Nation's Building News Online: May 29, 2006Print All Articles Text Version |
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Copper Prices Put Plastic Water Piping on the RisePlastic water piping, plumbing manifolds and stainless steel tubing for gas distribution are among innovative products on the PATH (Partnership for Advancing Technology in Housing) Technology Inventory that builders can consider to help deal with ongoing increases in copper product prices, according to Shawn Martin, director of applied technology for the NAHB Research Center. In a recent interview, NAHB economist Michael Carliner told Dow Jones Newswires that the use of plastic plumbing is on the rise following substantial increases in the cost of copper. While most waste pipes carrying water away from sink drains and toilets are now made of plastic, Carliner said that copper maintains a small lead in water distribution, but that could soon change, especially since the transition to plastic is an easy one for home builders to make. Sharp increases in the cost of copper have boosted home prices by roughly $500 in just the last six months, Carliner said. There is no good substitute currently available for copper electrical wiring, he added, which accounts for almost half of the copper that goes into a typical home. About 40% of the copper in a home is used for pipes and plumbing fixtures. With prices of many building products continuing to rise and little relief on the immediate horizon, Martin said that the Research Center has created a new Web site for ToolBase.org to provide builders with the latest information on how to keep costs under control without sacrificing quality or performance. In addition to copper, the site provides alternatives for lumber, insulation and cement, with links to further areas of interest. Accompanying each item on the list from PATH is information on installation, initial and operating costs, a cost-benefit analysis, field evaluations and code acceptance. Alternatives for copper suggested by PATH include:
Floor Plans: 'Katrina House' Auction Benefits Four FamiliesColorado builder Saddletree/Symphony Homes, with the help of 75 of its closest contractors and associates, built and recently auctioned off a two-story, four-bedroom home (the fourth bedroom is in the basement) in the Colorado Springs area to benefit victims of Hurricane Katrina. The home features a master suite and retreat, bedroom-level laundry room, several covered outdoor spaces, an island kitchen with a pantry and a three-car garage. Proceeds to Help House Four Families The company raised approximately $225,000, which will be donated to Habitat for Humanity to build at least three homes in the Gulf Coast area and one home for a family that has settled in Colorado Springs. The project was the brainchild of Lee Bolin, president of Saddletree/Symphony Homes, who wanted to build a “Katrina House” after watching the storm wreak havoc on the Gulf Coast. Bolin enlisted the support of his contractors and suppliers, who donated goods and services — everything from labor to building supplies to mortgage services and more. “I wanted to do this for several reasons,” Bolin said. “To build a home and raise money, to encourage other NAHB members to take a simple idea and if your heart is tugging to do it, to stay home and help. “And finally, I wanted to encourage folks to donate furnishings. We have to remember that the hurricane victims have lost everything,” he said.
A Total Group Effort The home was completed in the spring, and in early April, Saddletree/Symphony held a supplier appreciation party for everyone who assisted with the project. In addition, the company ran a full page advertisement in the local newspaper listing and thanking all the contractors and suppliers who helped. “After the party, we received calls from suppliers thanking us for including them in the project and for acknowledging them with the party and the ad,” said Bolin. “It drove home the importance of giving thanks and recognition for a job well done.”
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Southeast U.S. Told to Prepare for More HurricanesThe question is not whether the hurricane season beginning on June 1 and lasting through Nov. 30 will be above normal, but how much above normal it will be, according to the National Oceanic and Atmospheric Administration (NOAA), which is urging residents in hurricane-prone areas to make preparations. “For the 2006 north Atlantic hurricane season, NOAA is predicting 13 to 16 named storms, with eight to 10 becoming hurricanes, of which four to six could become ‘major’ hurricanes of Category 3 strength or higher,” said Navy Vice Admiral Conrad C. Lautenbacher, undersecretary of commerce for oceans and atmosphere, on May 22 in conjunction with National Hurricane Preparedness Week. Lautenbacher said that NOAA is not forecasting a repeat of the destructiveness of last year’s hurricane season, which sent a record four major hurricanes slamming into the southern coast of the U.S., but there is a high potential for hurricanes striking the U.S. and there is an 80% chance the season will be above normal. In its May forecast for the 2005 hurricane season, NOAA forecasted seven to nine hurricanes, with three to five of them expected to be major. On average, the season produces 11 named storms, with six becoming hurricanes, including two that are major. The vast majority of these storms typically materialize between August and October. “Warmer ocean water combined with lower wind shear, weaker easterly trade winds and a more favorable wind pattern in the mid-levels of the atmosphere are the factors that collectively will favor the development of storms in greater numbers and to greater intensity,” NOAA advised. “Warm water is the energy source for storms, while favorable wind patterns limit the wind shear that can tear apart a storm’s building cloud structure.” A similar forecast was issued in April by the Colorado State University Tropical Meteorology Project. Based on 52 years of statistics, the annual forecast, the 23rd in the project, noted that it is statistically unlikely that the coming 2006 and 2007 hurricane seasons will have as many major hurricanes making landfall in the U.S. as in 2004-2005. However, the Colorado State researchers noted that until the last couple of years the Southeast U.S. for almost four decades was actually experiencing significantly milder hurricane seasons than previously. “Most Southeast coastal residents probably do not know how fortunate they had been in the 38-year period (1966-2003) leading up to 2004-2005 when there were only 17 major hurricanes (0.45/year) that crossed the U.S. coastline,” the report from Colorado said. “In the prior 40-year period of 1926-1965, there were 36 major hurricanes (0.90/year or twice as many) that made U.S. landfall. It is understandable that coastal residents were not prepared for the great upsurge in landfalling major hurricanes in 2004-2005.” Insurance Reform in Florida Among efforts to make residents better prepared for hurricanes, Florida Governor Jeb Bush on May 16 signed a property insurance reform bill that provides $250 million to make older homes more storm-resistant, the first program of its kind in the nation. The new state program will provide free inspections to determine the vulnerability of homes to wind damage. Home owners of primary residences valued at less than $500,000 that can benefit most from a retrofit will be eligible for a grant equal to half the cost of the project, up to $5,000. The legislation also provides $250 million to insurance companies to help improve the insurance marketplace in the state, and it is hoped that the money will generate as much as $1 billion in private insurance during the next two hurricane seasons. Starting next July, the law also allows private insurance companies to adjust rates by 5% statewide and 10% in regions. During 2004 and 2005, private insurance companies collected an estimated $18 billion in premiums from 11.9 million residential policyholders in Florida, including more than 1 million mobile home owners. During the same period, private insurance companies paid out $38.5 billion in claims for damages. For information on disaster relief resources available from NAHB, e-mail Ken Ford, or call him at 800-368-5242 x8228. Market Action Slips Away From CoastsBased on a statistical analysis of housing price cycles in 100 major metropolitan areas, Christopher Cagan, director of research and analytics for First American Real Estate Solutions in Santa Ana, Calif., concludes that significant real estate investment opportunities during the balance of the decade will be found in local markets where home prices typically plod along from year to year and where job growth is favorable and housing prices are moderate. Conditions for above-average price increases and home building will be particularly favorable in Texas, Colorado and the energy belt areas of the Southwest, he believes. Cagan says that Texas is the real beneficiary of the energy crunch. In addition, major heartland markets are nowhere near their home price growth limits and that, along with an attractive qualify of life, could spur population movements to them. For cyclical housing markets — including most of California from the San Francisco Bay area south, much of Florida, the Washington area, Baltimore, New York and much of New England — boom times have burned themselves out by pushing housing prices to unaffordable levels. (www.washingtonpost.com)
