Nation's Building News Online: December 7, 2009Print All Articles Text Version |
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Pavilion at IBS to Help NAHB Members Line Up FinancingResponding to the severe financing challenges that many NAHB members continue to experience when they attempt to line up credit for viable new and existing projects, the upcoming International Builders’ Show (IBS) in Las Vegas will be offering a Partnership Pavilion where association members can discuss their funding needs with representatives from a variety of capital sources and financing advisors. “The severe lack of available credit for acquisition, development and construction (AD&C) financing constitutes a significant threat to thousands of home building and development companies, as well as to the immediate and long-term future of the housing industry,” said NAHB Chairman Joe Robson. “Given the current situation, an innovative approach was called for to help our members find new sources of debt and equity financing while reinvigorating the traditional sources of housing credit, and that is the aim of the Partnership Pavilion,” Robson said. With roughly 80% of all new housing in the U.S. built by NAHB members, and with 95% of the association’s members acting as the key decision makers within their business, “It just makes sense to provide a confidential setting within the IBS for such professionals to meet one-on-one with potential new backers for their projects,” he said. The Partnership Pavilion will be centrally located, with private office space and concierge services. NAHB members who are interested in participating in the Partnership Pavilion at the IBS need to qualify prior to the show by providing specific information on their proposed projects. NAHB is currently developing an online form for this purpose; to be notified when this form is available, click here. Several funding sources will be reviewing the project information submitted by builders and developers, and those who are interested in exploring a given deal will be able to schedule a meeting at the pavilion with the designated applicant. The pavilion will be open on Tuesday, Jan. 19 from noon to 5:00 p.m.; on Wednesday, Jan. 20 and Thursday, Jan. 21 from 9:00 a.m. to 5:00 p.m. and on Friday, Jan. 22 from 9:00 a.m. to noon. Click here to view a brief video in which NAHB CEO Jerry Howard explains how the association is pursuing this unprecedented effort to help get credit flowing back to housing by helping its members find and reinvigorate new and traditional sources of housing finance. For more information, e-mail David Ledford at NAHB, or call him at 800-368-5242 x8265. Read Our International Builders' Show Preview on Dec. 14Nation's Building News will publish a special issue on Dec. 15 highlighting the upcoming 2010 International Builders' Show in Las Vegas, the largest residential and light commercial trade show in the world. The issue will feature events, courses, schedules, products and more. IBS will be at the Las Vegas Convention Center on Jan. 19-22. For more information, visit the International Builders' Show Web site at www.BuildersShow.com. NAHB Seeks Member Input on Housing Finance ReformWith Congress gearing up to consider restructuring the housing-related government sponsored enterprises (GSEs) Fannie Mae, Freddie Mac and the Federal Home Loan Banks, NAHB is now seeking input from association members on reforming the housing finance system. Both Fannie Mae and Freddie Mac are now in conservatorship and the housing finance market remains in turmoil. To provide a perspective on the possibilities for GSE reform and to educate home builders and others about what could be in store for the housing finance market, NAHB held a groundbreaking Webcast on Oct. 27 in which numerous proposals for revamping the GSEs’ regulatory structure were discussed. The possibilities range from complete privatization of the entities, to complete government control, to a public-private combination that’s somewhere in between. To familiarize themselves with the issue, NAHB members can go to the Webcast link above, where they will also find various related materials, or click here to read a related story in Nation’s Building News. Upcoming changes to the regulatory structure of the housing-related GSEs could substantially impact the availability and financing costs of home mortgages. This issue could very well determine the resilience of today’s fragile housing recovery as well as the future stability of the market. NAHB is encouraging members to provide responses to the following questions so that it can accurately present industry views in its upcoming lobbying efforts in Congress:
Rock-Bottom Mortgage Rates Tempt Hesitant Home ShoppersGreg McBride, senior financial analyst at Bankrate.com, said in an interview that two main catalysts are driving mortgage rates lower. First, the Federal Reserve has indicated it plans to keep short-term interest rates low for an extended period to help the economy along. The second factor is continued strong demand for government-issued debt despite fears that unprecedented spending to combat the financial crisis will eventually spark a bout of inflation. “The demand is not just from other central banks buying Treasury bonds,” the analyst said. “Institutional investors and hedge funds are looking to protect their year-to-date profits” by moving cash into Treasury bonds, pushing prices up and yields down. Mortgage rates are linked to the yield on the 10-year Treasury note. The Fed’s program to buy up to $1.25 trillion of mortgage-backed securities, which has been extended through the first quarter, has also contributed to easing rates. McBride estimated the Fed is buying about 80% of newly issued agency mortgage-backed securities. Meanwhile, more than 90% of all home loans this year have been purchased by government entities such as Fannie Mae, Freddie Mac and the FHA. This support has been keeping mortgage rates artificially low, but rates could jump when it is finally removed, some economists worry. However, McBride thinks the Fed will extend its program to buy mortgage-backed securities to nurture the nascent housing recovery. “The Fed can’t go full speed to a dead stop in four months without a spike in interest rates,” he said. “The economy is too fragile for the Fed to risk a rate spike.” Other signs that rates may head higher are if institutional investors start unloading government debt for riskier assets, or a general cooling to Treasury bonds. (www.marketwatch.com)
Mortgage Rates Hit Lows, But Will It Last?It’s hard to tell, but prospective home buyers shouldn’t count on mortgage rates staying at their current lows because the lending landscape is likely to change next year. In September, the Fed said it would gradually wind down its mortgage-backed securities purchase program, ending it by March 30. This has some mortgage lenders worried. In its weekly mortgage survey Thursday, more than 60% of Bankrate.com’s panel of experts predicted that rates will move higher over the next 30 to 45 days. How much higher is anyone’s guess. (www.chicagotribune.com)
In Real Estate, Nesting Is the New FlippingA proportionately bigger share of the home construction dollar — 20% more during the first three quarters of 2009 compared with the same period last year — now goes to home improvements, according to the U.S. Census Bureau. In October, remodeling spending increased 8.7% compared with September to an annualized rate of $114 billion. Jeff Hunt, vice president of Houston-based Strong remodelers, said that after a long slow period starting early last fall, his business took off. “About Aug. 1, all the stuff in our pipeline broke loose all at once, and since then we’ve been so busy we can’t see straight.” Most of his projects are for nesters planning to stay in their home. “Many people consider buying to get more space but when they look at all the costs they figure it makes sense to stay put,” said Hunt. “They say, ‘I like my house, my neighbors, the schools.’ Of course they do. That’s why they bought the house in the first place.” “Some remodelers are receiving more calls for bids, but it’s still extremely difficult to close a sale,” said Greg Miedema, a Tucson, Ariz.-based remodeler. The industry may be slack because most buyers remodel when they purchase their new home, and homes sales are down about 30% from their peak. And there are fewer people who can afford to upgrade their existing homes. But those who can, “They say, ‘if I’m going to stay here another five or 10 years, I’m going to have it the way I want,’” said Miedema. Susan Marvin, president of Marvin Windows and Doors, said that the proportion of replacement windows her company sells versus windows for new home construction has flip-flopped. “Our replacement window line has outperformed our line meant for the new construction market,” she said. “Replacement window sales are up by double digits, and the new construction windows are down by double digits the past few years.” (www.cnnmoney.com)
Green Homes Growing Red HotThe home building industry is struggling, but the green home sector is booming. The number of homes winning the government’s Energy Star designation since the program began in 1995 has crossed the one million mark. Despite an overall housing slump, 75,000 have been added so far this year. Last year, Energy Star homes accounted for nearly 17% of all single-family homes built, up from 12% in 2007. The Energy Star label means a house is at least 20% more energy-efficient than other new homes. “The interest in green building is driven by consumers. More people are doing it to save money on their heating bills,” says Kevin Morrow of NAHB, whose green certifications jumped from 99 homes last year to at least 564 this year. Existing homes are going green, too: 68% of people surveyed by USA TODAY took steps this year to make their homes more energy-efficient. Of those who did, 71% said it was “mostly to save money” and 26% “mostly to save the environment.” (www.usatoday.com)
In Housing Bust, Small Jobs Keep Contractors AfloatTo survive their worst real estate crisis in more than a decade, builders in middle Tennessee who once built $2 million custom-designed homes are finding themselves installing floor tile and insulation. Most say their income has been significantly reduced, but they are making do with smaller projects, while keeping themselves and their subcontractors busy. Permits for home construction in the Nashville area are down about 30% so far this year compared with last year and have shown little sign of improvement in recent months. Things have gotten so bad, some home builders are even willing to do skylights, said John Sheley, executive vice president of the Home Builders Association of Middle Tennessee. “It’s not a lot of money, and it has a lot of liability because you’re drilling a hole in the roof,” he said. “That just tells you (builders) are taking smaller jobs.” Home owners, meanwhile, are still spending money on their renovations, taking advantage of lower material costs during a recession, said Kay Russell, who owns Murray Russell & Associates in Hendersonville, Tenn., with her husband, Bobby. The cost of framing lumber, for example, has fallen 30% from four years ago, according to NAHB. Granite countertops are only about 15% more expensive than Formica, Russell said. Remodeling, she said, “has meant survival.” The family business, which previously built $750,000 to $1 million homes, now is working on a $7,500 bathroom remodel that will add marble countertops and replace cast-iron piping and a rotten floor joist. Some of her clients have been willing to pay significantly for a home remodel, including one home owner who paid $100,000 for an environmentally friendly retrofit that included a new geothermal heating system. (www.tennessean.com)
