Nation's Building News Online: January 21, 2008Print All Articles Text Version |
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NAHB, Administration in Sync on Housing Legislation NeedWith NAHB working tirelessly for the past several weeks to urge Washington policymakers to take aggressive action to stabilize financial markets, jump-start the housing sector and get the economy moving, significant developments occurred on Jan. 22 when the Federal Reserve Board moved decisively by cutting interest rates by 75 basis points. “This action sends a strong signal to the world financial markets that the Fed is prepared to inject liquidity into the credit markets and do its part to help the U.S. economy avoid a recession,” said NAHB President Brian Catalde. “Further rate cuts may still be needed and we urge Fed policymakers to monitor the situation closely with this possibility in mind when they meet at the end of the month.” In a speech to the U.S. Chamber of Commerce that same day, Treasury Secretary Henry Paulson agreed with NAHB when he called on Congress to move swiftly to address the current housing situation by enacting an economic stimulus package and passing the following legislation ― FHA modernization to increase the availability of affordable FHA mortgages; comprehensive reform of Fannie Mae and Freddie Mac that allows them to temporarily buy larger home loans in high-cost markets; and allowing cities and states to issue tax-exempt mortgage bonds to refinance existing loans to help troubled borrowers. NAHB believes that any stimulus plan must also address housing as a key component to moving the economy in the right direction. For example, NAHB continues to urge Congress to establish a tax credit for first-time home buyers and expand the net operating loss (NOL) deduction. Enacting the tax credit would increase housing demand, particularly in a period of tightening mortgage lending requirements. On the supply side, by expanding the NOL tax deduction, Congress would help builders weather the current downturn. Under present law, a business loss can only be deducted from taxes paid from the previous two years. If the loss cannot be carried back, it must be used in the future. Expanding the carry-back to five years would enable builders to receive an immediate rebate on taxes paid in previous years and provide a much needed infusion of capital to their businesses. NAHB, HPC Urge Hike in Conforming Loan Limit Joining forces to take a leadership role in breaking the deadlock in Congress over reform of the regulatory framework for the housing government sponsored enterprises (GSEs) — Fannie Mae, Freddie Mac and the Federal Home Loan Banks — NAHB and the Housing Policy Council (HPC) of The Financial Services Roundtable last week called on lawmakers to act quickly to allow Fannie Mae and Freddie Mac to temporarily purchase larger home loans to boost the housing market. “Because we are seeing continued liquidity problems in the jumbo mortgage market, NAHB and HPC support a temporary increase in the conforming loan limit to allow Fannie Mae and Freddie Mac to purchase mortgages in high-cost areas as part of prompt action on GSE reform legislation,” the two groups said. Specifically, NAHB and HPC are calling on the Senate to swiftly approve legislation similar to House-passed H.R. 1427, which would reform the oversight of Fannie Mae and Freddie Mac and allow them to increase liquidity in the nation’s mortgage markets. While H.R. 1427 includes a provision calling for a permanent adjustment for high-cost loan areas based on the area median home sales price up to 150% of the national limit, NAHB and HPC believe that the increase should be temporary for two years. At the end of that period, the increase would be terminated if the jumbo market has returned to a normal spread between conforming and non-conforming mortgage rates. “With the potential for an economic recession increasing, now is the time for all of us to put aside our parochial interests and focus on the job of stabilizing the housing market and getting the economy back on track,” said Catalde. “The Housing Policy Council and NAHB are committed to doing just that by working with other industry stakeholders, the Administration and the Senate to move GSE reform now and get the job done.” “Fannie Mae, Freddie Mac and the Federal Home Loan Banks play an important role in the mortgage finance system, assisting in maintaining the mortgage market’s stability and promoting affordable housing,” said John H. Dalton, president of the Housing Policy Council. “Therefore it is crucial that Congress complete action on comprehensive legislation to strengthen oversight of these vital GSEs.” The joint NAHB-HPC effort is significant, as the HPC, which represents many large bank lenders, has previously opposed increases in the conforming loan limit. To view the House bill, click here and enter H.R. 1427 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.
Builders: Today’s Rate Cut Is Tomorrow’s SaleHome builders have an exceptional sales opportunity following the Jan. 22 three-quarters of a percentage point interest rate cut by the Federal Reserve. Mortgage rates are already near historic lows, and the largest rate cut since October 1984 makes buying a new home a not-to-be-missed decision for consumers right now. Home builders should use the cut to send a critical message to potential buyers: Those who commit to a new home today will get extraordinary value for their dollar. Whether they choose to add more features or upgrades, or help their budget with lower monthly payments, the power is in their hands to purchase a home that meets their needs. “Today’s rate cuts by the Federal Reserve had an immediate effect on prime mortgage rates,” said David Seiders, NAHB’s chief economist. “Fixed-rate conventional conforming mortgages now are available around 5.3%, which is extremely low by historical standards.” Builders can make a positive, immediate impact on their sales by coaching their sales teams to show potential buyers how the rate cuts benefit them. Demonstrate to potential buyers that a rate cut almost always provides a significantly greater cost savings over the life of the loan than a drop in price. Buyers who wait for prices to go down will most likely end up losing money overall if rates go up even one-half of a percent. Trying to time the market is a dangerous gamble that could end up costing them thousands of dollars. For example, a buyer who gets a 30-year fixed rate mortgage for $400,000 at 5.3% today will spend $20,520 less overall than someone who got a better price — say $380,000 — but with a rate at 6%. NAHB members can also help pick up their sales by leveraging the wide selection of promotional materials available to them at www.nahb.org/buynowcampaign. The materials in the Buy Now Promotional Toolkit carry a compelling “Buy Now!” message, supported with the fundamental fact that low interest rates, great selection and readily available funds make today an ideal time to buy a home. They are ready for immediate use and can be customized or used as-is. Some of the materials include consumer handouts with topics such as “Top Ten Reasons You Shouldn’t Wait to Buy a New Home,” and five new consumer print advertisements with messages such as “Smart shoppers know: It’s a great time to buy a new home.” For more information, e-mail NAHB Public Affairs, or call 800-368-5242 x8254. Avoid the Lines, Register Online for IBS by Friday, Jan. 25Online registration and the discounted “regular” registration fees for the 2008 International Builders’ Show in Orlando have been extended until Friday, Jan. 25. The show will run from Feb. 13-16, with pre-show education beginning Saturday, Feb. 9. Register online and when you arrive at the Orange County Convention Center, simply bring a picture ID to any Advanced Registration Counter and pick up your badge. Click here to register today.
Free NAHB Kit Gives Builders Back-to-Basics Tips to Navigate the Slowdown What was once expected to be a relatively mild housing slump following three years of record new home construction and sales has given way to a significant downturn. To help members navigate the uncharted waters of this slowdown, NAHB has compiled a comprehensive “Back to Basics” online toolkit — the best of the basics, the tried and true and the truly new. To access the toolkit, click here. To access the “Back to Basics” toolkit, you must be an NAHB member and have a login to www.nahb.org. To create a login, go to www.nahb.org/login or click on the log-in button on the main menu bar. For assistance, call the NAHB Member Service Center at 800-368-5242. NAHB Branding Online Survey Coming SoonNAHB members are encouraged to fill out an online Web-based survey on NAHB branding that will be sent via e-mail and arriving in members’ inboxes soon. Member feedback is crucial to the NAHB branding effort now underway. The survey should take 10 minutes or less to complete. All answers are confidential.