High-Cost Materials Result in StockpilingWith the prices of construction materials such as copper, PVC piping, cement, brick and tar continuing to rise, Gail Hoffman, executive director of the South Texas chapter of the Associated General Contractors, reports that many contractors are buying materials and holding onto them until the jobs start, although that is a strategy that smaller contracting companies can’t afford to pursue. “Some of them are not honoring material bids for more than three days because prices can change that rapidly,” she said. “What hurts is that we might bid a certain price for copper to do a job that won’t start for six weeks,” said Chad Longoria, an independent contractor who installs copper wire in new homes under construction. “At the end of the six weeks, copper has gone up again that we can’t honor our bid. Then we have to face the builder who has to get another loan from the bank. It’s getting bad out there.” NAHB economist Michael Carliner said he expects prices to decrease but remain well above levels seen just one year ago. “It’s a bubble that will pop in the near future,” he said. “With the global economy changing as it is, it’s likely we’ll see a leveling off of the demand. It will be enough to catch our breath. Beyond that, it’s anyone’s guess.” (www.caller.com)
Speculators Abandon Local Housing MarketThe psychology of Tucson, Ariz.’s housing market has cooled substantially from a year ago and real estate speculators and investors have headed east into New Mexico and Texas and others have shifted their investments to commodities such as cooper, gold and oil. KB Home recently laid off 17 workers, or 8% of its work force, in its Tucson division. “The positions eliminated were added during the rapid growth in the housing market during the last year,” said John Brown, a KB Home spokesman. “We needed to adjust our staffing levels to a more normal market.” The company is projecting that it will sell 1,140 homes in the area during the current fiscal year, which ends in November, down from an earlier forecast of 1,300 homes. Even so, that’s only 60 fewer than the record number of homes sold in Tucson in fiscal 2005 and KB has a backlog of 900 houses that it has sold but that still need to be built. Meanwhile, to the north, median home prices in the capital city of Phoenix have fallen from a high of $350,000 to $300,000, according to Marshall Vest, an economist at the University of Arizona. (www.tucsoncitizen.com)
Rental Housing Heats UpFrom a national perspective, and acknowledging that supply and demand will vary across individual markets, demand for apartments is increasing because high prices and rising mortgage interest rates have made it a difficult proposition for households to become home owners, according to Rachel Drew, a research analyst with the Joint Center for Housing Studies at Harvard University. Rising rates on adjustable rate loans and tighter qualifying criteria are making it all the more difficult to buy. And because rental production has been low and replacement of existing units is not good, the supply is not expanding, placing upward pressure on rents. The nation is losing about 200,000 rental units annually through demolition, a Harvard report says, and gross rents have moved up steadily from $611 in 1996 to $711 in 2004. Rent increases of 6%-7% are forecast in Los Angeles this year, where the average monthly rent at the end of last year was $1,416. Vacancy rates in that market have also tightened because of the large number of condo conversions. (www.inman.com)
Everybody Wants a Whirlpool Tub, But Nobody Uses ItWhile 62% of home owners polled by NAHB say they want whirlpool tubs, less than 6% say they actually use them. A linen closet is the most preferred amenity in the bathroom, identified by 91% of those responding to the survey, followed by an exhaust fan (88%) and a separate shower enclosure (78%). NAHB researchers were surprised to see that 76% of respondents listed water temperature controls among their top-five favorite bathroom features. Sixty-three percent of those polled indicated that high-quality products and amenities were more important than space, and 57% prefer these products to be included in the base price of the home rather than as extra-cost options. Over the next five years, NAHB researchers predict growing popularity for low-maintenance, natural materials; synthetic stucco; energy efficiency; and external security. Inside the home, open space, quality features, technology and special-purpose rooms are on the upswing. (www.ntxe-news.com)
Troubled Teens Get Some Help From Colorado’s Home BuildersHomeAid Colorado, a philanthropic arm of the Colorado Association of Home Builders, will break ground this summer on a 14,000-square-foot residential treatment facility for 32 homeless and troubled teens in a project east of Denver. Four ranch-style homes will be erected on a nearly two-acre campus, which is being built for Third Way Center, which operates residential treatment centers, the Joan Farley Academy alternative high school and a supervised follow-up program called Nine Steps. John Laing Homes will be leading a team of subcontractors and suppliers. The homes will feature natural indoor lighting, central air conditioning, a central sound system, an open kitchen and dining area, classrooms and staff and therapy offices. The homes will surround a central courtyard area for outdoor and recreational activities. Participants in this and other HomeAid Colorado projects include builders such as Beazer Homes, Engle Homes, McStain Enterprises, Village Homes and Standard Pacific. (www.bizjournals.com/denver)
OFHEO Identifies Corrective Steps for Fannie MaeIn a settlement with the Office of Federal Housing Enterprise Oversight (OFHEO) and the Securities and Exchange Commission (SEC), Fannie Mae has agreed to continue to maintain a previously imposed capital surplus of 30% and limit the size of its portfolio to the $727.2 billion it held at the end of last year. Fannie Mae was also fined $400 million. Fannie Mae signed the consent order in response to findings by OFHEO — outlined in a 340-page report released on May 23 — that a series of major improprieties in accounting and corporate governance practices at the government sponsored enterprise between 1998 and 2004 led to an overstatement of its earnings by $10.6 billion. The consent order details steps that Fannie Mae must initiate or continue with respect to corporate governance, its board of directors, internal controls, accounting procedures and systems, personnel, compensation, corporate reporting and regulatory cooperation. Many of the corrective measures recommended in the OFHEO report have already been met by the new management team that was brought on board after the accounting problems surfaced in 2004 and Fannie Mae announced it would restate its earnings. The report criticizes Fannie Mae’s board of directors for failing in its duty to oversee the actions of management and raises questions of possible wrong doing by current Fannie Mae executives, but most