Michigan’s Population Declines Pummel Economy, Housing MarketMichigan’s economic collapse is leading thousands of residents to leave in search of more fertile economic ground. The state’s unemployment rate in October was 15.1%. Michigan and Rhode Island were the only states whose populations declined from 2006 to 2008, according to a report from Michigan State University. The U.S. Census Bureau estimates that Michigan’s population in 2008 was about 10 million, up 0.7% from 2000. However, the U.S. population has increased 8% since 2000. The impact of the population exodus on the housing industry is significant. The 63 counties that lost population between 2005 and 2008 collectively lost about $2.49 billion in equity, according to the report. The state’s 83 counties collectively lost $2.42 billion in home equity during that period. “These property-value losses associated with population loss alone are quite substantial,” the report said. “These losses add another layer of constraint on the financial health of property owners and on future prospects for economic growth.” (www.annarbor.com)
Families Shouldn't Overlook Home Buying OpportunitiesBy Eric Belsky Studies suggest that the decision to buy a home is often made in part by looking at the recent trend in house prices and extrapolating into the future. Just as this led many to buy near the top, it could discourage some from buying close to the bottom of home prices in their area. This would be unfortunate. Many observers suggest that home prices are at or near the end of their price declines. In areas where house prices have fallen a great deal and are showing signs of stabilizing or moving up, now may be a good time to buy. This could mean getting in at or near the bottom in many markets. In addition, interest rates are at historic lows and, through the spring buying season of 2010, a tax credit is available to first-time buyers as well as repeat buyers who have been in their homes for at least five years. Therefore, home sales are increasing nationally despite gloomy economic news and high unemployment. For their part, policy makers are pondering what to do about a proliferation of foreclosed two- to four-unit rental properties. Many people who lose their homes to foreclosure will have a hard time getting a mortgage and could be interested in renting apartments in these small rental complexes. Policy makers should consider ways to help real estate companies aggregate such properties. Managing these properties can be challenging, and larger firms may have expertise that small rental property owners can learn from. This could result in fewer small rental properties ending up in foreclosure again. Helping families think through how to make choices about homeownership is important and involves recognizing both the potential rewards and risks of owning. Given careful consideration, families can make decisions likely to benefit them, and policy makers can work towards viable solutions even during challenging economic times. Eric Belsky is exectuive director of the Joint Center for Housing Studies at Harvard University. Anti-Fraud Provisions Included in Tax Credit ExtensionThe Worker, Homeownership and Business Act of 2009 — legislation that was signed into law last month by President Obama to extend the home buyer tax credit and make it available to a broader range of potential buyers — includes new provisions supported by NAHB aimed at preventing the credit from being used fraudulently. “The home buyer tax credit has already proven to be a successful policy that has benefitted more than 1.4 million entry-level buyers and helped to mitigate the foreclosure crisis,” said NAHB Chairman Joe Robson. “We are very pleased that the new law includes important safeguards to prevent abuse while extending and enhancing this critical program that will spur job growth and provide a much-needed boost to the housing market and overall economy.” The new law extends the $8,000 credit for first-time home buyers for sales contracts entered into by April 30, 2010 and closed on by June 30. It has been expanded to include a new $6,500 credit for owners of existing homes who are purchasing a new principal residence. Existing home owners can claim the $6,500 tax credit if they have been residing in their principal residence for five consecutive years out of the last eight. NAHB estimates that the extended and expanded home buyer tax credit will generate 180,000 additional sales; and create 211,000 jobs, $9.6 billion in wage income, $7.2 billion in small and corporate business income, $5 billion in federal taxes and $1.9 billion in state and local taxes. In order to claim the home buyer tax credit, home buyers must complete a HUD-1 form or provide other proof of a settlement closing to show that the claim is for the purchase of a completed principal residence. NAHB has provided recommendations to the Department of Treasury on alternative proof of settlement in cases where a HUD-1 form is not used. The IRS is expected to have additional information soon. Further, no taxpayer under the age of 18, unless they are married to someone over 18, may claim the tax credit and no taxpayer can claim the credit if they are named as a dependent on someone else’s tax return. The law also gives the IRS increased authority to use previously filed income tax return information to catch tax cheats. NAHB has supported IRS efforts to better administer the program and association staff members have met with Treasury and IRS officials to seek additional guidance on rules needing further clarification. For example, it is unclear if a couple is eligible to take the $6,500 repeat home buyer tax credit if only one spouse has lived in a home for five consecutive years out of the last eight. For complete details on the home buyer tax credit, including FAQ sections on the $8,000 first-time credit and $6,500 repeat credit, log on to NAHB’s consumer-oriented Web site at www.federalhousingtaxcredit.com. For further information, e-mail Greg Brown at NAHB, or call him at 800-368-5242 x8421, or contact Robert Dietz, x8285. Senate Begins Floor Debate on Health CareThe Senate last week began floor debate on health care reform bill H.R. 3590. The Congressional Budget Office estimates that the Senate package would cost $849 billion over 10 years and would reduce the federal budget deficit by $130 billion over the same period while expanding medical coverage to 94% of Americans. The Senate plan contains several notable differences from the bill that was recently passed by the House by a narrow 220 to 215 margin. The Senate legislation would impose a surtax on high-cost “Cadillac” insurance plans to help finance coverage of the uninsured, while the House bill seeks to raise revenue by charging a surtax on taxpayers with adjusted gross incomes of $500,000 for single taxpayers and $1 million for joint filers. The two chambers differ in terms of abortion restrictions and the scope of the public option. The Senate bill is far less burdensome to small businesses than its House counterpart. The House bill contains a broad employer mandate that the Senate bill does not. However, the Senate package would levy financial penalties on most firms that fail to provide health coverage and also would require all individuals to carry health insurance. As the Senate bill currently stands, it does not have the necessary 60 votes to move forward. As a result, a number of amendments will be offered and debate will continue in an effort to pass the legislation by the end of the year. Senators must compromise on issues such as the public option, abortion and immigration. The following is a breakdown of key areas of the Senate health plan of interest to NAHB members:
For more information, e-mail Carlos Gutierrez at NAHB or call him at 800-368-5242 x8242. House Votes to Permanently Extend Estate TaxBy a vote of 225 to 220, the House on Dec. 3 voted to approve H.R. 4154, the Permanent Estate Tax Relief for Families, Farmers and Small Businesses Act of 2009. The legislation would make permanent the 2009 estate tax provisions, including a $3.5 million individual exemption ($7 million per couple) and a 45% tax rate on amounts above those exemption levels. The tax would not be indexed for inflation. The vote came less than a month before current law would totally eliminate the estate tax in 2010 and then restore it in 2011 with a higher rate and lower exemption. Prior to the House vote, NAHB sent a letter to lawmakers in support of H.R. 4154. “While NAHB members would prefer outright repeal of the estate tax, our members support this legislation as an important step forward toward that ultimate goal,” the letter said. How and when the Senate will deal with the estate tax issue is unknown at this time. To view the legislation, click here and enter H.R. 4154 in the box in the upper center of the screen. For more information, e-mail Greg Brown at NAHB, or call him at 800-368-5242 x8421. FHA to Tighten Rules for BorrowersThe Federal Housing Administration will tighten the rules for its mortgage borrowers as it seeks to bolster the finances of the agency, HUD Secretary Shaun Donovan told the House Financial Services Committee on Dec. 2. Specifically, the FHA has proposed increasing the up-front cash and minimum credit scores required of borrowers who receive FHA-backed mortgages, and to limit seller assistance to buyers, including paying closing costs and giving free upgrades. The aim is to increase the amount that borrowers invest in the homes they buy in order to discourage them from defaulting on loans or walking away from mortgages in markets where home values are declining and the loan goes “underwater,” with the amount exceeding the value of the home. With the FHA now backing about 30% of all mortgages for home purchases and 20% of refinancing loans, tighter risk controls are needed today than prior to the housing downturn when the agency had a much smaller volume of business, Donovan said. To date, however, FHA officials have not yet decided how much to increase up-front cash requirements for borrowers.