Free NAHB Kit Gives Builders Back-to-Basics Tips to Navigate the Slowdown What was once expected to be a relatively mild housing slump following three years of record new home construction and sales has given way to a significant downturn. To help members navigate the uncharted waters of this slowdown, NAHB has compiled a comprehensive “Back to Basics” online toolkit — the best of the basics, the tried and true and the truly new. To access the toolkit, click here. To access the “Back to Basics” toolkit, you must be an NAHB member and have a login to www.nahb.org. To create a login, go to www.nahb.org/login or click on the log-in button on the main menu bar. For assistance, call the NAHB Member Service Center at 800-368-5242. Falling Timbers: Good News for Builders, Buyers as Lumber Prices Hit Two-Year LowWhile builders in Idaho typically expect lumber prices to decline during the winter months as construction slows, a weak housing market in other parts of the nation has further reduced demand for some building products. The average cost of plywood has declined more than 14% compared to a year ago, while softwood lumber has declined about 15%, according to Reed Construction Data. “It’s a bargain right now and it’s been pretty reasonable for the last few months,” said Charles Colby, operations manager at Franklin Building Supply in Twin Falls. “But we’re probably going to see those prices start to increase toward the middle of February.” Builders and developers benefit from the lower material costs, either by absorbing the cost savings or by building larger and more intricate homes that compete better in the housing market. “Right now would be a good time to get with the builder to plan out a home and get the permit process started,” said Tony Hughes, president of the Magic Valley Builders Association. “The general trend is that the cost of building rarely goes down, but right now we’re dealing with lumber prices that are at their lowest level in a couple of years.” (www.magicvalley.com)
Maine Home Prices Defy National SlumpAlthough the number of homes sold has been declining at a double digit rate over the past year, Maine’s median home prices have continued to edge up or remain flat. In November, home sales statewide were off more than 10% compared with a year earlier, but the median price rose more than 1% to $188,000. Several factors have been supporting prices in Maine, including the fact that this market isn’t as prone to the speculative building and boom-and-bust economic growth of some other states. Another reason Maine is holding up is because the statewide economy is in better shape than that of some other states, with a 4.8% unemployment rate that’s on par with the national average but much healthier than in hard-hit locales. Also, prices didn’t soar as high here during the boom, so they don’t have as far to drop; the state saw comparatively little overbuilding and speculative buying, so there isn’t a glut of unsold homes going at bargain prices; and the area hasn’t been as hard hit by foreclosures. (www.pressherald.mainetoday.com)
With Predator Populations Rising, More Calls for ControlAround the West and in various ways, efforts to wage war on wildlife predators are increasing, reflecting the tension between rural Westerners involved in ranching, farming and logging, and those in growing urban and recreational areas where people are more likely to have a friendlier attitude toward wildlife. In all cases, wild species’ need for adequate habitat is competing against human interests. In Oregon, hunters may soon be deputized to kill cougars, whose population has grown from several hundred in the 1960s to about 5,000 since the use of radio-collared dogs to hunt them was banned in 1994. Cougars in Oregon can pose a threat to humans. Although no attacks on people have been reported, the big cats have been spotted inside the city limits of several towns. Cougars are solitary territorial animals, which means that younger males especially are increasingly being pushed toward developed areas. Livestock, horses and pets have been attacked. (www.csmonitor.com)
Cities Ramp Up Kid-Friendly HospitalityAfter more than a decade of wooing young professionals with loft apartments, nightclubs and Internet cafes, cities are tackling a new challenge: hanging on to them once they start having children. Many cities have successfully reversed decades of population decline in downtown neighborhoods by luring 20-somethings, only to see them leave soon after they start a family. The kid-friendly campaigns are taking many forms. A report by the Institute of Design in Chicago recommends happy hours for families in local restaurants, family rest stops that include stroller lockers, car-free zones and child-only areas of public transportation. Public parks can substitute for a lack of backyards, and cultural offerings such as museums, libraries and symphonies can enrich children’s educations, it says. But urban historian Joel Kotkin, author of “The City: A Global History,” is skeptical that cities can compete with suburbs for middle-class families. “What people will tolerate as single people is different from what they’ll tolerate when they have children,” he says. Cities such as Austin, Chicago, Seattle and San Francisco, magnets for young adults, generally have low and falling concentrations of children in neighborhoods close to the center of the city, according to research by CEOs for Cities, a national network of mayors, corporate executives, university presidents, foundation officials and city leaders. (www.usatoday.com)
Kitchens and Baths: Down But Not OutWhile economists are split on exactly when the housing market will pick up again, most agree that both the housing and related kitchen/bath markets are fundamentally sound and poised for long-term growth when the current downturn subsides. While the immediate outlook may seem bleak, home owner remodeling activity — including work on kitchens and baths — is expected to grow 44% from 2008 to 2015, or 3.8% per year, according to William Apgar, senior scholar at the Harvard University Joint Center for Housing Studies. “At the same time, do-it-yourself spending should grow at a respectable 3.2% annually and increase almost 38%,” he noted. Even during today’s challenging market, kitchens and baths are outperforming the rest of the building industry, according to Ed Pell, manager of market research for the National Kitchen & Bath Association. Calling them “the one bright spot in the building industry,” Pell said that kitchens and baths “did well overall in 2007 and will likely do about the same or flatten in 2008.” According to Pell, the number of kitchen remodeling jobs rose 1.7% in 2007 to 7.6 million units. But total spending was down, highlighting the importance of dealers and designers selling upgrades that bring real value to the project, as price-conscious consumers may be more selective over the coming years. Driven more by necessity than kitchens, bath remodels rose 5.3% in 2007 over 2006, he said, with 10.9 million jobs in all, which was up 3.9%. (www.kitchenbathdesign.com)
Lower Rate, Coming Resets: An Opening for RefinancingData compiled by the Mortgage Bankers Association indicated that nearly 60 percent of all new mortgage applications by mid-January were for refinancings, thanks to the lowest mortgage interest rates in a year and a half, columnist Kenneth Harney reported. “While much of the demand is from home owners facing payment resets on adjustable-rate and interest-only loans, many of the applicants simply want to take advantage of rates in the mid- and upper 5 percent range — often with no out-of-pocket cash costs,” Harney said. What’s fuelling the drop in mortgage rates? Harney reports that Jay Brinkmann, vice president for research and economics at the Mortgage Bankers Association, believes that it’s the 10-year Treasury bond, not short-term rates. “In recent weeks, with the specter of recession on the horizon, there has been a ‘flight to quality’ in the bond market toward ultra-safe Treasuries. That demand, in turn, has helped push down long-term mortgage rates.” How long this continues will depend heavily on investors’ perceptions of where the national economy is headed. “Brinkmann’s forecast calls for 10-year Treasuries ‘to start moving back up’ at some point in the coming quarter.” (www.washingtonpost.com)
Lutron System Remotely Controls Home LightingVisitors to Lutron Electronics' Booth W4243 at the International Builders’ Show in Orlando on Feb. 13-16 will find the AuroRa wireless lighting control system, which enables home owners to create a safe path of light from their car or bedside throughout the home. A switch package for the AuroRa system contains both dimmers and switches, allowing users to remotely control their incandescent light bulbs with dimmers and their energy-efficient compact fluorescent light bulbs with switches. AuroRa was designed as a low-cost, simplified, radio frequency-based and pre-programmed lighting control system that enables users to enjoy the safety, simplicity and comfort of lighting control without any installation hassles, setup or programming. Selling for a suggested list price of $850, the switch package contains:
The system’s compact plug-in central antenna and security interface ensure reliable radio frequency communication among all the devices and can be placed in a closet or under a bed. Each of the five master control buttons controls a single dimmer or switch, while the master control’s “All On” and “All Off” buttons control all five dimmers or switches at once. Each dimmer or switch corresponds with a specific master control button, taking the guesswork out of programming the system. The original AuroRa package contains five dimmers, one master control, one wireless controller and one central antenna for a suggested list price of $750. AuroRa packages are available in white, ivory, almond and light almond. For increased capability, two systems can be linked together in the same home for a total of 10 dimmers or six dimmers and four switches. To find out more, visit Booth W4243 at the Builders’ Show, call 888-LUTRON-1 or click here. Headquartered in Coopersburg, Pa., Lutron Electronics Co. is a member of the National Council of the Housing Industry — The Leading Suppliers of NAHB. 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. Lubrizol Offers Versatile Water Distribution Manifold SystemIn Booth W6345 at the Feb. 13-16 International Builders’ Show in Orlando, Lubrizol/FlowGuard Family of Products will be featuring its versatile water distribution manifold system. The new FlowGuard MultiPort CPVC manifold system can be used with both CPVC and PEX portable water piping materials. The patent-pending manifold is available in 1”, 1 Ľ”, 1 ˝” and 2” sizes for residential and commercial applications, and it can be installed vertically, horizontally or floating. Used as a central manifold system, FlowGuard MultiPort fittings allow for any number of ports during installation and easily accommodate future expansion. The system is solvent cemented together, eliminating the mechanical leak points found in other central manifold systems. The fittings come in standard configurations of one, two, three or four ports for 1” CPVC and two to three ports for 1 Ľ”, 1 ˝” and 2” CPVC. Simple CPVC adaptors are available to convert the male ports to ⅜", ˝” of ľ” brass or stainless steel crimp barbs for PEX pipe, or to standard CPVC pipe or fittings. The system is manufactured by Lubrizol Advanced Materials, Inc., which has more than 45 years of experience in advanced technology piping products — including FlowGuard Gold, FlowGuard Bendable, FlowGuard Flex, Blaze Master and Corzan piping systems. For more information, visit Booth W6345 at the Builders’ Show, call 888-234-2436 or click here. Headquartered in Wickliffe, Ohio, Lubrizol/FlowGuard Family of Products is a member of the National Council of the Housing Industry — The Leading Suppliers of NAHB. 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. Sage Software Improves Visibility of Critical Business DataIn Booth W3943 at the Feb. 13-16 International Builders’ Show in Orlando, Sage Software will introduce the latest version of its product, with a new feature that helps construction companies improve their productivity with point-and-click real-time visibility into their financials and operations. Sage Master Builder is award-winning, fully integrated business management software that links key areas of a construction company’s business — including estimating, production/project management, accounting, analysis and reporting — into one integrated process. Version 13 brings the latest in a series of significant upgrades and additions to the product since Sage Software acquired it last year. Highlights of Version 13 include:
Headquartered in Beaverton, Ore., Sage Software is a member of the National Council of the Housing Industry — the Leading Suppliers of NAHB. 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. Dow Structural Insulated Sheathing Faster to InstallDow Building Solutions will put the spotlight on structural insulated sheathing in Booth W2543 at the Feb. 13-16 International Builders’ Show in Orlando. Dow’s STYROFOAM SIS Brand Structural Insulated Sheathing features three-in-one construction with structural shear bracing, significant insulation performance and a water-resistive barrier. The sheathing can be used as braced panel walls attached next to other rigid insulated sheathing, or it can serve as a continuous structural insulated sheathing over the entire braced wall line. The sheathing:
The Dow Chemical Company is a member of the National Council of the Housing Industry — The Leading Suppliers of NAHB. 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. Bose Entertainment System Integrates Seamlessly Into HomeVisitors to Booth W3859 at the Feb. 13-16 International Builders’ Show (IBS) in Orlando can see how the Bose Builder Program of integrated home theater and multi-room indoor and outdoor audio systems engineered to specific floor plans can help sell more homes and upgrades. Bose will be highlighting its Lifestyle BUILT-INvisible AV-48 Series IV Home Entertainment System, its premium home theater with 340-CD digital music storage. Ideal for the movie and music lover, this elegant, high-performance system provides builders with a compelling option to offer their home buyers. Installed during new construction, the speaker wiring, amplifiers and large components can be completely hidden in walls, ceilings or floors — eliminating clutter and providing residents with a simple, whole-home audio solution seamlessly integrated into the living space. The system delivers rich, room-filling sound and includes a media center with an integrated AM/FM tuner and DVD/CD player that plays today’s most popular audio and video formats for movies and music. A new Lifestyle VS-2 video enhancer is also included, making it simple for owners to integrate and use multiple video sources, including those with HDMI. New Lifestyle BUILT-INvisible systems are featured in the 2008 New American Home, the official show home of the IBS. For more information, visit Booth W3859 at the Builders’ Show or click here. Headquartered in Framingham, Mass., Bose Corporation is a member of the National Council of the Housing Industry — The Leading Suppliers of NAHB. 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. Lennox Products Keep Indoor Air Clean and ComfortableLennox Industries Booth W2159 at the Feb. 13-16 International Builders’ Show in Orlando is the place to find the latest products to promote optimal indoor air quality and comfort. The manufacturer is putting the spotlight on three new products:
Headquartered in Dallas, Lennox Industries is a member of the National Council of the Housing Industry — The Leading Suppliers of NAHB. 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. PERC Booth Shows Advantages of Propane LifestyleConvention-goers visiting the Propane Education and Research Council's Booth W1983 at the Feb. 13-16 International Builders’ Show in Orlando will learn more about energy choices and the benefits of building with propane. According to a recent Harris Interactive study, of consumers planning to build custom homes in locations where natural gas is unavailable, the majority said that propane, not electricity, is a more comfortable, reliable and efficient source of energy. Propane is one of the most efficient and environmentally friendly energy options available. This year’s New American Home is fueled by propane, and is the very first show home to be certified under NAHB’s new Green Building Program. Propane also is featured in the Show Village Green Home. From community-wide energy systems to single appliances, propane helps builders build their business while providing the strong performance and good value that consumers demand. While finding out about the advantages of a propane lifestyle and the difference it can make for builders and their customers, visitors to Booth W1983 can also enter to win a propane-powered Roush Ford F-150 pick-up truck filled with propane appliances. For more information about building with propane, call 888-963-PERC, or click here. The Propane Education and Research Council is a member of the National Council of the Housing Industry — The Leading Suppliers of NAHB. 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. HGTVPro.com Interviews the Experts, Holds Panel on ColorHGTV and several of its Scripps Network properties, including HGTVPro.com, will have a major presence at the Feb. 13-16 International Builders’ Show in Orlando; its booth will be located in the West Hall B Lobby Level 2 of the Orange County Convention Center. HGTVPro.com will host an interactive booth, where it will be taping interviews with industry experts and top manufacturers on their latest products and innovations for potential airing over broadband video. Attendees at the Builders’ Show will also have the opportunity to hear from a panel of design experts discussing the importance of color in a builder’s tool box. Kahi Lee of the network’s “Design on a Dime” series; Taniya Nayak of “Designed to Sell;” Jack Thomasson, house planner for the past 11 HGTV Dream Homes; and Steve Watson of “Don’t Sweat It” will share color and design tips for residential new construction and remodeling. Builders and consumers alike will walk away from the panel discussion with helpful information and new ideas on how to create unique effects in homes using color. Nayak says that when choosing colors for the new home, a palette in “earthy” tones should be the starting point. If choosing a blue, opt for a shade with a gray/neutral undertone such as light slate blue. This provides flexibility and range for making furniture and textile choices. The same applies for various earthy colors such as greens, beiges and grays. “Adding Color to the Builder’s Tool Box” will take place on Feb. 13 from 3:30-5:00 p.m. in the West Hall, Room 320. For more information about HGTVPro.com, visit its booth in West Hall B Lobby Level 2, or click here. Headquartered in Knoxville, Tenn., Scripps Network/HGTV is a member of the National Council of the Housing Industry — The Leading Suppliers of NAHB. 