of the blame for the accounting misdeeds was placed on the previous regime. Under the consent agreement, Fannie Mae’s board must commission a review of all individuals mentioned in the OFHEO report as possible participants in misconduct in order to determine whether it is appropriate for them to remain in their positions with the company. The board is required to report the results of this personnel review within 150 days. The 30% surplus and portfolio limitations, similar to those imposed upon Freddie Mac, will remain in place until OFHEO is satisfied that accounting, risk-management and corporate governance problems have been corrected and that adequate risk-management and other measures have been instituted. The consent order sets forth specific conditions for lifting the portfolio limit which, in addition to the above, include capital and market conditions. The action on portfolios allows Fannie Mae to seek increases in holdings for liquidity, housing goals, portfolio flexibility and competitive considerations. The View From Capitol Hill It is unclear what impact, if any, the OFHEO report will have on pending GSE reform legislation. While pundits on Capitol Hill anticipated that the report would give some impetus to the overly restrictive Senate bill, OFHEO’s findings so far have had little bearing on the underlying political dynamics driving the GSE reform debate. The House of Representatives passed favorable GSE reform legislation by an overwhelming bipartisan vote of 331 to 90, while the Senate Banking Committee could only pass a reform bill out of committee on a party-line vote. While the OFHEO report hardly sheds a favorable light on the accounting activities of the GSEs, future movement of the reform effort in Congress still hinges on the ability of the Senate to compromise on key legislative provisions. “H.R. 1461 provides the appropriate regulatory structure that allows the GSEs to fulfill their housing mission and to deliver the necessary credit to the housing market while, at the same time, guaranteeing that the GSEs operate on a safe and sound basis,” said NAHB Executive Vice President & CEO Jerry Howard. Congressional GSE reform activity is so far limited to a June 6 hearing of the House Financial Services Committee on the OFHEO examination. A similar hearing could also be scheduled that week by the Senate Finance Committee. To read legislation, click here and enter the bill number in the box at the center of the page. For more information, e-mail Michael Strauss at NAHB, or call him at 800-368-5242 x8252. Senate Puts Immigration Reform on the Right TrackThe broad-based immigration bill passed by the Senate last Thursday would enhance the nation’s border security while helping builders continue to meet the demand for housing, said NAHB President David Pressly. “S. 2611, the Comprehensive Immigration Reform Act, contains several reforms of critical importance to the housing industry,” said Pressly. “The bill would protect and secure our borders, establish a guest worker program that would keep the economy moving forward, help employees verify the legal status of their employees and create a legal path for foreign workers to apply for citizenship.” Prior to the vote, NAHB sent a letter to every member of the Senate urging them to support the measure. Because of the importance of this issue to the housing industry, NAHB designated the vote on S. 2611 as a key vote. The final Senate tally was 62-to-36 in favor of the bill. Sponsored by Sens. Chuck Hagel (R-Neb.) and Mel Martinez (R-Fla.), the legislation would create a tiered system for the nation’s illegal immigrants, dividing them into three categories:
“At a time when worker shortages are already a significant concern, S. 2611 would support housing and the economy by protecting the labor supply,” said Pressly. The Senate legislation must now be reconciled with a narrow House bill (H.R. 4437) passed in December that seeks to solve the immigration problem through border security and punitive enforcement penalties for employers without opening any new avenues to legal employment. As the two bills head to a House-Senate conference, NAHB will strongly urge conferees to adopt the comprehensive reforms incorporated in Senate bill S. 2611. “This reform package is critical to our nation’s safety and economic health,” said Pressly. “S. 2611 would achieve a number of important national goals. It would protect our country’s proud heritage as a nation of immigrants, enhance our security and support our economy by helping to keep America working.” To read legislation, click here and enter the bill number in the box at the middle of the page. For more information, e-mail Michael Strauss at NAHB, or call him at 800-368-5242 x8252. House Reforms Would Revitalize the FHAThe House Financial Services Committee on May 24 approved sweeping measures that would revitalize and reform the Federal Housing Administration's single-family mortgage insurance programs. H.R. 5121, the Expanding American Homeownership Act of 2006, includes several provisions supported by NAHB. The bill, which will be sent before the full House for further consideration, would:
In addition to the broader FHA reform effort, the House Financial Services Committee also approved H.R. 3043, the “Zero Downpayment Pilot Program Act.” This measure would eliminate the downpayment requirements for families and individuals who buy houses with FHA-insured mortgages. NAHB supported similar legislation during the 108th Congress. However, that effort was stalled over broad funding concerns. The bill passed by the panel on May 24 would establish a pilot program for zero downpayment loans, limiting the number of mortgages to 50,000. In another area of interest to NAHB, the House Financial Services Committee also passed legislation that would reauthorize the HOPE VI program through 2011. HOPE VI helps local communities to revitalize distressed public housing. NAHB supports continuation of the program, but the Administration has proposed eliminating it every year since fiscal year 2004. To read this legislation, click here and enter H.R. 3043 in the box at the center of the page. For more information, e-mail Michael Strauss at NAHB, or call him at 800-368-5242 x8252. Minnesota Latest to Enact Opportunity to Repair LawMinnesota became the 30th state to adopt the notice and opportunity to repair (NOR) approach to resolving consumer defect complaints when Governor Tim Pawlenty signed legislation on May 16. The new Minnesota law requires a home owner to notify a builder of an alleged construction defect. The builder then has 30 days to inspect the property and offer to make repairs. “The enactment of NOR is a victory for home owners and home builders alike,” said Builders Association of Minnesota President Jeffrey M Schoenwetter, owner of JMS Custom Homes. “Members of the builders association worked long hours with home owners and the legal community to make this work. We applaud the legislature and Governor Pawlenty for providing a process that allows a home owner and builder to resolve a construction dispute without having to go to court.” Minnesota follows Wisconsin and Oklahoma in enacting NOR during the current legislative session. In addition, Virginia recently adopted legislation strengthening its opportunity to repair statute by including condominiums and condo conversions within the NOR process. "It's worth noting that 30 states have now enacted notice and opportunity to repair laws," said NAHB President David Pressly. "This is certainly not a coincidence. Across the country, state legislators and governors have recognized that contentious litigation is not the best way to resolve construction defect disputes." "Notice and opportunity to repair laws provide a common-sense approach to dealing with construction defect problems," Pressly added. "It's an approach that has received widespread and bipartisan support across the country. This support goes beyond government officials to the members of our industry and the public in general. I applaud the efforts of our builders throughout Minnesota who worked so diligently to see this legislation enacted.” For more information about Minnesota's NOR law, e-mail Lisa Frenette, manager of government affairs with the Builders Association of Minnesota, or call her at 651-646-7959. For more information about NOR laws across the country, e-mail Gerry Keegan with NAHB, or call him at 800-368-5242 x8326. Fed Policy a Growing Concern for Housing
