members are eligible for a $500 exclusive offer on most GM passenger cars, light-duty trucks, vans and SUVs.

GM NAHB Affinity Cards and details on this offer were mailed directly to NAHB members from GM, and members should use the affinity card when purchasing a qualifying vehicle.

Members who have misplaced or otherwise do not have a GM NAHB Affinity Card may print out their own replacement cards in order to show member verification to a GM dealer. Note: Members must be logged in to www.nahb.org in order to print their replacement card.

Members with a www.nahb.org login should go to www.nahb.org/MA and click on the “GM Exclusive Offer.” This will take members to a Web page with program details and instructions for printing a replacement card.

There are also instructions for members who do not have a login (they will be sent to www.nahb.com/loginGM and returned to the page to get a replacement card).

For more information, e-mail Tiffany Smith at NAHB, or call her at 800-368-5242 x8273.

For the most up-to-date details on the Member Advantage discount program and all of the participating companies, go to www.nahb.org/MA.

Explore the latest housing industry news and information on www.nahb.org — the official public and members-only Web site of NAHB.

Find Employees Through New NAHB Online Career Center

NAHB is hosting an online building industry-oriented career center that provides members with a cost-effective recruiting solution that makes locating qualified candidates and advertising open positions faster and easier.

NAHB members using the NAHB Career Center will receive a 20% discount off of standard rates for job postings. For a complete listing of all rates, click here.

The career center was created in collaboration with ConstructionJobs.com, a leading employment resource for the construction, design and building industries.{{MORE}}

Nation’s Building News readers can visit the site by using the NAHB Career Center tab at the bottom of the issue’s headlines, or by going to the NAHB Web site or www.nahb.org/careers.

Nation's Building News Online: May 1, 2006

Buckle Up for a Soft Landing, Housing Economists Advise

Floor Plans: Creating a Sense of Community

Tentative Timber Accord a Blow to U.S. Consumers

Doors Close for Real Estate Speculators

The Long and Grinding Road; The Rat Race Is Turning Into a Marathon — 'Extreme Commuters'

Builders Fret Over Immigrant Debate; Construction Would Halt Under Stricter Laws, the Industry Warns

Nation’s Flood Insurance Plan Faces Overhaul; Premiums Will See Hefty Increases

Builders: Energy Use Becoming Selling Point

Condo Conversions Still Abound in Las Vegas

California Housing Director Affordability Advocate

New-Home Sales Up in March, But Trend Is Down

Builder’s Tip: Creating an Effective Caulk-Tube Extension

New Custom Builder Quarterly e-Newsletter Launched

OSHA Responds to NAHB Study of Construction Site Noise

‘Extreme Makeover’ ― What It’s Like on the Job Site

May Is ‘Remodeling Month’ and NAHB Has Resources for You

‘Dragon House’ Basement Scorches the Competition

New NAHB Tool Navigates EPA Regs, Saves Time and Money

IRM Achievement Runs in the Family

Education Calendar

Want to Know More About Designations? Ask an Expert

Efficient Ductwork Cuts Heating and Cooling Costs

NAHB Trade Mission Explores Mexican Market

HBI Making Residential Construction Careers Happen

Pink Panther Blog Provides Information on Energy

NAHB-Produced Programs on HGTV & DIY This Week

Enter Awards Programs for Community Contributions

Fargo, N.D. Builders Provide Hurricane Relief to Gulf Coast

NAHB Spring Board Meeting May 9-13

GM $500 Exclusive Offer for NAHB Members

Find Employees Through New NAHB Online Career Center

Calendar of Events