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. Green Mandate an Obstacle to HOPE VI SupportThe House on Jan. 17 approved H.R. 3524, the Hope VI Improvement and Reauthorization Improvement Act of 2007. While NAHB has long supported the HOPE VI program, a unique initiative that has contributed to the revitalization of some of the most difficult public housing neighborhoods in the nation, the association ultimately opposed the bill because it would mandate green building requirements through the Green Communities program and the U.S. Green Building Council's (USGBC) Leadership in Energy and Environmental Design (LEED) rating system. In a letter sent to the House leadership and rank-and-file members, NAHB said that while the nation’s home builders have long been a strong advocate for the Hope VI program, the association opposes the use of exclusionary green rating tools as mandatory provisions in the bill. “As leaders in green building, NAHB believes this mandate is an obstacle to affordability; particularly for a program bound by strict statutory cost constraints,” the NAHB letter stated. “The explicit reference to specific rating tools in this legislation is overly restrictive, costly and could limit the number of projects that can be undertaken within the Hope VI program. Most importantly, the Green Communities and LEED rating tools are not accredited construction standards.” On Jan. 11, NAHB met with the majority staff of the House Financial Services Committee to try to reach a resolution on the green building mandate, but was unsuccessful. However, during floor consideration, NAHB worked with Rep. Shelley Moore Capito (R-W. Va.) to offer an amendment to address home builder concerns with the mandatory green building provisions in H.R. 3524. NAHB was prepared to support the bill if the Capito amendment was approved. However, it failed by a vote of 169 to 240 and the final bill passed by a 271 to 30 margin with the mandatory provisions intact. The debate now turns to the Senate. The Senate Hope VI bill does not contain any green building mandates, and NAHB will continue to fight against inclusion of mandates. To view the House bill, click here and type H.R. 3524 in the box in the upper center of the page. For more information, e-mail Elizabeth Odina at NAHB, or call her at 800-368-5242 x8570. States Taking the Lead to Limit Home ForeclosuresOver the past couple of months, states across the country have been moving quickly to limit the damage from the breaking wave of defaults and foreclosures among subprime borrowers who are struggling with or facing bigger monthly payments when their adjustable rate loans reset at higher interest rates. For instance, even before President George W. Bush on Dec. 6 announced a groundbreaking agreement with major lenders to temporarily freeze sub-prime interest rates that are set to rise, California Gov. Arnold Schwarzenegger unveiled a similar deal. Both initiatives are limited to borrowers who are current on their monthly payments but might not be able to afford their loans when they move to higher interest rates. Other states addressing the issue:
States Take Revenue Hit States are increasingly concerned about the impact of the housing market slowdown on their revenue collection. According to the National Conference of State Legislatures' annual State Budget Update, the stalled housing market is pinching state revenues in several ways. Arizona, Illinois and Maryland are among at least 13 states blaming skimpier sales tax returns on the decline of the housing sector. Declining home sales have left states with less sales tax revenue because most people who buy homes also purchase new appliances and carpeting and spend big money on home-improvements. Minnesota, New Hampshire and New Jersey are among at least a dozen states reporting declines in their real-estate transfer or recording taxes. Florida, which is particularly dependent on sales tax revenue since it does not have a state income tax, reported that the housing sector has directly or indirectly affected all major revenue sources. Both Arizona and California told NCSL the dip in the housing sector also affected personal income taxes. And Nevada is looking at an 18% drop in real property transfer tax revenue. For more information, e-mail Carlos Gutierrez at NAHB, or call him at 800-368-5242 x8279. Permit Process Remains Top Industry Concern Even in DownturnWorking down unsold housing inventory and positioning businesses for an eventual return to a healthier marketplace are obviously preoccupations for a majority of the nation’s builders, but a range of issues unrelated to today’s cyclical downturn remain formidable challenges, according to the most recent Critical Issues Survey conducted by NAHB’s State and Local Government Affairs department. Mortgage finance was the fastest growing concern for the executive officers at state and local home builders associations across the country who were asked to rate emerging and existing industry issues for the period of Sept. 2006 to Oct. 2007. The issue ranked 10th on the list of critical issues, but that was compared to a ranking of 51 in the survey for the previous year. The development approval and permitting process remained the top critical issue for the housing industry for the past year, according to the survey findings, the same position it held in the previous annual rankings. Development costs, which were third on the list last year, moved up to second place in the latest annual findings. Availability of affordable housing and impact fees/development exactions ranked third and fourth on the list, respectively, followed by public attitudes toward growth in fifth place. Ahead of mortgage finance and rounding out the top 10, the rankings found sprinkler requirement the sixth biggest concern for the industry, followed by codes regulation, builder-employer health care costs and zoning. For more information on the Critical Issues Survey, or to receive the full survey results, e-mail Alex Strong at NAHB, or call him at 800-368-5242 x8279. Illegal Worker Crackdown a Threat to Businesses, Report FindsA crackdown on illegal immigration threatens the competitiveness of businesses across the country, according to a recent report by the U.S. Chamber of Commerce on “Assessing the Economic Effects of State Laws Addressing Foreign-Born Unauthorized Workers.” The report focuses on the diverse strategies to regulate the employment of foreign-born unauthorized workers that have been adopted in Arizona, Colorado, Illinois, Oklahoma and Pennsylvania. Oklahoma’s law, among other things, makes it a felony to transport or conceal, harbor or shelter from detection persons who have entered the U.S. illegally; prohibits public contracts or subcontracts to employers who do not participate in E-Verify or the equivalent; and makes it a discriminatory practice to continue employing someone who is not authorized while discharging someone in the same job category who is authorized to work. As a result of the Oklahoma law, anecdotal evidence suggests that “home building contractors, many of whom are very dependent on foreign-born workers, are experiencing significant changes,” the report says. “Some report a significant rise in sub-contractor charges for certain construction jobs, such as dry walling and roofing, that attracted a high proportion of immigration workers,” the report says. “This appears to be the result of both a decline in the supply of available workers — some contractors said that they have lost as much as 40% of their crews — and an attempt by some sub-contractors to take advantage of the tight labor situation. “If true, construction costs, which are affected highly by labor costs, will rise and may add to the final cost of a dwelling or office.” No fewer than 1,562 pieces of legislation related to immigrants and immigration were introduced among the 50 state legislatures last year. Of these bills, 244 became law in 46 states. State legislators introduced almost three times as many immigration-related bills in 2007 as they did in 2006, when 84 bills were enacted. "What these state and local laws are requiring our builders to do, small business people, is to comply with the various immigration laws across all these counties," said NAHB Executive Vice President Jerry Howard. "It's very, very difficult. It literally can't be done."