Following up on an April 25 meeting at which the NAHB Senior Officers and members of the association’s senior staff advised Federal Reserve Chairman Ben Bernanke of conditions in the housing market, including downside risks to a baseline forecast for a moderate and orderly decline in starts and sales this year, Seiders provided the chairman last week with additional information from the association’s regular surveys of its builder members. “Mr. Chairman, we trust that you will keep the downside risks to the interest-sensitive housing sector in focus as you guide monetary policy management during the balance of 2006,” Seiders wrote to Bernanke. Following records for single-family housing starts and new home sales in 2005, housing starts are on their way to a projected 6.1% decline this year, according to NAHB forecasts, and new home sales are expected to decrease by 12.9%. However, Seiders indicated that investors/speculators are now pulling out of the single-family and condo markets, creating some uncertainties for the marketplace. Seiders reported to the Fed chairman that NAHB’s single-family Housing Market Index has been falling since mid-2005, and hit a reading of 45 in May, its lowest level since mid-1995, “an episode that also followed systematic tightening of monetary policy by the Federal Reserve.” Seiders added that there is a possibility the index will decline “somewhat further” in coming months. In an address to the NAHB Board of Directors earlier this month, Seiders emphasized that “the U.S. economy definitely is slowing down at this time.” Seiders said that he expects the growth of the Gross Domestic Product to slow to a rate of 3% in the second half of this year and in 2007, which will prevent the economy from overheating and falling into a recession. Seiders also said that the Fed appears to be approaching the end of its run of quarter-point hikes in its federal funds interest rate, although another incremental increase is possible at the next meeting of the Federal Open Market Committee on June 29. Want to Know the Housing Starts Through 2014? Find out in HousingEconomics.com’s Long-Term Forecast. HousingEconomics.com includes downloadable Excel tables featuring the housing starts forecast, GDP, demographics and more. To learn more, visit www.housingeconomics.com. Seiders Says, 'Builders Have Not Lost Touch With Demand' on the NAHB Economics Blog NAHB Chief Economist David Seiders says that "builders have not lost touch with demand" 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. New Home Sales Rise in April, But Trend Is DownSales of new single-family homes rose 4.9% in April to a seasonally adjusted annual rate of 1.198 million units, following a substantial downward revision to first quarter sales, leaving sales for the first four months of this year 11.2% below the comparable period of 2005, the U.S. Commerce Department reported last Wednesday. “The rebound in sales in April, as reported by the government, was somewhat surprising but not that unrealistic considering the downward revisions that accompanied it,” said NAHB President David Pressly. “Indeed, builders are seeing a tapering off of demand, and NAHB’s Housing Market Index survey of builders fell to a level of 45 in May, the lowest reading since mid-1995.” “The reported rebound in new-home sales for April certainly is welcome news, although the substantial downward revisions for the first quarter of the year left the sales pace well below 2005 on a year-to-date basis,” said NAHB Chief Economist David Seiders. “We continue to believe that the housing market is cooling down in an orderly fashion from the record pace last year, largely because of a pullback by investors/speculators. NAHB’s current forecast shows about a 13% decline in new-home sales for 2006 as a whole.” Regionally, new home sales in April climbed 2% in the West, 7.8% in the South and 8.2% in the Northeast, and they fell 1.1% in the Midwest. All regions were down significantly on a year-to-date basis. The inventory of new homes for sale rose to 565,000 units at the end of April, a 5.8-month supply at the current sales pace. All of the increase was attributable to for-sale units that were not yet started, which represented 20% of the inventory level. Units still under construction accounted for almost 57% of the inventory, and completed homes for sale were 23% of the total ― about the same as a year earlier. Completed homes for sale were on the market for a median of four months in April, compared with 4.4 months a year earlier.
Want to Know Your State and Metro Forecasts for 2006? Anticipate the trends, make better decisions and improve your bottom line. HousingEconomics.com, the online publication from NAHB Economics Group, is your single source for market analysis, forecasts, housing statistics and more. In-depth analysis and detailed Excel tables and overviews are available for all the state and metro forecasts. HousingEconomics.com combines unique scientific research with practical applications providing insights that are original and useful. This interactive Web site at the executive level provides critical data and information quickly, easily and frequently, and includes the following features:
NAHB Chief Economist David Seiders says that "builders have not lost touch with demand" 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: Landscape Fabric As Tarp for Power-WashingPressure washing painted siding can leave millions of unsightly paint chips strewn around a house. And there hasn't been a really good way to pick up any but the largest pieces — until now. When one of my clients was adamant about not wanting any chips around his home, I came up with the following solution. I had planned to lay down tarps to collect the chips when we hand-scraped his house, but the tarps would be flooded by the water during the preliminary wash. Instead, to catch the flakes and let the water pass through, I spread some landscaping fabric left over from another project. We placed the fabric about 6 feet out from the house. Although the water puddled up initially, it passed through the fabric soon after we shut off the equipment. As a tarp, the landscape fabric worked great. It caught even the tiniest particles. — Mike Guertin, East Greenwich, R.I. Tips & Techniques provided by Fine Homebuilding.
To request a reprint of this feature, e-mail Mary Lou von der Lancken at Fine Homebuilding.
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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. Log in today to start taking advantage of this free NAHB member benefit. Seller-Funded Downpayment Help Not Tax-ExemptOrganizations that provide seller-funded downpayment assistance to home buyers do not qualify as tax-exempt charities, according to a ruling this month by the Internal Revenue Service. The IRS scrutinized 185 groups operating assistance programs. Downpayment assistance programs provide cash to home buyers who cannot afford to make the minimum downpayment or pay closing costs involved in obtaining a mortgage. Such programs can qualify as tax-exempt charitable and educational organizations under Internal Revenue Code section 501(c)(3) when properly structured and operated. In its recent Revenue Ruling 2006-27, the IRS provides a detailed discussion of the guidelines — including two examples that meet and one that fails to meet ― the tests for exemption. Seller-Funded Programs Not Considered Charities The ruling makes it clear that seller-funded programs are not charities because they do not meet the requirements of section 501(c)(3). Increasingly, the IRS has found that organizations claiming to be charities are being used to funnel downpayment assistance from sellers to buyers through self-serving, circular-financing arrangements. In a typical scheme, there is a direct correlation between the amount of the downpayment assistance provided to the buyer and the payment received from the seller. Moreover, the seller pays the organization only if the sale closes, and the organization usually charges an additional fee for its services. Read more by clicking here.