In addition, the agency is reviewing whether to increase the monthly insurance premiums charged to borrowers. Meanwhile, to protect itself against the riskiest borrowers, the FHA has decided "for the time being" to raise its minimum credit score requirements for new borrowers — but again, what the new threshold should be is still being determined. To read Donovan’s testimony, click here. The proposed changes would have a significant impact on borrowers' ability to obtain FHA-insured loans. However, several of the proposals would require changes in the law, and the HUD secretary did not provide a timeline for the implementation of any of the changes he mentioned. Going forward, NAHB will continue to interact with HUD and the FHA to ensure that viable mortgage borrowers are not prevented from using this essential financing assistance. For more information, e-mail Bill Renner at NAHB, or call him at 800-368-5242 x8597. Housing Affordability Running Near Record HighBolstered by affordable interest rates and low house prices, housing affordability in the latest NAHB/Wells Fargo Housing Opportunity Index (HOI), which was released on Nov. 19, continued running at close to record levels for the third straight quarter. The index started being compiled 18 years ago. The HOI showed that 70.1% of all new and existing homes sold in the third quarter of 2009 were affordable to families earning the national median income of $64,000, down slightly from 72.3% during the previous quarter but up significantly from 56.1% in the third quarter of 2008. "At a time when housing is at its most affordable, we applaud the recent actions taken by Congress and President Obama to stimulate housing by extending the federal tax credit beyond its Nov. 30 deadline and expanding it to a wider group of eligible home buyers," said NAHB Chairman Joe Robson. "With interest rates now lower than last quarter,” he said, “the tax credit will encourage even more home buyers to enter the market and help stabilize housing and the economy by creating new jobs, stimulating home sales, reducing foreclosures, cutting excess inventories and stabilizing home prices." Indianapolis was the most affordable major housing market in the country during the third quarter, a position it has held for 17 consecutive quarters. Almost 95% of all homes sold there were affordable to households earning the metro area's median family income of $68,100. Also near the top of the list of the most affordable major metro housing markets were Youngstown-Warren-Boardman, Ohio-Pa., and three Michigan metropolitan areas, Detroit-Livonia-Dearborn; Warren-Troy-Farmington Hills; and Grand Rapids-Wyoming. Five smaller housing markets posted even higher affordability scores than Indianapolis, with Kokomo, Ind., outscoring them all. There, 96.7% of homes sold during the third quarter of 2009 were affordable to median-income earners. Other smaller housing markets near the top of the index included Springfield, Ohio; Bay City, Mich.; Mansfield, Ohio; and Elkhart-Goshen, Ind. New York-White Plains-Wayne, N.Y.-N.J., was the nation's least affordable major housing market during the third quarter of 2009, the area's sixth consecutive appearance at the bottom of the list. Only about 19% of all homes sold in that market during the third quarter were affordable to those earning the area's median income of $64,800. The other major metro areas near the bottom of the affordability scale included San Francisco; Honolulu; Santa Ana-Anaheim-Irvine, Calif.; and Nassau-Suffolk, N.Y. San Luis Obispo-Paso Robles, Calif. was the least affordable of the smaller metro housing markets in the country during the third quarter. Others at the bottom of the chart included Ocean City, N.J.; Santa Cruz-Watsonville, Calif.; Santa Barbara-Santa Maria-Goleta, Calif.; and Brownsville-Harlingen, Texas. Web Site One-Stop Shop for Tax Credit Info Builders and other industry professionals can help spur home sales by referring prospective home buyers to www.federalhousingtaxcredit.com. The NAHB Web site provides detailed information on both the extended $8,000 first-time home buyer tax credit and the new $6,500 repeat buyer tax credit recently signed into law by President Obama. Consumers can use the Web site to find information on both tax credits — including frequently asked questions and links to social media sites that provide updated information as it becomes available. It also includes a number of home-buying resources for consumers. Industry professionals are encouraged to highlight the tax credit Web site when marketing to their potential home buyer market. Webcast of Fall Construction Forecast Conference Now Available An on-demand webcast of the 2009 Fall Construction Forecast Conference held at the National Housing Center in Washington, D.C., on Oct. 21 is now available for purchase. The webcast fee includes access to the webcast archive and electronic copies of the conference handout and presentation materials. Multiple viewers in one office can purchase the webcast for one fee. The on-demand webcast also gives viewers complete flexibility in their viewing experience — pause, skip forward and backward, or jump directly to your topics of interest. The webcast is available for $250. To view the webcast schedule, topics of discussion and a list of the presenters, click here. To purchase and download the webcast, click here. Want to Know the Housing Starts Forecast Through 2017? Find out in HousingEconomics.com's Long-Term Forecast. Subscribe and get downloadable Excel tables that feature the housing starts forecast, gross domestic product (GDP), demographics and more. To learn more, visit www.housingeconomics.com. Record Low Mortgage Rates Help Spur Home SalesAdding to good news for prospective home buyers, mortgage interest rates last week continued to drift downward for the fifth consecutive week, reaching new record lows. In Freddie Mac’s Primary Mortgage Market Survey for the week ending on Thursday, Dec. 3, the 30-year fixed-rate mortgage averaged 4.71%, down from 4.78% the previous week and 5.53% for the same time a year earlier. This was its lowest level since Freddie Mac began its weekly survey in 1971. The 15-year fixed-rate mortgage dropped to 4.27% last week, down from an average of 4.29% the week before and 5.77% a year earlier. This was its lowest since Freddie Mac started tracking it in 1991. So far this year, interest rates on 30-year and 15-year fixed mortgages have averaged one percentage point below their respective averages in 2008. “Low mortgage rates and the cumulative decline in house prices have contributed to an extremely affordable housing market and helped spur home sales this year,” said Frank Nothaft, Freddie Mac’s chief economist. “For instance,” he said, “total new and existing home sales in October were 36% higher than their January low on a seasonally adjusted, annualized rate, according to the U.S. Census Bureau and the National Association of Realtors® (NAR). “The NAR also reported that pending existing home sales rose for the ninth straight month in October, representing the longest consecutive gain since the series began in 2001. Seven of those months were the most affordable on record dating back to 1971, based on the NAR’s Housing Affordability Index,” Nothaft said. Sales of new single-family homes in October were at a seasonally adjusted annual rate of 430,000, which was 6.2% above the revised September rate of 405,000. Existing-home sales — including single-family, townhomes, condominiums and co-ops — surged 10.1% in October to a seasonally adjusted annual rate of 6.1 million, up from a downwardly revised pace of 5.54 million in September. Construction Unemployment Nears 20% Meanwhile, employment data for November released by the Bureau of Labor Statistics on Dec. 4 showed that 19.4% of the nation’s construction workers are now unemployed, despite a slowing in the number who lost their jobs. Figures showed that 27,000 construction workers lost their job in November, compared to 56,000 in October. Among those losing jobs in November, 86% (23,900) worked in nonresidential construction while 3,800 worked in home building. Since January 2007, residential and nonresidential construction employment has declined by more than 1.7 million jobs. Builder Confidence Continued to Sag in Early NovemberSurveyed in November for the NAHB/Wells Fargo Housing Market Index (HMI) prior to enactment of an extension and expansion of the home buyer tax credit, single-family home builders remained guarded in their assessment of the marketplace. The index showed builder confidence last month unchanged from October’s low level, with the overall HMI holding flat at 17 and the component gauging sales expectations for the next six months rising two points to 28. "When the HMI survey was conducted at the beginning of last month, home builders were facing the imminent expiration of the $8,000 first-time home buyer tax credit at the end of November, with no guarantee that this valuable buyer incentive would be extended," said NAHB Chairman Joe Robson. "Now that Congress has done its job by both extending the tax credit into next year and expanding eligibility for it among potential buyers, we are very hopeful that this will have the intended stimulative effect on sales activity going forward." "November’s report confirmed that home builders and buyers were in something of a holding pattern early in the month as the anticipated expiration of the tax credit drew near and congressional action had not yet taken place to address this," confirmed NAHB Chief Economist David Crowe. "Meanwhile, the challenges that builders are facing in obtaining credit for new housing production and appropriate appraisal values for their homes continued to worsen. These issues still present a very worrisome problem that is weighing down prospects for a sustained housing market recovery." In a special questions section of the HMI survey, fully one-third of the respondents indicated that they had recently lost sales due to low appraisal values, up from 25% in a survey conducted in July. Builders