For more information, e-mail Carlos Gutierrez at NAHB, or call him at 800-368-5242 x8279. Builders Cut Housing Starts Further in DecemberSingle-family housing starts declined 2.9% to a seasonally adjusted annual rate of 794,000 units in December as home builders continued to ratchet down production in an effort to reduce their inventories of new homes, the U.S. Commerce Department reported on Jan. 17. Meanwhile, a sharp reduction in the volatile multifamily sector contributed to an overall 14.2% decline in nationwide housing starts for the month to a one million-unit rate, the lowest since May of 1991. “The December numbers for single-family housing starts are right on the money in terms of what we’ve been forecasting and what our members have told us in recent surveys,” said NAHB President Brian Catalde. “Builders are acting appropriately to manage the number of units coming on the market and help restore better balance to the supply-demand equation.” “The 14.2% decline in overall housing starts for the month of December was due primarily to a 40% drop-off in the multifamily sector, which tends to display significant month-to-month volatility,” noted NAHB Chief Economist David Seiders. “On a quarterly basis, multifamily production actually has held up relatively well since the peak in the early part of 2006.” Multifamily housing starts declined 40.3% in December to a seasonally adjusted annual rate of 212,000. However, average multifamily starts for the final quarter of 2007 held at 321,000 units, above the averages for each of the previous three quarters. Overall permit issuance, which can be an indicator of future building activity, declined 8.1% to a seasonally adjusted annual rate of 1.07 million units in December. Single-family permits declined 10.1% to a 692,000-unit rate while multifamily permits were down 4.1% to 376,000 units. “Builders pulled fewer new permits and continued to work down their inventories of unused permits toward the end of last year,” Seiders noted. “This is all with an eye to repositioning themselves for later this year, when market conditions should warrant an increase in building activity. NAHB’s projected recovery process is contingent upon aggressive monetary stimulus by the Federal Reserve as well as key legislative advances in the areas of FHA reform and GSE oversight reform. A fiscal stimulus package also is warranted to help keep the economy on track in 2008.” Regionally, combined housing starts were down 3.3% in the South, 19.6% in the West, 25.8% in the Northeast and 30.8% in the Midwest. Permits fared relatively better, with declines of 7.8% in the South, 10.6% in the Midwest and 11.6% in the West, and a 1.6% increase in the Northeast. Year-end figures from the Commerce Department showed that overall housing starts declined 24.8% in 2007 to 1.35 million units. Single-family starts declined 28.7% last year to 1.05 million units, while multifamily production fell 8.4% to 308,000 units. Overall permit issuance for new homes and apartments declined 25.2% in 2007 to 1.38 million units, with a 29.4% decline on the single-family side to 973,000 units and a 12.5% drop in multifamily construction to 403,000 units. Webcast of NAHB Fall Construction Forecast Available Till Feb. 5 The webcast of the NAHB Fall Construction Forecast Conference held in Washington, D.C. on Oct. 24. is available for purchase through Feb. 5. The conference webcast includes panels of nationally recognized experts discussing economic trends, government policies, developments in the housing industry and the results from NAHB's recent surveys. Purchasers will receive unlimited access to the webcast archive though Feb. 5, as well as electronic copies of the conference handouts and presentation material. Purchasers can watch at their own pace, rewind, fast forward and review important sections. To Purchase the Webcast To purchase the webcast, visit www.nahb.org/cfcwebcast. For more information, contact Kate Carrigan at NAHB, or call her at 800-369-5242 x8244.
Want to Know the Housing Forecast for the Top 100 Metros? Find out in HousingEconomic.com’s 2008 to 2009 Metro Forecast (free preview). Get the metro forecast with in-depth analysis, overviews and downloadable Excel tables. To learn more, visit www.HousingEconomics.com.
Free NAHB Kit Gives Builders Back-to-Basics Tips to Navigate the Slowdown What was once expected to be a relatively mild housing slump following three years of record new home construction and sales has given way to a significant downturn. To help members navigate the uncharted waters of this slowdown, NAHB has compiled a comprehensive “Back to Basics” online toolkit — the best of the basics, the tried and true and the truly new. To access the toolkit, click here. To access the “Back to Basics” toolkit, you must be an NAHB member and have a login to www.nahb.org. To create a login, go to www.nahb.org/login or click on the log-in button on the main menu bar. For assistance, call the NAHB Member Service Center at 800-368-5242. Builder Confidence Virtually Unchanged in JanuaryBuilder confidence in the market for new single-family homes was virtually unchanged for a fourth consecutive month in January as mortgage-market problems and inventory issues continued to pose challenges, according to the latest NAHB/Wells Fargo Housing Market Index (HMI), which was released on Jan. 16. The HMI rose a single point to 19 this month following a downwardly revised reading of 18 in December and 19 readings in both October and November. "Builders are taking a realistic view of the continuing housing market correction and doing what they should to get inventories under control and restore greater balance to the supply and demand equation," noted NAHB President Brian Catalde. "The HMI has held within a narrow two-point range for the past five months, indicating that builder views of housing market conditions essentially haven't changed over that time," said NAHB Chief Economist David Seiders. "Builders are anticipating a time when market conditions will support an upswing in building activity — most likely in the second half of 2008." Derived from a monthly survey that NAHB has been conducting for more than 20 years, the NAHB/Wells Fargo HMI gauges builder perceptions of current single-family home sales, sales expectations for the next six months and the traffic of prospective buyers. Any number over 50 indicates that more builders view sales conditions as good than poor. In January, the index gauging current sales conditions for single-family homes remained unchanged at 19, while the index gauging sales expectations for the next six months rose two points to 28. The index gauging traffic of prospective buyers rose one point to 14. Regionally, the HMI results were mixed in January. The Northeast posted no change at 20, while the Midwest reported a two-point gain to 17 and the South registered a three-point gain to 23. The West posted a five-point decline to an HMI reading of 13. "We applaud the Federal Reserve's stated willingness to act aggressively to help stimulate the economy through further rate cuts in the coming weeks," noted Catalde. "Congress must also continue its efforts to help resolve the credit crunch and get housing back on track by moving quickly to get a Federal Housing Administration reform bill to the President's desk and accomplish much-needed oversight reform for the government-sponsored enterprises Fannie Mae and Freddie Mac." Webcast of NAHB Fall Construction Forecast Available Till Feb. 5 The webcast of the NAHB Fall Construction Forecast Conference held in Washington, D.C. on Oct. 24. is available for purchase through Feb. 5. The conference webcast includes panels of nationally recognized experts discussing economic trends, government policies, developments in the housing industry and the results from NAHB's recent surveys. Purchasers will receive unlimited access to the webcast archive though Feb. 5, as well as electronic copies of the conference handouts and presentation material. Purchasers can watch at their own pace, rewind, fast forward and review important sections. To Purchase the Webcast To purchase the webcast, visit www.nahb.org/cfcwebcast. For more information, contact Kate Carrigan at NAHB, or call her at 800-369-5242 x8244.