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. Custom Home Builders, Have We Got an Award for YouAre you a master at transforming client wish lists into one-of-a-kind homes that complement both lifestyle and surroundings? Do you have a gift for acquiring that sought-after material or craftsman that will transform a room into a special experience? Have you experienced the thrill of a “first” in home building? If your answers are, “yes,” “yes” and, “I absolutely want to,” then you should apply for NAHB’s newest award, the NAHB Custom Home Builder of the Year. Sponsored by Dryvit Systems, Inc., the award recognizes the best of the best in a unique segment of the home building industry — those who craft exceptional custom homes for discerning clients and are leaders in the industry and their community. Award winners will be honored during the 2006 Custom Builder Symposium at the Hyatt Regency Lake Las Vegas Resort on Oct. 27-29. To learn more about the award and to apply, click here. To register for the symposium, click here. Green Building Guidelines to Become a StandardThe NAHB Construction Codes and Standards Committee voted recently to obtain accreditation of the association's Model Green Home Building Guidelines from the American National Standards Institute (ANSI). The accreditation will affirm the credibility of the guidelines and strengthen efforts to promote their use among jurisdictions that are developing green building programs. The vote came on the unanimous recommendation of the Green Building Subcommittee, which has championed the model guidelines as a resource for local and state home builders associations (HBAs) that want to initiate a voluntary green building program for their members. Associations in Arizona, Connecticut, Maryland, Michigan, Missouri, North Carolina, Pennsylvania, Texas and Utah are currently running or planning programs based on the NAHB guidelines. The guidelines were unveiled at the International Builders’ Show in 2005 following a two-year development process involving more than 60 stakeholders in the home building, development, architecture and engineering industries as well as environmental groups, academics and building-related suppliers and trades. “The guidelines were designed to move environmentally friendly home building concepts further into the mainstream marketplace,” said Green Building Subcommittee Chair Ray Tonjes, a custom builder in Austin, Texas. “They have been proven to work well in voluntary, HBA-based programs because they are well-written, informative and easy to follow. I believe that means they will work well as a standard, too.” The guidelines contain sections on lot preparation and design; resource, energy and water efficiency and conservation; occupant comfort and indoor air quality; and guidance for home owners. Each section contains a set of provisions explaining how a builder can incorporate green building concepts into a project. In addition, local builders and green building program developers assign points to the provisions so that scores can be used to indicate different levels of green building. The guidelines are available at www.nahb.org/gbg. The ANSI standards process involves extended discussions by a “consensus body” and the production of a draft document; public comment followed by the opportunity to make changes; and the right to appeal. Proposed standards can take up to two years to move through the process. “The ANSI process serves all standardization efforts in the United States by providing and promoting a process that withstands scrutiny, while protecting the rights and interests of every participant. In essence, ANSI standards quicken the market acceptance of products while making clear how to improve the safety of those products for the protection of consumers,” according to the ANSI Web site. For more information, e-mail Calli Schmidt at NAHB, or call her at 800-368-5242. ‘Profit from Green Building’ Available at BuilderBooks.com “Profit from Building Green — Award-Winning Tips to Build Energy Efficient Homes,” available through BuilderBooks.com, showcases what energy conscious award-winning builders are doing, provides innovative energy-efficient features and covers successful techniques for building this niche market. To view or purchase this publication online, click here, or call 800-223-2665. Alternative Sought to HUD Section 8 Reform ApproachAs an alternative to a legislative proposal by the Administration to reform Section 8 vouchers by delegating responsibility for the program to local housing authorities or other state housing entities through federal block grants, NAHB President David Pressly last week invited Department of Housing and Urban Development Secretary Alphonso Jackson to work with the association to pursue streamlining and other improvements within the program’s existing structure. “While NAHB continues to disagree with the approach to reform taken in The State and Local Government Housing Flexibility Act, H.R. 1999, our members would like to work with you, members of Congress and our industry colleagues in developing alternatives to current practices that will result in a more streamlined and efficient program,” Pressly wrote to the secretary on May 23. Seeking support for H.R. 1999, Secretary Jackson on May 11 addressed NAHB members who were in Washington, D.C. to attend the association’s spring board meeting and asked them to consider a new approach to Section 8 that would allow local housing authorities to reduce the program’s costs by setting time limits for residents and permitting higher income households to participate in the program. “If we do not want the Section 8 program to continue to eat at the heart of HUD, we need legislation to change it,” Jackson told the special NAHB session. Section 8 was originally established to provide transitional housing, Jackson said, but those using vouchers today are staying an average of eight years in the program, compared to three or three-and-a-half years before 1998. Three out of five households in the program are required to have 30% or less of area median income, they have no incentive “to move up the economic ladder” and the waiting list for eligible Section 8 renters is 10 years long, he added. The cost of the Section 8 program, which is the principal source of federal rental assistance, has grown considerably in recent years and now claims a majority share of the HUD budget. Since HUD is not likely to garner additional federal funding in the years ahead, continuing the current program unchanged could result in cuts to other HUD operations such as HOME and Community Development Block Grants.