reported that low appraisal values are often tied to the use of foreclosed and distressed properties as "comps" in the appraisal process. Derived from a monthly survey that NAHB has been conducting for nearly 20 years, the HMI gauges builder perceptions of current single-family home sales, sales expectations for the next six months and the traffic of prospective buyers. Scores for each component are then used to calculate a seasonally adjusted index where any number over 50 indicates that more builders view sales conditions as good than poor. In the November index, the components gauging current sales conditions and the traffic of prospective buyers remained unchanged, at 17 and 13, respectively. On a regional basis, HMI results were somewhat mixed in November. The South recorded no change, at 17, while the Midwest posted a three-point decline to 14, the Northeast registered a six-point decline to 19 and the West bounced back five points from a big dip in October to finish at 19. Web Site One-Stop Shop for Tax Credit Info Builders and other industry professionals can help spur home sales by referring prospective home buyers to www.federalhousingtaxcredit.com. The NAHB Web site provides detailed information on both the extended $8,000 first-time home buyer tax credit and the new $6,500 repeat buyer tax credit recently signed into law by President Obama. Consumers can use the Web site to find information on both tax credits — including frequently asked questions and links to social media sites that provide updated information as it becomes available. It also includes a number of home-buying resources for consumers. Industry professionals are encouraged to highlight the tax credit Web site when marketing to their potential home buyer market. Webcast of Fall Construction Forecast Conference Now Available An on-demand webcast of the 2009 Fall Construction Forecast Conference held at the National Housing Center in Washington, D.C., on Oct. 21 is now available for purchase. The webcast fee includes access to the webcast archive and electronic copies of the conference handout and presentation materials. Multiple viewers in one office can purchase the webcast for one fee. The on-demand webcast also gives viewers complete flexibility in their viewing experience — pause, skip forward and backward, or jump directly to your topics of interest. The webcast is available for $250. To view the webcast schedule, topics of discussion and a list of the presenters, click here. To purchase and download the webcast, click here. Want to Know the Housing Starts Forecast Through 2017? Find out in HousingEconomics.com's Long-Term Forecast. Subscribe and get downloadable Excel tables that feature the housing starts forecast, gross domestic product (GDP), demographics and more. To learn more, visit www.housingeconomics.com. Housing Starts Decline in OctoberNationwide housing production fell 10.6% to a seasonally adjusted annual rate of 529,000 units in October as builders awaited word on whether the home buyer tax credit would be extended, according to data released on Nov. 18 by the U.S. Commerce Department. “As of October, the deadline for starting a home that could be completed in time for purchasers to take advantage of the $8,000 first-time home buyer tax credit had come and gone, and builders had no clear sign of whether Congress would extend the credit beyond the end of November,” explained Joe Robson, chairman of NAHB. “However,” he said, “now that Congress has wisely moved to extend the tax credit into next year and expand its eligibility to more buyers, we hope and expect that this will have a substantially stimulative effect on home sales and help keep the housing market solidly on the road to recovery.” “Builders were clearly in a holding pattern in October as the future of the home buyer tax credit hung in the balance,” agreed NAHB Chief Economist David Crowe. “This is not surprising, given the fact that the tax credit had been the primary driver of construction and sales in the summer and early fall. However, the fact that permits for single-family construction remained roughly unchanged in the month is an indication that builders are preparing for the possibility of more favorable housing market conditions in the future. That said, significant challenges continue to confront builders with regard to obtaining financing for viable projects and appropriate appraisal values on newly built homes.” Single-family housing starts declined 6.8% in October to a seasonally adjusted annual rate of 476,000 units, the slowest pace since May of this year. Meanwhile, multifamily housing starts fell by a dramatic 34.6% to a seasonally adjusted annual rate of just 53,000 units — the slowest pace on record. Regionally, total starts activity fell across the board in October, with declines of 18.8% in the Northeast, 10.6% in the Midwest, 9.6% in the South and 8.5% in the West. Permit issuance, which can be an indicator of future building activity, fell 4% overall in October to a seasonally adjusted annual rate of 552,000 units, due primarily to a double-digit drop-off on the multifamily side. While single-family permits held virtually flat at 451,000 units, multifamily permits declined nearly 18% to 101,000 units. Regionally, permit activity was mixed, with the Northeast posting no change for the month, the Midwest registering a 2% gain, and the South and West dropping off 5.8% and 6.7%, respectively. Web Site One-Stop Shop for Tax Credit Info Builders and other industry professionals can help spur home sales by referring prospective home buyers to www.federalhousingtaxcredit.com. The NAHB Web site provides detailed information on both the extended $8,000 first-time home buyer tax credit and the new $6,500 repeat buyer tax credit recently signed into law by President Obama. Consumers can use the Web site to find information on both tax credits — including frequently asked questions and links to social media sites that provide updated information as it becomes available. It also includes a number of home-buying resources for consumers. Industry professionals are encouraged to highlight the tax credit Web site when marketing to their potential home buyer market. Webcast of Fall Construction Forecast Conference Now Available An on-demand webcast of the 2009 Fall Construction Forecast Conference held at the National Housing Center in Washington, D.C., on Oct. 21 is now available for purchase. The webcast fee includes access to the webcast archive and electronic copies of the conference handout and presentation materials. Multiple viewers in one office can purchase the webcast for one fee. The on-demand webcast also gives viewers complete flexibility in their viewing experience — pause, skip forward and backward, or jump directly to your topics of interest. The webcast is available for $250. To view the webcast schedule, topics of discussion and a list of the presenters, click here. To purchase and download the webcast, click here. Want to Know the Housing Starts Forecast Through 2017? Find out in HousingEconomics.com's Long-Term Forecast. Subscribe and get downloadable Excel tables that feature the housing starts forecast, gross domestic product (GDP), demographics and more. To learn more, visit www.housingeconomics.com. 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.
Web Site One-Stop Shop for Tax Credit Info Builders and other industry professionals can help spur home sales by referring prospective home buyers to www.federalhousingtaxcredit.com. The NAHB Web site provides detailed information on both the extended $8,000 first-time home buyer tax credit and the new $6,500 repeat buyer tax credit recently signed into law by President Obama. Consumers can use the Web site to find information on both tax credits — including frequently asked questions and links to social media sites that provide updated information as it becomes available. It also includes a number of home-buying resources for consumers. Industry professionals are encouraged to highlight the tax credit Web site when marketing to their potential home buyer market. Webcast of Fall Construction Forecast Conference Now Available An on-demand webcast of the 2009 Fall Construction Forecast Conference held at the National Housing Center in Washington, D.C., on Oct. 21 is now available for purchase. The webcast fee includes access to the webcast archive and electronic copies of the conference handout and presentation materials. Multiple viewers in one office can purchase the webcast for one fee. The on-demand webcast also gives viewers complete flexibility in their viewing experience — pause, skip forward and backward, or jump directly to your topics of interest. The webcast is available for $250. To view the webcast schedule, topics of discussion and a list of the presenters, click here. To purchase and download the webcast, click here. Want to Know the Housing Starts Forecast Through 2017? Find out in HousingEconomics.com's Long-Term Forecast. Subscribe and get downloadable Excel tables that feature the housing starts forecast, gross domestic product (GDP), demographics and more. To learn more, visit www.housingeconomics.com. Builders’ Tip: How to Trim Baseboards for a Snug Fit
But because plaster walls are a hand-tooled product, they're a little uneven and the baseboard molding rarely ends up plumb. Consequently, what I learned is that in order for me to keep the cope joints tight, I have to slightly adjust the 45-degree bevel used on perfectly square walls. Instead of a 90-degree cut, I found that the cut needs to be a touch off square — usually between 88 degrees and 92 degrees. When I first started coping these joints, I used a bevel gauge to measure each angle in each corner and then adjusted the compound-miter saw accordingly. That procedure required too much fussing and fiddling and just took too long. So, to save time, I created several templates to eliminate the fiddling. Here's what I did:
— Dennis Smith, Suffolk, Va. Tips & Techniques provided by Fine Homebuilding.
To contact Fine Homebuilding, e-mail Christina Glennon.