Want to Know the Housing Forecast for the Top 100 Metros? Find out in HousingEconomic.com’s 2008 to 2009 Metro Forecast (free preview). Get the metro forecast with in-depth analysis, overviews and downloadable Excel tables. To learn more, visit www.HousingEconomics.com.
Free NAHB Kit Gives Builders Back-to-Basics Tips to Navigate the Slowdown What was once expected to be a relatively mild housing slump following three years of record new home construction and sales has given way to a significant downturn. To help members navigate the uncharted waters of this slowdown, NAHB has compiled a comprehensive “Back to Basics” online toolkit — the best of the basics, the tried and true and the truly new. To access the toolkit, click here. To access the “Back to Basics” toolkit, you must be an NAHB member and have a login to www.nahb.org. To create a login, go to www.nahb.org/login or click on the log-in button on the main menu bar. For assistance, call the NAHB Member Service Center at 800-368-5242. NAHB Members Urged to Complete Economic Data Census FormThe U.S. Census Bureau is urging NAHB members who were sent economic census forms in December to complete the form by Tuesday, Feb. 12. The economic data, which is collected by the Census Bureau every five years, is used to support public policy and business decisions at the national and local level. The government also uses the data to help measure how the economy is performing. “Economic indicators we use all the time ― like gross domestic product (GDP), monthly retail sales and the producer price index ― all depend on the economic census for continued accuracy,” the Census Bureau said. This census is "indispensable to understanding America's economy," said Ben Benanke, chairman of the Federal Reserve. More than 4 million Census forms were sent to businesses of all sizes late last year. Federal law — Title 13. U.S. Code — requires that the forms are completed and returned to the Census Bureau. For more information or help completing the form, visit the Census Bureau help site at www.census.gov/econhelp, or call 800-233-6136. Webcast of NAHB Fall Construction Forecast Available Till Feb. 5 The webcast of the NAHB Fall Construction Forecast Conference held in Washington, D.C. on Oct. 24. is available for purchase through Feb. 5. The conference webcast includes panels of nationally recognized experts discussing economic trends, government policies, developments in the housing industry and the results from NAHB's recent surveys. Purchasers will receive unlimited access to the webcast archive though Feb. 5, as well as electronic copies of the conference handouts and presentation material. Purchasers can watch at their own pace, rewind, fast forward and review important sections. To Purchase the Webcast To purchase the webcast, visit www.nahb.org/cfcwebcast. For more information, contact Kate Carrigan at NAHB, or call her at 800-369-5242 x8244.
Want to Know the Housing Forecast for the Top 100 Metros? Find out in HousingEconomic.com’s 2008 to 2009 Metro Forecast (free preview). Get the metro forecast with in-depth analysis, overviews and downloadable Excel tables. To learn more, visit www.HousingEconomics.com.
Free NAHB Kit Gives Builders Back-to-Basics Tips to Navigate the Slowdown What was once expected to be a relatively mild housing slump following three years of record new home construction and sales has given way to a significant downturn. To help members navigate the uncharted waters of this slowdown, NAHB has compiled a comprehensive “Back to Basics” online toolkit — the best of the basics, the tried and true and the truly new. To access the toolkit, click here. To access the “Back to Basics” toolkit, you must be an NAHB member and have a login to www.nahb.org. To create a login, go to www.nahb.org/login or click on the log-in button on the main menu bar. For assistance, call the NAHB Member Service Center at 800-368-5242. Useful Links to Monitor Economic and Housing TrendsThe following are links to useful information from government agencies and NAHB that will enable you to monitor the housing market. To access the latest information available, simply click the links.
Webcast of NAHB Fall Construction Forecast Available Till Feb. 5 The webcast of the NAHB Fall Construction Forecast Conference held in Washington, D.C. on Oct. 24. is available for purchase through Feb. 5. The conference webcast includes panels of nationally recognized experts discussing economic trends, government policies, developments in the housing industry and the results from NAHB's recent surveys. Purchasers will receive unlimited access to the webcast archive though Feb. 5, as well as electronic copies of the conference handouts and presentation material. Purchasers can watch at their own pace, rewind, fast forward and review important sections. To Purchase the Webcast To purchase the webcast, visit www.nahb.org/cfcwebcast. For more information, contact Kate Carrigan at NAHB, or call her at 800-369-5242 x8244.
Want to Know the Housing Forecast for the Top 100 Metros? Find out in HousingEconomic.com’s 2008 to 2009 Metro Forecast (free preview). Get the metro forecast with in-depth analysis, overviews and downloadable Excel tables. To learn more, visit www.HousingEconomics.com.
Free NAHB Kit Gives Builders Back-to-Basics Tips to Navigate the Slowdown What was once expected to be a relatively mild housing slump following three years of record new home construction and sales has given way to a significant downturn. To help members navigate the uncharted waters of this slowdown, NAHB has compiled a comprehensive “Back to Basics” online toolkit — the best of the basics, the tried and true and the truly new. To access the toolkit, click here. To access the “Back to Basics” toolkit, you must be an NAHB member and have a login to www.nahb.org. To create a login, go to www.nahb.org/login or click on the log-in button on the main menu bar. For assistance, call the NAHB Member Service Center at 800-368-5242. Get Top-Level Survival Tips at ‘Executive Edge’ at IBS“Executive Edge,” a new program at the 2008 International Builders’ Show this year, is an exclusive program to meet the needs of top-level building industry executives that focuses on building and sustaining leadership, innovation and performance in the current housing market. The day-long session will be from 8:00 a.m.-6:30 p.m. Tuesday, Feb. 12 in the Orange County Convention Center in Orlando.