At its meeting last spring, the NAHB Board of Directors adopted policy opposing the Administration’s approach to Section 8 reform and emphasizing the importance of maintaining a national policy framework to ensure broad-based implementation of best practices and that national policies are carried out fairly and uniformly. “NAHB has serious concerns that a block grant approach will pave the way to future reductions in federal funding, leaving states to find alternative sources of money to run their programs,” the association stated last May during hearings on H.R. 1999 by the Housing and Community Opportunity Subcommittee of the House Committee on Financial Services. “Further, NAHB is concerned that the block grant approach would create a confusing, and even conflicting, array of program requirements and standards across the country.” H.R. 1999 has not received the congressional and public support it needs to move forward, and there has been no action on a companion bill in the Senate. Ney Bill Focuses on Streamlining In the meantime, Rep. Bob Ney has introduced a new Section 8 reform bill, H.R. 5443, which he said he intended to move shortly after the Memorial Day recess. H.R. 5443 is narrowly focused on streamlining several aspects of the existing Section 8 program. Of interest to NAHB members, the bill would significantly streamline the process for inspecting units for compliance with Housing Quality Standards (HQS). For example, units being vacated by a voucher family would not have to be re-inspected before the next eligible family could move in if the unit had been found to meet the HQS standards during an inspection within the previous 12 months. The same would apply for previous inspections within 12 months under another federal, state or local housing assistance program. NAHB policy supports this provision. H.R. 5443 also contains some changes in determining income eligibility and allows local housing authorities to require recertification of incomes for families on fixed incomes every three years instead of annually. The bill would also allow HUD to approve up to 40 local housing authorities that meet certain criteria to participate in the Moving to Work program, which enables them to combine funding for public housing and the voucher program, as well as to relax certain program requirements in order to meet specific goals. H.R. 5443 will be sent to the full Financial Services Committee for consideration after it is marked up in subcommittee, but with the number of legislative days left in the 2006 congressional calendar dwindling fast, its fate is uncertain. To read legislation, click here and enter the bill number in the box at the center fo the page. For more information, e-mail Claudia Kedda at NAHB, or call her at 800-368-5242 x8352. Photos by Herman Farrer Rising Tax Assessments Threaten Tax-Credit ApartmentsConcerned that skyrocketing property tax bills are jeopardizing the preservation and development of affordable rental housing, NAHB is urging state and local governments across the country to adopt more appropriate ways for assessing property taxes on rental apartment communities financed with Low Income Housing Tax Credits (LIHTC) and other government subsidies. “Soaring property values are pushing up property tax bills for all commercial properties owners; however, owners of tax credit and other subsidized affordable properties cannot recoup these costs by raising their rents, which is what the owners of market-rate properties do,” explained Lance Swank, chief operating officer of The Sterling Group and chairman of NAHB’s Multifamily Housing Credit Group. “Assessing properties that have rent-restricted units or that are subject to income limitations at the same rate and in the same manner as market-rate properties is putting thousands of affordable units at risk.” This includes a significant number of tax-credit units. The LIHTC program, which Congress created in 1987 as a funding source for low- and moderate-income housing, is the primary catalyst for affordable housing in the U.S., producing almost 100,000 units annually. The program works by allowing federal tax credits to offset development costs for new construction or rehabilitation of affordable housing projects. In exchange for the credits, property owners agree to rent restrictions that make units affordable to people whose incomes are 60% or lower than the area median. Tax credit owners and developers worry that rising operating costs — including high tax assessments — jeopardize not only the properties already in service, but also the financial feasibility of all future affordable housing produced with tax credits. To protect the financial viability of affordable housing properties, NAHB is urging state legislators across the country to adopt an income-approach under which tax assessors would be required to consider restrictions on rental income when appraising affordable housing properties. Currently, only 14 states require tax assessors to use the income methodology or a similar approach when addressing the valuation of affordable properties. For more information, e-mail Carmel McGuire at NAHB, or call her at 800-368-5242 x8207. Builders Work With NAACP to Close Homeownership Gap
“When I look at the mission and vision of our two organizations, I see a lot of synergy, I see lots of overlap,” said Bruce S. Gordon, NAACP’s president and CEO. “We have complementary purposes — we are both in the quality of life business.” Gordon was a featured speaker during NAHB’s recent board of directors meeting in Washington, D.C. NAHB President David Pressly noted that the two organizations are “working together to promote homeownership and education and to promote diversity in the home building industry.” The areas of collaboration include a joint white paper that will assess the state of minority housing opportunity and offer policy recommendations for increasing housing opportunity for all families. NAHB and the NAACP are also involved in joint Fair Housing Act litigation against the city of Kyle, Texas, where restrictive development regulations have had a disproportionate impact on minority home buyers. Referring to the opening lines of Charles Dickens’ novel, “A Tale of Two Cities,” Gordon noted that these are “the best of times” for the growing number of African American families who have purchased homes. But “these are the worst of times” for the many families that cannot overcome the growing gap between incomes and house prices. “Statistics indicate that the homeownership rate among African Americans is higher today than it ever has been,” Gordon said. “But when you look behind the statistics, all is not well when it comes to homeownership.” There is a 27-point gap in homeownership rates between blacks and whites, Gordon said. “Recent statistics from HUD show that sub-prime lenders made 53% of their refinance loans in neighborhoods where African Americans make up more than 80% of the population,” he said. “In neighborhoods where African Americans tend to reside, homeownership comes at a higher cost.” And in 2003, one in five black families paid more than one-half of their incomes on housing. That’s twice the proportion of white families, he said. “There are opportunities for us to work to deal with 21st century discrimination so we can both advance our respective visions of having equal access to housing for all people, regardless of ethnicity,” he said. Gordon, who had a 35-year career in the telecommunications industry and was president of the Retail Markets Group for Verizon Communications when he retired to lead the NAACP, said that in the business world he found that if he wanted to grow the top line, he needed to find new markets and find new customers. “You can look at the homeownership gap as a problem, or as an opportunity,” Gordon said. “How do we use the interests and expertise of the NAACP to work with NAHB to find ways to develop new markets, new growth, new customers? That’s the kind of work we need to do.” “What do you do?” he asked NAHB’s directors. “Obviously, you build homes. But I think you do much more than that. You build lives. You build families. You build futures. You build hopes. You build the capacity for kids to be in school systems where they can get a good education. You build the capacity for folks to come into the workforce and to live near their jobs, and to earn a fair day’s wage for a fair day’s work. “You are so much more than home builders,” Gordon said. “You are quality of life builders. You build the lives of Americans from coast to coast. “And if the nation’s oldest largest civil rights organization can achieve equality of rights, and do it alongside the NAHB, who have a like mission and vision, then from my optimistic, 1960s idealist perspective, I believe the world we leave will be a far more special place than the world we found,” he said. “At the end of the day, if we can say that, we’ve done our jobs.” For more information, e-mail Blake Smith at NAHB, or call him at 800-368-5242 x8583. Too Big a Backlog? Time to Raise Your PricesA common refrain from fellow remodelers is that they “have more work than they can handle.” Or that they “have lined up work for the next year or two” or “can barely get the work they currently have completed because they have so much work to do in the future.” Sound familiar? Having all this work lined up is very encouraging, promising and flattering. But the question I often ask is — why do these contractors have so much work on the horizon? Part of the answer, of course, is because they are good at what they do. But another equally important factor has to do with supply and demand, that economic fundamental that determines the price point of products and allows manufacturers to determine what quantity of product should be available at a certain price and what the corresponding demand for it would be. How do you think the shareholders of Chrysler would feel if they found the new 300M sedan was so underpriced that Chrylser could not produce enough of them to meet demand? If I was a shareholder, I would be irritated because Chrysler is losing profits. Now, what does supply and demand have to do with remodeling? Plenty if you are facing a two-year backlog. What you really are facing is a market that is demanding that you produce say 40 projects a year at the price you charge for producing 30 projects. Having that big a backlog really is not as good for business as it appears. And in my book, your price is way too low. What would happen in these circumstances, for instance, if you raised your prices and didn’t increase (or decrease) the number of projects you produce each year? Why, you’d be working less, charging more and making the same, if not more, money. So, how do you know how high you to raise your prices without raising them too high? You easily can reach that happy medium ― if you allow the market, not your head, to set your price. I am a big proponent of raising prices to meet market demand, but I am not a proponent of gouging customers. Gouging produces a backlash that could ruin your business. Think about how the NFL keeps its Super Bowl ticket prices below market demand, and then think what a public relations nightmare it would be for the league if it started gouging fans and charged as much, if not more, than scalpers. So in conclusion, there are two items you need to take into account when setting your prices ― market supply and demand and ethics. Erik Anderson, CGB, GMB, CAPS, is vice president of Anderson-Moore Builders, Inc. in Winston-Salem, N.C. He also currently serves as vice president of the Home Builders Association of Winston-Salem. For more information, contact Anderson via e-mail.