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. Your Balance Sheet Can Point You in the Right DirectionA balance sheet is an important tool that can help determine your company’s health, no matter the size of your company. Balance sheets are just as important to small- and medium-size home builders as they are to large public builders. But while the bigger builders evaluate every business decision they make based on how it will impact their balance sheet, the smaller private builders often ignore or overlook their balance sheets. That can be a costly mistake. Many decisions that can affect a builder’s future — even his survival — are based on information contained in a builder’s balance sheet. While private builders generally have no intention of selling stock in their company, a balance sheet can point out a company’s financial strengths and weaknesses — enabling the builder to make better business decisions. A balance sheet indicates how a builder has invested his resources as well as his likelihood of being able to attract additional needed resources — loans and investments — from lenders and third parties. Third parties use the information on your balance sheet to make decisions about your business that can impact your success, so don’t ignore your balance sheet. Moreover, you must not only understand this important income statement, beginning now, you need to evaluate all your business decisions based on their potential impact on it as well. For instance, use your balance sheet to evaluate your company’s growth potential using your internal as well as third-party resources to determine your best chances of success. Also, in these tough times, use your balance sheet to determine whether you can survive by comparing ratios from your income statements with your balance sheet to determine how efficiently, or inefficiently, key areas of you company are operating. These key areas include:
Your balance sheet presents the value of the owner’s investment, so treat it that way. Evaluate whether your business earns a higher return on capital investment than if you invested elsewhere, such as in a money market account, stocks or bonds. How to Determine Your Company's ROI The relationship between net profits from your income statement and your investment will provide the return, as indicated by the following equation:
Return and risk correlate closely — the higher the risk, the higher the expected return; and conversely, the lower the risk, the lower the expected return. Given the high risk in the home building industry, what ROI is reasonable? Are you getting a reasonable return on your investment and, if not, how can you improve it? The first step toward improving your ROI is to monitor the return. Establish a target return and focus on achieving it. Understanding how your income statement and balance sheet interact can guide you towards achieving your goal. Understanding Your Balance Sheet A balance sheet lists the assets or things of value that the company owns as well as who paid for those assets — you, third-party creditors or both. Assets are purchased with the owner’s “patient” capital or the creditors’ “impatient” capital. Your investment in your company is known as “patient” capital because most owners generally intend to use their invested capital to grow their business or sustain operations. In contrast, creditors want to recoup their invested capital and, in most instances, receive a return on their investment within a reasonable time, hence the term “impatient” capital. As an owner, you can grow you patient capital, also known as owner’s equity, by making additional investments in your company with, for example, cash, land or equipment. Another way to grow your company and owner's equity without having to borrow from lenders or creditors is by keeping your net profits in your company, rather than withdrawing them. Of course, you can withdraw your earned capital from your company; however, keep in mind that others will pressure your to keep your profits in your company. Typically, lenders and creditors will want you to retain your profits in your company in order to decrease their investment risk. Since owner’s capital is always at risk — particularly from buyers and frivolous lawsuits — many owners are inclined to take all but the capital needed to maintain normal business operations out of their company. However, this strategy may raise the lenders’ risk to a level that is higher than what their lending rules allow. Consequently, lenders often require personal signatures to mitigate this risk and to guarantee your business loans. Also, keep in mind that when determining your company’s profitability, profits are not compensation for work done. Working owners are entitled to compensation — a salary — for the work they do and these payments are not, and should not, be considered withdrawals from profit. The assets listed in the balance sheet include cash; accounts and notes receivable (the right to collect cash); investments; inventory, including materials, land, homes under construction and finished homes; prepaid expenses (the right to receive a service in the future); office furniture and equipment; vehicles; and other miscellaneous items of value. There is a hierarchy for converting these assets into cash during normal business operations on your balance sheet. Obviously, the office furniture, equipment and vehicles are not meant to be converted into cash; they are for business operations. Inventories and the accounts and notes receivable are presumed to convert to cash in the near future; they are referred to as current assets. On the liability side of the balance sheet, the impatient capital, there are two types of obligations — those due within the next 12 months and those that can be repaid over several years. The obligations that must be paid within the next 12 months are called current liabilities and, under normal operating conditions, you are expected to convert current assets into cash within the next 12 months and pay the current liabilities within the same time period. A comparison of current assets to current liabilities yields a ratio that indicates the likelihood that the company can repay its current liabilities. This current ratio is commonly regarded as a measurement of liquidity or solvency — your company’s ability to meet creditors’ demands, whether these are loan payments or other accounts payable.
Lenders are not interested in giving their money away without any hope of getting a return on their investment. Your company’s ability to pay back their money is an important consideration in making a loan or providing credit. Liquidity coupled with the risk factor, as measured by the relationship of debt to your capital or equity, will determine your company’s strength and its ability to borrow money.
You can never afford to lose your company’s ability to borrow cash from third parties. Cash is king and as a company owner and manager, you must control the spigot providing the cash. Measuring Up to Your Competition “The Cost of Doing Business Study” enables home builders to compare profitability, cost of sales and expenses with like-sized builders from across the county. When evaluating your business, make sure you compare your company’s performance using the three ratios explained in this article and use the best-performing companies to establish company goals. Owners whose companies exhibit high performance ratios on their balance sheets will be able to enjoy significant peace of mind, particularly during tough times, because their companies will be the survivors. Emma S. Shinn, MBA, CPA, is a business and accounting consultant with Shinn Consulting based in Littleton, Colo. She also is a past chair and contributor to NAHB’s Business Management & Information Technology Committee. For more information, e-mail Shinn, call her at 303-972-7666, or visit www.theshinngroup.com. The article will be featured in the upcoming “Cost of Doing Business Study” to be released at the 2010 International Builders’ Show in Las Vegas next month. The study enables builders to compare their balance sheets with other builders around the country. It can be purchased through Builder Books.com. Move Forward in Your Market With Market ResearchMarket research is more important in our industry than it has ever been. Regardless of your situation, challenges or objectives, utilizing a strategic approach to market research and analysis will equip you with the insight — and just as importantly, the confidence — you need to accomplish your goals and navigate through a difficult housing market. Are you unsure about how to develop a piece of land? Use market research to eliminate your uncertainty. Not only will you be more confident, you’ll have the knowledge and be better prepared to move forward efficiently. Do you need to secure financing? Conduct the necessary research and analysis to support your funding requests. Provide lenders with real data, sound analysis and a strategic plan. They’ll be more inclined to support your requests. Is your development already underway? It’s never too late to implement a new plan for success. Identifying areas for improvement can have a profound impact on your competitive position and financial returns. Success in today’s market is possible. In fact, it’s occurring right now in markets and communities across the country. And the developers and builders who are moving forward are those who have employed strategic market research and positioned their community and product offerings accordingly. It’s no surprise, because strategic market research can help increase sales and traffic, secure financing for a project, bring struggling developments to life, stage additonal grand openings for “new” communities and more. Three Stages — Endless Opportunities So what exactly is strategic market research? It’s simply a process that indentifies and analyzes key variables over three stages — research, planning and execution. Effective research enables you to define your asset, prospects and competition. Once you have identified and understand those factors influencing your development, you can begin planning for your success — focusing in on your market opportunities, unique features and target consumers. Then finally, you’re ready to execute, concentrating every ounce of your effort in targeting your community’s strategic advantage. Research Properly positioning your communities is essential to successful selling, and it all starts with understanding what you have relative to the market around you. Specifically, through research, you identify your development’s competitive gaps, community assets and prospect pool.
In the planning stage, take the information collected through your research and conduct an overlap analysis of competitive gaps, community assets and your prospect pool. This process will give you targeted insight into opportunities in your underserved market, unique selling proposition and target consumer group.
After a final overlap analysis of your underserved market opportunities, unique selling proposition and target consumer group, you’ll be able to fully understand your development’s core identity and develop and implement an optimal communication strategy. The strategy will communicate your unique selling proposition to your target consumer group as a solution to underserved market opportunities. Through this framework, you’ll ensure the success of your efforts. David Rice is president of New Home Star, a national new home sales and marketing company headquartered in Chicago that provides highly specialized services to builders and developers across the country. For more information, e-mail Rice, or visit www.newhomestar.com. This article originally appeared on the NAHB Sales and Marketing Channel. In Today’s Market, 'Think Sold!' With Help From BuilderBooks “Think Sold! Creating Home Sales in Any Market,” available at BuilderBooks.com, is a practical, how-to guide for developing the self-awareness, knowledge and skills needed to succeed in the competitive field of new home sales. The book covers everything from the home buying process and new home financing to strategies for making better sales presentations and sizing up the competition. It teaches readers how to overcome customers’ concerns and provides specific examples of how to explain the benefits of new home features in customer-friendly language. “Think Sold” provides insights on how to approach sales and life from a position of optimism that will create successful outcomes; how to improve upon potential customer prospecting and follow-up skills; and how to communicate effectively with various types of buyers and learn how to adjust communication strategies to increase rapport and alignment with buyers’ motives. To view or purchase this publication online, click here, or call 800-223-2665. ‘ValueMatch Selling for Home Builders’ Available at BuilderBooks.com “ValueMatch Selling for Home Builders,” available through BuilderBooks.com, presents a process that focuses on selling feelings and appealing to prospective buyers’ emotional need to buy a new home in today’s market rather than product. Learn how to build rapport with prospective home buyers, meet their needs, make powerful presentations that are focused on their values and go for the close. To view or purchase this publication online, click here, or call 800-223-2665. 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.