“Executive Edge” features business and industry speakers and panel discussions about the state of the industry, gaining a competitive advantage, building customer loyalty and more. The “Executive Edge” speaker sessions include:
To register for “Executive Edge,” or for additional information, visit www.buildersshow.com/ExecutiveEdge. Avoid the Lines, Register Online for IBS by Friday, Jan. 25 Online registration and the discounted “regular” registration fees for the 2008 International Builders’ Show in Orlando have been extended until Friday, Jan. 25. Register online and when you arrive at the Orange County Convention Center, simply bring a picture ID to any Advanced Registration Counter and pick up your badge. Builders' Tip: Reduce Cleanup With This Paintbrush Garage
Real painters clean their brushes every day. I am not a real painter, but I often seal end-grain cuts and back-prime siding and exterior trim with an oil-based primer. To save cleanup time at the end of the day, I keep my brush in a “brush garage” rig shown in the accompanying drawing.
Also, at the end of a long day of running siding and trim, it sure is nice not to have to deal with paint-thinner fumes and drips. — John Carroll, Durham, N.C. Tips & Techniques provided by Fine Homebuilding.
To request a reprint of this feature, e-mail Christina Glennon at Fine Homebuilding.
Set Yourself Apart With CGB Designation Join the ranks of the nation’s top building industry professionals with the Certified Graduate Builder (CGB) designation. The “Builder Assessment Review” (BAR) is your first step towards obtaining the CGB. This comprehensive assessment measures your expertise in the four key areas of the building industry: building technology, business and finance, project management and sales and marketing. Your results will show the areas where your knowledge is strongest and weakest and will help determine the courses required for you to obtain your CGB. To learn where the next BAR will be held, visit NAHB’s education listings, or call the Professional Designation Help Line at 800-368-5242 x8154.
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. To view these publications online, click here, or call 800-223-2665.
Free NAHB Kit Gives Builders Back-to-Basics Tips to Navigate the Slowdown What was once expected to be a relatively mild housing slump following three years of record new home construction and sales has given way to a significant downturn. To help members navigate the uncharted waters of this slowdown, NAHB has compiled a comprehensive “Back to Basics” online toolkit — the best of the basics, the tried and true and the truly new. To access the toolkit, click here. To access the “Back to Basics” toolkit, you must be an NAHB member and have a login to www.nahb.org. To create a login, go to www.nahb.org/login or click on the log-in button on the main menu bar. For assistance, call the NAHB Member Service Center at 800-368-5242. Computer Labs at IBS Showcase Builder TechnologyThe NAHB: Builder Software — Computer Labs at the 2008 International Builders' Show® and nextBUILD™ in Orlando next month will feature vendors demonstrating the latest in builder technology form-fitted to address the business needs of the builder. Vendors will be available for the labs ― 90-minute sessions held at various times on Feb. 13-15 in the Orange County Convention Center. The labs are interactive and vendor representatives are available for one-on-one assistance to answer any questions builders may have. The computer labs allow builders to test programs before they decide to make a purchase so builders can find the right technology for their businesses without going through the hassle and frustration of buying a product that’s not the right fit for their company needs. There is no requirement to purchase any products at the labs. NAHB staff also will conduct a computer lab to demonstrate and assist members with the many valuable resources available on the NAHB Web site, www.nahb.org. NAHB staff will be on hand to help members find information written by builders for builders on Biztools, NAHB’s business management tools Web pages, and navigate through NAHB’s revised “Back to Basics Toolkit for a Challenging Market” for key business tips and more. Go to 'My Show Planner' to Sign Up for the Labs To sign up for the computer labs, go to "My Show Planner" on the Builders’ Show Web site for dates and times. NAHB Has Nearly 300 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 nearly 300 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. Free NAHB Kit Gives Builders Back-to-Basics Tips to Navigate the Slowdown
What was once expected to be a relatively mild housing slump following three years of record new home construction and sales has given way to a significant downturn. To help members navigate the uncharted waters of this slowdown, NAHB has compiled a comprehensive “Back to Basics” online toolkit — the best of the basics, the tried and true and the truly new. To access the toolkit, click here. To access the “Back to Basics” toolkit, you must be an NAHB member and have a login to www.nahb.org. To create a login, go to www.nahb.org/login or click on the log-in button on the main menu bar. For assistance, call the NAHB Member Service Center at 800-368-5242. Madison’s Troy Gardens Builds a Sense of Community
The neighbors around Troy Gardens in Madison, Wis. originally wanted to preserve a 14-acre space that included community gardens and a place to walk their dogs. But those plans have been surpassed, and now, 12 years later, the Madison Area Community Land Trust (MACLT) has won a Livable Communities Award from AARP and NAHB for Troy Gardens, a 30-unit mixed-income co-housing community. The development’s six acres of open space includes an organic farm, community gardens, a restored prairie and a wildlife habitat. The community was built to be fully “livable.” Before construction, MACLT sought buyers with disabilities so that designs could be adapted to meet their specific needs. All units are wheelchair-ready and all primary pathways are accessible by wheelchair. Twenty of the 30 housing units are permanently affordable. Roadways are limited to the edges of the site and one-third of the homes back up onto the natural areas, away from parking and roads. Because the community has good access to public transportation and is located an easy bike ride from downtown, many residents only have one car — further minimizing the impact of vehicles on the development. “The key to Troy Gardens has been the profound spirit of cooperation between the neighborhood and all the community partners we have been working with on this project over the past 12 years,” said Greg Rosenberg, executive director of MACLT. “While we are quite proud to receive this award, it is important to realize that this project reflects the contributions of many people and organizations.”
MACLT won in the Livable Communities category of best developer up to 250 units. One of the key goals of the project was that it would help build community. To that end, Troy Gardens’ residents enjoy paths for walking, central courtyards and a summer youth gardening program with adult mentors. Plans include building a community center. For more information about the Livable Communities Award, e-mail Blake Smith at NAHB, or call him at 800-368-5242 x8583. For applications for the 2008 awards program, click here.