The NAHB University of Housing offers CAPS, CGR, CGB and a variety of other professional designation programs and business management courses that set builders and remodelers apart from the competition. To learn more about NAHB’s designation programs, visit www.nahb.org/designations. For a complete list of all current education offerings, click here. Tilt-Up Construction: Not Just for Box Warehouses Anymore
Sure, Tilt-Up is an efficient, cost-effective method for building big boxes, but Daugherty and his company are breaking out of that Tilt-Up stereotype. Not only has Daugherty used Tilt-Up to build an intricate and glamorous home, he’s put his confidence on the line because it’s his home — a 10,150-square-foot, two-story home with extras and upgrades, including two master suites, a game room, an exercise area, an extra kitchen in the basement, a home theater, a secondary laundry facility and a 4,300-square-foot garage. Although Daugherty acknowledged that his home was more expensive to build than a comparable wood frame structure, the durability and energy efficiency afforded by the foam-filled concrete walls will pay dividends in reduced maintenance and lower energy bills. The ‘Smart Home’ Solution Between the concrete wall construction and the smart appliances he has installed, Daugherty expects his home to be 30% more efficient than competing residences. “This home is definitely a ‘smart home,’” he says. Selecting the building materials, equipment and energy management systems — all early design considerations — makes a difference in the long-term performance of a home. With Tilt-Up construction, the thermal mass properties of the concrete, reduced air-infiltration and higher energy-efficiency insulation systems all combine to optimize energy-efficiency and make Tilt-Up a “smart home” solution. The “performance” of the exterior concrete walls is the key element of Tilt-Up’s insulating efficiency. Concrete located adjacent to controlled interior spaces dampens the temperature swing normally experienced with the daily rise and fall of outside temperatures. This dampening can result in substantial energy savings through reduced HVAC capacity.
Great Architectural Appeal, Too But beyond energy efficiency, the Daugherty home has great architectural appeal ― both inside and out. Outside, the home’s smooth concrete finish and six structural concrete columns create a unique and inviting entrance. Other pleasing enhancements include custom stone that surrounds the mantels encasing the home’s entire exterior. Inside, Daugherty has included stone accent walls coupled with Venetian texture walls — with actual imprinted grapevines and leaves. His floors are a balance of slate deck, stained concrete and custom wood flooring woven with stone inserts.
And, for total outside-the-big-box thinking, Daugherty has included an infinite edge swimming pool with waterfalls, a swim-up bar and fire accents in his patio area. He also has installed a children’s play yard and a third-story deck — encased by glass walls, naturally. Ed Sauter is the executive director of the Tilt-Up Concrete Association (TCA), which was founded in 1986 to improve the quality and acceptance of site-cast Tilt-Up, a construction method in which concrete wall panels are cast on-site and tilted into place. Tilt-Up construction is one of the fastest growing industries in the country. It combines the advantages of reasonable cost with low maintenance, durability, speed of construction and minimal capital investment. For more information about the TCA, visit www.tilt-up.org, e-mail Sauter, or call him at 319-895-6911.
Building with Concrete: The Basics and Beyond 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. For more information, visit www.nahb.org/concretetour. Enter the 2006 Brick in Home Building CompetitionEntries are now available for the Brick in Home Building Awards that showcase the finest work in clay face and paving brick from residential builders and architects around the country. Conducted by the Brick Industry Association, entries are due by Monday, July 31. Entries can be submitted in one or more of the following categories:
For more information about the award, including eligibility, submission requirements and judging, visit www.gobrick.com/AwardsInfo.html. To enter, click here.
More New-Home Buyers Using the Internet to Find HomesMore potential new-home buyers are using the Internet to find homes and communities, according to a survey by NAHB’s Institute of Residential Marketing (IRM) and Move.com™, a consumer-oriented Web site with home listings, rentals, new-home plans and tools and professional connections that consumers need before, during and after a move. The survey was conducted by Harris Interactive. According to the survey, 27% of consumers who responded visit builder Web sites when searching for new homes and 26% use Internet listing services when they begin looking for new homes. Consumers also rated these Web resources, along with contacting Realtors®, as “the most useful and important information sources in finding and evaluating new-home opportunities,” according to the survey. Consumers looking for newly-constructed homes are spending half their time online, according to the survey. In addition, 20% of online home buyers said that if they could only recommend one source to a fellow home buyer, it would be Internet listing services, while 17% said they would recommend builder Web sites. Realtors®, at 28%, were the most recommended single-source of new home information by consumers, according to the survey respondents. The survey also indicated that builders believe that home buyers rely primarily upon signage, newspapers or home magazines and Realtor® promotions to find new homes. Builders said that these more traditional forms of marketing and awareness generate the highest quantity of leads. They also said that the highest quality leads they receive were generated through online resources. Even though builders acknowledged that many more quality leads come from the Web, they reported that they spend less than one-fifth of their marketing budgets on Internet-based marketing. “These facts all point to the conclusion that there is an enormous opportunity and upside for builders to produce more effective and integrated online marketing programs, thus reaching a wider range of home buyers and providing them with a more satisfying home-search experience,” said the survey authors. More Electronics-Oriented Research Planned for 2006 IRM will conduct research this year on how builders and other building professionals can more effectively and profitably collaborate with residential electronic systems contractors (RESC) as part of this years IRM Research Initiative. The research will be conducted as a joint venture with the Custom Electronics Design & Installation Association (CEDIA), an international trade association of companies that specialize in designing and installing electronic systems for the home. S. Robert August, MIRM, the president and founder of S.Robert August & Company, Inc., a national marketing and public relations firm based in Denver, will oversee the research project for IRM. To learn more about the IRM Research Initiative and how to submit proposals, visit www.nahb.org/MIRM. Move.com™ was formerly Homestore.com®. Subscribe to Sales + Marketing Ideas Magazine for Cutting-Edge Information
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. Earn Valuable Sales and Marketing Designations Through IRM Programs The Institute of Residential Marketing (IRM) offers four designation programs for sales and marketing professionals:
For more information on these designation programs, click here. Ask an Expert 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' Covers the Ins and Outs of New Home Sales “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. To view or purchase this publication online, click here, or call 800-223-2665. Want to Know More About Designations? Ask an ExpertThe NAHB University of Housing recently implemented “Ask an Expert,” a new service on the NAHB Web site for members seeking or earning designations. "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.