Dec. 14 Webinar to Discuss Affordable Housing ToolsHousing industry professionals interested in successful approaches to workforce housing should plan to attend the free NAHB webinar, “Housing That Works: State and Local Solutions to Housing Affordability,” beginning at 2:00 p.m. on Monday, Dec. 14. The 90-minute webinar is the last in a series being hosted by NAHB’s Land Development Department. Bridging the Affordability Gap The housing affordability gap is a multidimensional problem that demands many different tools and a comprehensive strategy to successfully meet the varied housing needs of people with different incomes. No single strategy will suffice, and no single strategy works in every market. NAHB has conducted research and developed new publications and resources, with a view to sharing ideas across communities and fostering better solutions to meeting housing needs. Webinar participants will thoroughly discuss the most proven methods of providing quality affordable housing. They also will explain how the current economic downtown plays into this issue and offer several strategies that can help bridge the gap for working families. The speakers include:
To register for the free webinar, click here. The presentation is the last in a series of webinars on development issues provided by the NAHB Land Development Committee. Previous Webinars Available Online Free recordings of the previous webinars in the series are available online. They include:
For more information on the land development webinar series, e-mail Deb Bassert at NAHB, or call her at 800-368-5242 x8443. Slots Filling for Spokesperson Training at Builders' ShowRegistration is open and slots are still available for NAHB Spokesperson Training sessions at the upcoming 2010 International Builders’ Show in Las Vegas in January. Members can register securely on the NAHB Web site with a credit card for one or both of the Spokesperson Training sessions — Interview Skills and Presentation Skills. Interview Skills teaches NAHB members how to give clear, concise answers while in a high-pressure, spur-of-the moment interview. The training also helps participants master strategies for broadcast and print interviews, including message development. Members attending the Presentation Skills session will learn how to confidently prepare and deliver dynamic presentations to any audience. The session focuses on how to organize and deliver a speech and presentation with accompanying question and answer sessions. International Builders’ Show Schedule:
The fee for each session is $495 per person. For more information and to register, click here. Each session is led by professional communication consultants who have more than 30 years of experience training NAHB members on the critical issues they face every day. For more information, e-mail Brooke Fishel at NAHB, or call her at 800-368-5242 x8061. Early Bird IBS Registration Deadline on Friday, Dec. 11NAHB members who register for the 2010 International Builders’ Show (IBS) in Las Vegas by Friday, Dec. 11, will receive complimentary passes to the exhibit floor for all four days of the show. Passes are $75 after Dec. 11 and $125 on site after Jan. 18. IBS, the single, most important and largest industry event of the year, will be from Jan. 19-22 at the Las Vegas Convention Center. This year’s show will feature more than 175 educational seminars and showcase suppliers and manufacturers displaying their latest innovations. Show exhibitors will also be available to discuss attendees’ specific challenges. NAHB is offering additional special incentives to members:
NAHB STAR Voting Underway Online voting is now underway for NAHB STAR, the talent contest that will determine who will sing the national anthem at the Grand Opening Ceremonies at IBS on Jan. 19. Open to NAHB members and their immediate family, 13 "amateur status” contestants have entered the “American Idol”-style competition and submitted videos of their live performances of the "Star Spangled Banner.” The videos are posted on the IBS Web site for one round of online voting, which will trim the field of contestants to the top three. Online voting closes at 5:00 p.m. Friday, Dec. 18. The three finalists will perform before a panel of judges on Jan. 18 in Las Vegas, where the contest's winner, first runner-up and second runner-up will be chosen. To vote for the NAHB Star, click here. FHA Announces Temporary Waivers to New Condo PolicyNew Federal Housing Administration policies for condominium financing took effect on Dec. 7. However, to address current market conditions, the agency has announced several temporary waivers through the end of 2010 for its permanent baseline guidance for condominium project eligibility. These exceptions include a temporary decrease in the pre-sale requirement to 30% (from 50% under the new policies) and an increase to 50% (from 30%) in the allowable concentration of condo units financed with FHA-insured mortgages. The FHA concentration can be increased to 100% for existing projects that are complete and meet certain additional requirements. New construction and conversions are not eligible for this higher exception. The higher temporary cap on the concentration of FHA loans came as the result of discussions between NAHB Chairman Joe Robson and FHA Commissioner David Stevens. The temporary waivers are discussed in Mortgagee Letter 2009-46A. At the end of the waiver period, the FHA’s condo requirements will revert back to those announced in Mortgagee Letter 2009-46B, which outlines the criteria that condo projects must meet to receive agency approval and describes the condominium project approval process. Under this policy, the FHA will continue to perform project reviews. Alternatively, lenders that receive the FHA’s okay may also grant project approvals, although by doing so they assume some risks. Projects located in Florida are not eligible for lender review at the present time. In a significant change for owners of existing condos, after Feb. 1, 2010 lenders will no longer be able to grant “spot” approvals of FHA-insured loans for potential condominium purchasers who want to purchase units in projects that lack FHA approval. For a list from the Department of Housing and Urban Development on frequently asked questions related to the two mortgagee letters, click here. For more information, e-mail Bill Renner, or call him at 800-368-5242 x8597. Apply for NAHB Remodelers Leadership GrantAll 2010 chairmen and vice chairmen of their local remodelers’ council are invited to apply for the NAHB Remodelers Leadership Grant, which was created to assist in the training of new remodelers’ council leaders. The $1,250 grant will help defray the costs of a local council leader who without assistance would be unable to attend NAHB’s spring board of directors meeting at the Marriott Wardman Park Hotel in Washington, D.C., on April 17-24. The grant winner will be expected to attend all NAHB Remodelers meetings as well as participate in the NAHB Remodelers leadership orientation activities held during the spring meeting. The scholarship is only applicable to attendance at the spring board of directors meeting. The leadership grant winner will be announced in March. To Apply To learn more and to download an application, click here. Applications must be received by Feb. 1. For more information, e-mail Kelly Mack at NAHB, or call her at 800-368-5242 x8451. Learn How to Run a Successful Remodeling Company “The Paper Trail: Systems and Forms for a Well-Run Remodeling Company,” available through BuilderBooks.com, shows how to use proven management systems to run a successful remodeling company. The publication includes a CD containing 160 essential forms and documents — culled from successful remodelers across the country — that you can customize to suit your business needs. To view or purchase this publication online, click here, or call 800-223-2665. 'How to Find a Professional Remodeler' Brochures Available at BuilderBooks.com "How to Find a Professional Remodeler," available at BuilderBooks.com, promotes the professionalism of your remodeling business by offering a wealth of valuable advice to customers on the process of selecting a remodeler. The newly updated brochure highlights the before and after photos of the most frequently remodeled rooms in the house. To view or purchase this publication online, click here, or call 800-223-2665.