Find Out What the 45+ Housing Market Wants “Right House, Right Place, Right Time: Community and Lifestyle Preferences of the 45+ Housing Market,” available through BuilderBooks.com, will help 50+ housing professionals determine the right design, home features and amenities to attract boomer home buyers in their market. Margaret Wylde guides readers through the latest survey results on this important consumer group and explains what their responses mean for today’s and tomorrow’s home building industry. To view or purchase this publication online, click here, or call 800-223-2665. Learn About Multifamily Forecast, Marketing at IBSA multifamily economic forecast, a technical overview of fair housing accessibility requirements, a review of a dozen of the best examples of multifamily design and construction, multifamily in the 50+ market, adaptive reuse and a basic introduction to multifamily development are just some of multifamily education sessions available at the 2008 International Builders’ Show in Orlando next month. The sessions offer valuable information for those already in the multifamily sector as well as those considering diversifying into multifamily. Courses available in the multifamily track at IBS include: Wednesday, Feb. 13
NAHB Averts End to Census Bureau Remodeling DataAs a result of action by NAHB, the U.S. Census Bureau announced last week that it will continue through the end of this year to make quarterly reports on the amount spent on improving and maintaining residential structures in the U.S. After learning last year that the Census Bureau was planning to stop collecting data on residential remodeling and apply the annual $1 million cost of that effort to help improve coverage of the economy’s service sector, NAHB swung into action and alerted the agency of the importance of the remodeling information to the association’s economic research and policy analysis and to members who widely use the data to track developments in the industry. Included in its remodeling findings, the Census Bureau publishes an annual report that breaks spending down by type of job. It also supplies the Bureau of Economic Analysis with the number it uses to generate the remodeling component of residential fixed investment, which totaled $178 billion, or about 1.5% of the gross domestic product, in 2006. NAHB strongly advocated preserving the government’s remodeling data in letters, phone calls and meetings with members of Congress, the Census Bureau and the Department of Commerce. On Jan. 14, the Census Bureau informed NAHB that it had found enough savings elsewhere in its budget to keep producing residential remodeling statistics through 2008. However, it made no promises beyond 2008, and the victory may be only temporary. For more information, e-mail Paul Emrath at NAHB, or call him at 800-368-5242 x8449.
'How to Find a Professional Remodeler' Available at BuilderBooks.com "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 and what questions to ask.
To view or puchase this publication online, click here, or call 800-223-2665 to order.
Things You Can Do If the Slowdown Slowed You DownThe talk and questions around here of late have been about the housing slowdown and what it might be doing to my business. “Are you slow?” “Has the housing slowdown affected your remodeling business?” friends and acquaintances have asked. Well, even if you are a remodeler exclusively, it would be foolish to ignore the housing market and the potential effect it might have or be having on your business. Here in Southern Arizona, housing starts were down at the end of 2007 by about 50% from their peak in 2005. For 2008, housing starts are expected to be flat or just slightly higher than the year before. So what does that mean for remodeling? Last year at Dakota Builders, we wrapped up with about a 5% drop in business. I’m not sure if that’s attributable to the housing market slowdown, but the change is so slight, it’s not worth me spending the time to diagnose it. But there are a few generalizations worth noting for the year ahead. Similar to the government’s durable goods forecasting, when people don’t buy new houses, they don't buy other “new” purchases like new patios, new den conversions or redecorating either. Also, if no one is buying a new house, then some existing homes aren’t being sold, right? Now, given that a significant amount of remodeling is done just before and after the sale of a home, what might that mean for your business for the coming year? Here is something else to consider. When home owners start to question their equity situation and property values, they tend to pull back from major purchases. The home addition that seemed to make economic sense last year now becomes questionable in their minds. The equity home owners were going to use for the new master suite may have just tightened a bit and so forth. But, while this won’t be a year to break remodeling records, it also doesn’t have to be time to retreat and hibernate. There will always be prospective customers with needs independent of economic conditions ― maintenance and repair items that can’t wait, or long-term goals that outlive a one- or two-year cycle. Here are a few things you can do to maintain a reasonable amount of work.
The online resources, business tools, marketing and management tips, employee and company policy advice alone are worth multiple times your membership fees, and it’s all there for the asking. Take advantage of your local membership opportunities. Make every meeting an occasion to chase leads, build relationships and renew or strengthen old ones. Greg Miedema, CGR, CAPS, is president of Dakota Builders in Tucson, Ariz. He is the founder of his local Remodelors™ Council, a member of the NAHB Remodelors™ Council Board of Trustees and served as the chairman of the Southern Arizona Home Builders Association (SAHBA), the first remodeler to chair the association. The SAHBA also named Dakota Builders, Inc. the Remodelor™ of the Year in 1998, 1999, 2000 and 2003. For more information, e-mail Miedema, or visit the Dakota Builders Web site at www.dakotabuildersinc.com.
'How to Find a Professional Remodeler' Available at BuilderBooks.com "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 and what questions to ask.
To view or puchase this publication online, click here, or call 800-223-2665 to order.
Do You Know a Remodeler Who Deserves Recognition?Through the Remodeler of the Month award, the NAHB Remodelers are honoring remodelers who demonstrate strong business practices, community service or industry involvement. If you know a member who fits these criteria, you can nominate them or encourage them to nominate themselves. What a great way to highlight your business or honor an accomplished remodeler! Winners will be featured in Qualified Remodeler magazine and in Nation’s Building News. To qualify:
'How to Find a Professional Remodeler' Available at BuilderBooks.com "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 and what questions to ask.
To view or puchase this publication online, click here, or call 800-223-2665 to order.
Quality, Not Speed, Important to Modular Home Buyers
The report, “Factory-Built Construction and the American Homebuyer: Perceptions and Opportunities,” provides a glimpse into the minds of potential home buyers and offers modular and panelized home builders tips on how to plan effective marketing strategies. The report is based on an in-depth survey of almost 13,000 consumers. The report was prepared by PATH and HUD’s Office of Policy Development and Research and is available free on the PATH Web site (www.pathnet.org) by clicking here. Survey participants indicated their income, level of education, familiarity with four types of housing ― site-built, modular, panelized and manufactured ― and their attitudes about them. The information was then analyzed to determine what factors influence consumer attitudes. Builders can use this information when marketing all four types of homes. Experiencing Homes Helps Sway Buyers The survey found that people who had lived in a certain type of home were more likely to consider purchasing that type of home again. Based on that finding, the report advises builders to use marketing strategies that reinforce first-hand exposure to the homes — visits or overnight stays — rather than relying upon photographs and images.
Photos, however, are useful when providing side-by-side comparison images of site-built homes versus panelized or modular homes. The image comparison helps consumers overcome misconceptions about the look and quality of systems-built homes, the report said. While the marketing strategies in the report primarily address marketing panelized and modular homes, an appendix ― “Likelihood to consider purchasing site-built homes by census region” — can help builders, including site-built builders, identify their clientele and target their most promising demographic. Attend the Modular and Panel Plant Tour May 18-20 Go behind the scenes of the modular and panelized home building industries at the 2008 Modular and Panel Plant Tour in Harrisburg, Pa. on May 18-20. Tour several plants and network with modular and panelized professionals from across the country. For more information, or to register, visit www.nahb.org/PlantTour. Courses Provide Training on Proper Roof InstallationThe Tile Roofing Institute (TRI), a member of NAHB’s Concrete Home Building Council, is expanding a certification program designed to help contractors, consultants, manufacturers and owners learn more about proper tile roof installation. The TRI Certification Programs address broad-based tile roofing practices and techniques that impact estimating, planning and execution of commercial and residential projects. The two separate one-day courses also look at regional practices in each market where the training is being conducted. TRI’s one-day “Installer Certification” program provides training on how to install tile roofs in compliance with current code requirements. The course is based on the ICC-ES approved “Installation Manual for Moderate Climate Regions.” The TRI Certified Installer designation | ||||||||||||||||||||||||||||||||||||||||||