Register Now for the Design Institute 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 Design Institute will be held June 5-7 at the Westin Charlotte, Charlotte, N.C.
To register and for detailed information, visit www.nahb.org/designinstitute.
Log In and Discover www.nahb.org 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. To create your login:
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. Education Calendar
Learn More About The NAHB University of Housing 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. Register Now for the Design Institute 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 Design Institute will be held June 5-7 at the Westin Charlotte, Charlotte, N.C. To register and for detailed information, visit www.nahb.org/designinstitute Log In and Discover www.nahb.org 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. To create your login:
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. Volunteers Needed to Help Hurricane VictimsIn the weeks and months following the Gulf Coast hurricanes, numerous NAHB members expressed interest in volunteering to help rebuild homes for victims. Rebuilding Together and the Order of Malta, a lay religious order of the Catholic Church, have organized opportunities to help hurricane victims by volunteering for a week on a building project in the New Orleans area. The volunteer opportunity was brought to the attention of NAHB by its past president, John Koelemij. The Order of Malta Home Renovation Program is looking for skilled tradesmen ― including carpenters, electricians, plumbers and roofers ― to donate one week of their time to the program. Five-day work opportunities are scheduled throughout the fall and into 2007. Details on the program are available online. For more information, contact Joseph Dempsey, executive director of the Order of Malta, at 703-331-2494. NAHB supports the philanthropic nature of this program and encourages interested members to participate. However, the association will not be coordinating any of these volunteer activities. Members interested in volunteering should work directly with Dempsey and the Order of Malta Home Renovation Program. Tracing Bit Takes Measuring Out of CuttingThe RotoZip Spiral Saw line from the Robert Bosch Tool Company continues to expand with the recent addition of a metal cutting bit and now a tracing bit that makes cut-outs fast and easy without ever picking up a tape measure. Robert Bosch Tool Company is a member of the National Council of the Housing Industry — The Supplier 100 of NAHB. RotoZip says its XB-MPGP2 Tracing XBIT is the industry’s first full-fledged multi-purpose tracer, and it can be used for applications in a variety of materials, ranging from wood to fiberglass. The tracing bit tip makes perfect cuts every time by avoiding the object behind the surface and only cutting out the material desired, the manufacturer says. From electrical boxes to window frames and more, this new bit eliminates the need for measurement. The 5/32-inch diameter bit is compatible with both RotoZip and competitive Spiral Saws. To use the bit, users simply plunge directly into the work piece; pilot holes are unnecessary. Next, they drive the bit in one direction until it hits the edge of the object they are cutting out. Finally, utilizing the object as a template, users follow the edge around to complete the cut. By simply following the template, users end up with a perfect cut. The product is available in a two-bit execution at home centers, hardware stores and wherever professional power tools are found. The manufacturer’s suggested retail price is $11.99. RotoZip manufactures a broad range of XBITS compatible with both the RotoZip series of Spiral Saws and competitive tools. Additional XBITS include:
NAHB-Produced Programs on HGTV & DIY This WeekThe NAHB Production Group produces four weekly television shows on HGTV and DIY for consumers. The following is this week's lineup: "I Want That" on HGTV
"Dream Builders" on HGTV
"Rock Solid" on DIY
"Assembly Required" on DIY
Episode: "Deltec Round Kit Home (Part 1)"
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. Log In and Explore www.nahb.org 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. Log in today to start taking advantage of this free NAHB member benefit. Endowment Funds Affordable Healthy Housing SymposiumThe National Housing Endowment, the philanthropic arm of NAHB, will be funding a symposium creating affordable healthy housing that will be presented by the National Building Museum next year. The symposium, “Building Affordable Healthy Housing,” will be presented in conjunction with the museum’s current major exhibition, “The Green House: New Directions in Sustainable Architecture,” which runs through June 3, 2007 in Washington, D.C. “Building Affordable Healthy Housing” will be a one-day conference that will bring together business leaders, academicians, elected officials, NAHB, the NAHB Research Center and the environmental community to discuss how government, business and the nonprofit sectors can work together to achieve more sustainable and healthier affordable housing options for Americans, and point out how designing “green” and affordable housing are not mutually exclusive concepts. The symposium will be conducted in May 2007.
“The National Building Museum is proud of our continuing relationship with NAHB and the National Housing Endowment and happy for its support and the support of the National Housing Endowment in presenting this symposium,” said Chase Rynd, executive director of the museum. “We are very excited to work with the staff of the NAHB Research Center to give an industry voice to these proceedings.” “The National Building Museum is our museum, dedicated to the building arts in all its forms,” said Gary Garczynski, endowment chairman and 2002 NAHB president. “We look forward to the benefits this program will bring to our industry. “The endowment has been a long-time supporter of their efforts, most notably their Building America Web site, an online exhibition by the museum exploring the broad scope of U.S. achievement in architecture, design, engineering, construction, planning and landscape architecture,” he added. The “Building Affordable Healthy Housing” symposium is not yet scheduled. For more information about “The Green House: New Directions in Sustainable Architecture” exhibit at the National Building Museum, or to register for other seminars related to the exhibit, visit the museum Web site at www.nbm.org. Michael T. Rose Recognized for Contributions to NAHB
“In the early 1990s, Michael was pivotal in designing NAHB’s aggressive and comprehensive environmental program ― a program that has resulted in a string of victories for the association and helped raise the bar for all of us on the best practices for building environmentally-friendly developments,” said NAHB President David Pressly. Pressly also acknowledged Rose’s role in “pushing and prodding” NAHB into the era of electronic communications and laying the foundation for the creation of the online version of Nation’s Building News and the various NAHB committee and council e-newsletters. “He’s always seems to be a step ahead of the rest of us in knowing where the market might be heading,” Pressly said, “and he’s always willing to speak his mind — even when it goes against conventional wisdom.” Rose has been a member of NAHB since 1976, the president of his local association and a chairman and/or member of countless committees at NAHB. He has been a state representative and also served on the NAHB Executive Board five separate time. Avoid Credit Card Processing Rate Increases With SolverasSolveras Payment Systems, the newest Member Advantage company, offers members and home builders associations the chance to avoid the Visa® and MasterCard® processing rate increase that the credit card company recently announced. Solveras Payment Systems has negotiated a special deal for NAHB members that will allow you to avoid upcoming increases by Visa® and MasterCard® if you contact Solveras no later than Wednesday, May 31 and lock in pre-increase processing. If you accept credit cards and don’t contact Solveras, these increases could significantly impact your bottom line. Add that to the Solveras’ regular discounts on credit card processing, simplified monthly billing and an easy-to-re |