Keyser Honored for Advancing Systems-Built Industry
Keyser recieved the S.A. Walters Systems-Built Achievement Award during a ceremony at the BSC’s annual SHOWCASE conference and trade show at Marco Island, Fla. in October. "Tracy Keyser’s hard work and dedication to the systems-built industry makes her very deserving of the S.A. Walters Systems-Built Achievement Award,” said Lynn Gastineau, owner of Gastineau Log Homes headquartered in New Bloomfield, Mo. “She also joins a very elite group. Only two women have won the S.A. Walters Award since its creation in 1986.” Gastineau, who presented the award at SHOWCASE, was the first woman to recieve the award. She was honored in 2001. Keyser has been an active BSC member since 1998. She served as president of the BSC Associates Council from 2001 to 2003 and was a member of the councils’ board of trustees from 2002 to 2007. She has been an active member of the BSC’s membership committee since 2004 as well as its sales and marketing committee. In 2007, Keyser received the BSC’s “Top 30 Under 40 Award,” which recognizes emerging leaders in the systems-built industry. Keyser, who has more than 15 years of mortgage construction lending experience, began her career with Keystone Financial in 1994 and was serving as the bank’s vice president of its systems-built division when M&T purchased the bank in 2000. The S.A. Walters award is named after the first chairman of the BSC. Education Calendar
Learn More About 2009 Professional Development Offerings See the variety of professional development offerings available through NAHB and its local associations in this interactive brochure. Or, to search for specific course offerings in your area, visit www.nahb.org/courses, or click here for a comprehensive listing. Also view upcoming conferences. Builders Win Some, Lose Some in 16-Day Code HearingsDuring 16 grueling days of hearings on subjects as diverse as energy efficiency, wall bracing, accessibility and fire sprinklers, the International Code Council recently took action on 2,345 proposed changes to its 13 construction codes. The Final Action Hearings for these proposals are set for May and September of next year. Staff members from NAHB’s Construction, Codes and Standards Department testified on more than 900 of the proposed changes at the ICC Code Development hearings, which were held in Baltimore on Oct. 24-Nov. 10. NAHB was also represented by 20 members on 12 of the ICC Code Committees, including eight on the two committees overseeing changes to the International Residential Code (IRC). These code committees make the initial decisions to approve or reject proposed changes after listening to the arguments presented at the public hearings. Their actions are critical to the final outcome on any given proposal. Last June, NAHB submitted 54 proposals. Among these were proposals to add prescriptive provisions that would allow builders to achieve a 30% increase in energy efficiency over the 2006 International Energy Conservation Code (IECC). Other NAHB proposals dealt with tradeoffs for construction methods and materials in the installation of a fire sprinkler system and with provisions related to wall bracing to resist wind and earthquakes. Among changes that are of significant interest to NAHB members: Structural
New Storm Water Rules Ineffective and BurdensomeThe U.S. Environmental Protection Agency has announced new storm water management requirements for builders that don’t effectively address water quality and environmental issues but do promise to place significant burdens on the home building industry and result in higher costs for home buyers. Beginning next month, the EPA will begin to place stricter limits on the amount of storm water legally allowed to leave a construction site after a rainfall and require that water to be virtually free of soil or sediment. The rules will be implemented over the next four years as states apply for reauthorization of their construction general permitting programs. “That’s a standard that no builder, anywhere, can consistently expect to achieve — and the EPA’s own studies show it’s not the answer to reducing pollutants in our nation’s waters,” said NAHB Chairman Joe Robson. A year ago, the EPA proposed rules that for the first time incorporated so-called Effluent Limit Guidelines for the construction and development industry. The agency released the proposal under a court order after a lawsuit filed by an advocacy group argued that builders, whose “discharges” under the Clean Water Act are the result of rainfall and sediment running off the construction site, should be treated like commercial and industrial enterprises, which discharge water and chemicals via pipelines. The guidelines set out requirements without regard to the type of soil on the job site and how likely it is to absorb excess rainwater. The “turbidity” limit — the amount of sediment in the water — does not take into account the natural turbidity of nearby streams or other water bodies. And the rules require stepped-up state enforcement, but no accompanying guidance on how to monitor compliance or money to pay for the additional administrative and inspection costs. Further, the additional requirements are harder — and in some cases impossible — to meet on smaller lots and in urban redevelopment, severely hampering “smart growth” projects and transit-friendly building. “The EPA specifically asked for, and NAHB provided, significant comments and alternatives that would meet these important goals at a lower cost and with less red tape, so we’re quite disappointed — and frankly, bewildered — that agency did not take our suggestions,” Robson said. The rule is the latest in a series of actions expected to have a dramatic effect on storm water permitting. Last month, the agency submitted an Information Collection Request to the Office of Management and Budget (OMB) for approval to send three different questionnaires to the construction industry, municipal sewer authorities and state governments. In its request, the EPA estimated that the questionnaires would take an estimated 53 hours per respondent to complete. If approved by the OMB, builders and developers selected by the agency would be required to complete a 61-page document that asks for detailed information about company finances and the costs per project for land, engineering, site clearing and other capital expenses. NAHB is continuing to study the final rule and any supporting documentation, he said. For more information, e-mail Calli Schmidt at NAHB, or call her at 800-368-5242 x8132. Remodeler Training to Meet New EPA Lead Paint Rule LagsWith the deadline approaching for remodelers and other contractors to be trained and certified in lead-safe work practices, the U.S. Environmental Protection Agency reported last week that there are now 99 approved training firms for the nearly 200,000 industry members needing to be trained. Meanwhile, the U.S. Small Business Administration has weighed in on proposed additional changes to the agency’s lead paint rule, echoing NAHB comments that the compliance costs would encourage more home owners to do the work themselves rather than hire a certified remodeler. That, the SBA said, “could actually endanger children's health, not improve” it. EPA representatives met at the National Housing Center on Dec. 3 with NAHB staff members and representatives from other trade associations and advocacy groups as part of NAHB’s communications and advocacy efforts on the new regulations. The Renovation, Repair and Painting rule — which goes into effect in just four months — requires anyone working in homes built before 1978 and inhabited by small children or pregnant women to complete eight hours of training, use lead-safe practices and keep copious records of the work done. So far, just over 4,000 people have completed training — a number that federal officials and industry representatives agree remains low. This has occurred for a number of reasons:
The SBA comment letter slammed the EPA’s decision to remove the “opt-out” provision, which allows the owners of homes built before 1978 to choose a non-certified remodeler. Removing the provision makes nearly 70 million homes subject to the requirement. Rather than making these homes safer, “EPA’s proposal would instead impede low-income residents from improving their residences by imposing unnecessarily costly requirements,” the SBA comments said. “It seems overly burdensome for a window installer who is replacing a single window (or a wallpaperer disturbing more than six square feet) for a home with two resident 50-year-old adults to comply with the entire LRRP rule requirements, but that is exactly what EPA would be requiring here,” the SBA said. “While some renovation activities can generate significant amounts of lead dust that could pose a human health hazard, there is not sufficient evidence that renovation activities by private contractors or building owner personnel, as opposed to home owners, contribute to an increased risk of elevated blood levels in children,” the letter said. A list of approved training providers is available at the EPA Web site. A calendar of upcoming classes is available from the National Center for Healthy Housing. Additional information about the lead-based paint rule is also available at www.nahb.org/leadpaint. For more information, e-mail Calli Schmidt at NAHB, or call her at 800-368-5242 x8132. Learn How to Run a Successful Remodeling Company “The Paper Trail: Systems and Forms for a Well-Run Remodeling Company,” available through BuilderBooks.com, shows how to use proven management systems to run a successful remodeling company. The publication includes a CD containing 160 essential forms and documents — culled from successful remodelers across the country — that you can customize to suit your business needs. To view or purchase this publication online, click here, or call 800-223-2665. 'How to Find a Professional Remodeler' Brochures Available at BuilderBooks.com "How to Find a Professional Remodeler," available at BuilderBooks.com, promotes the professionalism of your remodeling business by offering a wealth of valuable advice to customers on the process of selecting a remodeler. The newly updated brochure highlights the before and after photos of the most frequently remodeled rooms in the house. To view or purchase this publication online, click here, or call 800-223-2665.
First 'Emerald' Remodel Completed in PhoenixA newly renovated home in Phoenix has become the first remodeling project in the nation to achieve Emerald certification, the highest award level in the National Green Building Standard. The 1,600-square-foot, 70-year-old ranch house is located in the Pierson Place Historic District near the city’s new light-rail line. It is the first in a series of homes being renovated by Green Street Development, a local home building company specializing in environmentally sensitive design and construction. All are planned to meet the requirements of the standard. Green Street's Philip Beere and Don Odegard were joined by Phoenix Mayor Phil Gordon in a ribbon-cutting ceremony on Nov. 13 at the newly remodeled home. Beere also held an open house and educational session for area remodelers considering green certification. Beere said that he is also using the standard as the basis for the remodeling portion of a statewide affordable housing program being developed by Arizona State University. “This project is an excellent example of what home builders and remodelers can accomplish with the National Green Building Standard,” said NAHB Chairman Joe Robson. The standard is the American National Standards Institute’s approved protocol for certifying green residential construction and one of two rating systems in NAHBGreen used by the NAHB Research Center for its National Green Building Certification. “If we are going to make significant inroads into limiting our water and energy use, we need to retrofit and renovate more than 120 million existing homes to make them more efficient in their consumption of these precious resources,” Robson said. “I’m proud of all the services we offer through NAHBGreen, particularly the third-party certification of homes using the standard.” All National Green Building Standard-certified new and remodeled homes must meet benchmarks in energy, water and resource efficiency and indoor environmental quality; operations and maintenance information must also be provided for their owners. “Making changes in energy efficiency, water efficiency and indoor air quality are huge steps in reducing the environmental footprint of any older home. Using the standard’s Green Remodel Path is the streamlined way to achieve huge environmental benefits for the nation’s aging homes,” Robson added. In remodeling the home, Green Street lowered its Home Energy Rating — set at 100 for today’s new homes — from 178 to 68. The home’s carbon footprint was reduced by more than 60% and its water use was cut by 65%. The home also features new Energy Star-rated windows and appliances; water-efficient fixtures; upgraded heating, air conditioning and insulation systems; and native landscaping for even more water savings. The home was inspected by NAHB Research Center-accredited verifier Mick Dalrymple of a.k.a. Green Services in Scottsdale, Ariz. “The standard and the third-party certification process will provide the home owner with assurance that this project has been inspected and verified to be authentically green,” said NAHB Research Center President Michael Luzier. “I commend Green Street for going the extra mile for the customer to seek the highest level of ‘greenness’ available in residential remodeling.” “The Emerald certification symbolizes our company’s mission of creating walkable neighborhoods, preserving existing structures and pursuing sustainable development,” Beere said. Two other remodeling projects were expected to be certified to the standard shortly, Beere said. Green Street hopes to complete between 20 and 30 green home remodels in all. The home brings the total number of Emerald projects to five, including single-family homes in Connecticut, Michigan and Pennsylvania. There were 663 homes, remodeling projects and subdivisions certified in the NAHBGreen program as of Dec. 1. For more information, e-mail Calli Schmidt at NAHB, or call her at 800-368-5242 x8132. Promote Green Building Locally With New PR Resources
The NAHB green building toolkit has been extensively updated and new resources have been created for home builders associations and members interested in promoting green building in their local community. The resources are broken down into two different categories — general green building and NAHBGreen affiliated programs. The general green building public relations materials include a media fact sheet, a consumer-focused brochure, a press release template and talking points, among others. These resources are available to any HBA or NAHB member regardless of their affiliation status with NAHBGreen. For HBAs that are affiliated with NAHBGreen, resources are available to promote your local program, including press release templates for both new and existing programs, talking points, two print ads, customizable articles and Web banner ads. Also included is a public relations guide that provides guidance on how to use these resources, as well as how to plan consumer and media events in your local community. These resources can be found on the NAHB Web site at www.nahb.org/greentoolkit. You must be logged in as an NAHB member to access the materials. For more information, e-mail Brooke Fishel at NAHB, or call her at 800-368-5242 x8061. A Simple Handshake Can Lead to Increased SalesA discussion about handshakes may seem a bit elementary compared to the complexities of the current state of the economy and housing market, but I can’t stress enough how important handshakes are in making a connection with prospects and, ultimately, in making a sale. I discovered this while shopping the competition as a sales person and as a vice president of sales during my almost three decades working in the housing industry. When shopping, I didn’t just drop in on the competition and grab a price list on my way back to the office after a Monday morning sales meeting. I hid behind sunglasses, wore casual clothes and conducted my reconnaissance shopping incognito. More often than not, I found that the salespeople did not greet me at the door. Even if they did, many didn’t shake my hand. If this is how you operate, this is a problem. If you’re not shaking your prospect's hand, you could be costing yourself and your company sales. Establish a Human Connection The power and value of a handshake is crucial to establishing a human connection. By starting your greeting with a warm, sincere and professional handshake, you’ll find that your customers will much more likely be open to sharing their needs, wants, desires and current housing situation with you. Shaking their hand can, and most likely will, help put them at ease. Couple your warm handshake with eye contact and your potential customer will more easily be able to assess how trustworthy you and your company are, get a sense of your reliability and professionalism and, most importantly, determine if you are sincere or just out to make a sale. Purchasing a home can be one of the most stressful situations in a person's life. A simple handshake can help ease that stress. There is something magical in the exchange of energy that takes place during a sale, and a handshake can be the most tangible, direct way of cultivating that exchange. Shake the Woman’s Hand, Too Don’t just shake his hand when a couple walks in — shake her hand, too. This may seem like a no-brainer, but make sure you shake both their hands. You don’t want to alienate anyone inadvertently. Besides, when it comes to purchasing a home, women make or influence a large number of the buying decisions. So be sure to extend your hand to the woman and give her the courtesy, respect and attentiveness that she deserves. A Handshake Transmits Interpersonal Communication The initial handshake is more than a gesture, it sets the tone for the interpersonal communication that follows. It helps make people feel secure and can give them a sense of comfort, trust and connection. And because buying a home typically is an emotional, not intellectual, experience for the buyer, shaking their hand helps you tap into those comforting emotions. Even if a customer chooses not to shake your hand, making the effort sends them a message. A handshake also sends a message from the propsect back to you. How they shake your hand can help you determine if they are friendly, reticent, eager, nervous or curt. So something as seemingly innocuous as shaking your prospect’s hand can give you some immediate insight into how you should proceed with your greeting, needs assessment, presentation and closing. Shake Their Hand Every Time — Without Fail I cannot over-emphasize the importance of greeting the customer with a handshake, every time you greet them — without fail. You owe it to your company to take every opportunity to bring in a new customer. Moreover, you owe it to yourself because establishing a connection with the customer increases your chances of closing a sale — and being compensated. You never know who may show up at your sales office — a competitor, potential employer or a serious home buyer who needs to feel a connection with you before they will risk saying, “Yes.” This simple, initial connection is what distinguishes sales professionals from average salespeople, winners from losers. Shake their hand every time and watch your closing ratio increase. Christine Hamilton, CMP, CSP, is a public speaker, author and sales trainer with more than 27 years in the housing industry. A former vice president of sales for Beazer Homes Northern California, Hamilton has been recognized with a Gold Award for Best Salesperson of the Year and Silver Award for Salesperson of the Year for the California/Nevada Region in The Nationals. She has also been honored as the MAME Salesperson of the Year three times. For more information, call Hamilton at 916- 768-5525, or visit www.ChristineHamilton.com. This article originally appeared on the NAHB Sales and Marketing Channel. In Today’s Market, 'Think Sold!' With Help From BuilderBooks “Think Sold! Creating Home Sales in Any Market,” available at BuilderBooks.com, is a practical, how-to guide for developing the self-awareness, knowledge and skills needed to succeed in the competitive field of new home sales. The book covers everything from the home buying process and new home financing to strategies for making better sales presentations and sizing up the competition. It teaches readers how to overcome customers’ concerns and provides specific examples of how to explain the benefits of new home features in customer-friendly language. “Think Sold” provides insights on how to approach sales and life from a position of optimism that will create successful outcomes; how to improve upon potential customer prospecting and follow-up skills; and how to communicate effectively with various types of buyers and learn how to adjust communication strategies to increase rapport and alignment with buyers’ motives. To view or purchase this publication online, click here, or call 800-223-2665. ‘ValueMatch Selling for Home Builders’ Available at BuilderBooks.com “ValueMatch Selling for Home Builders,” available through BuilderBooks.com, presents a process that focuses on selling feelings and appealing to prospective buyers’ emotional need to buy a new home in today’s market rather than product. Learn how to build rapport with prospective home buyers, meet their needs, make powerful presentations that are focused on their values and go for the close. To view or purchase this publication online, click here, or call 800-223-2665. 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.
ULI Honors Four Workforce Housing Communities
The Jack Kemp awards honor exemplary developments that meet workforce housing needs in high-cost communities. The workforce housing developments were recognized for their innovative financing, unique construction methods, strong public/private partnerships and replicability to achieve workforce housing affordability. At least 25% of the units in each of the winning projects were designated for families earning between 60% and 120% of their area’s median income; was located near employment centers and transportation hubs; and utilized public capital subsidies for no more than 25% of the development costs. The award winners, announced during the ULI’s fall meeting in San Francisco, include:
“I congratulate the winners of the Models of Excellence Awards,” said J. Ronald Terwilliger, chairman and CEO of Trammell Crow Residential and founder of the ULI Terwilliger Center for Workforce Housing. “Each of the winning projects is an excellent example of how the public and private sectors can work together to help solve the growing crisis of the lack of availability of workforce housing. Many of the best practices can be replicated in other high-cost areas.” In addition to the winners, the following developments were selected as finalists:
HBI Offers Online Certification Programs in Building TradesHome Builders Institute (HBI), the workforce development arm of NAHB, has announced that it will offer new programs for instructor and student certification in residential construction. “Using the Residential Construction Skill Standards established by NAHB to train and test students, these programs will help bridge the gap between the classroom and the job site,” said Fred Humphreys, HBI’s president and chief executive officer. “Our new certification process will help ensure that the housing industry has well trained workers for years to come.” The Web-based instructor certification course will be administered through The Ohio State University. To be eligible, instructors must be at the journey level in their craft or have a minimum of three years teaching experience. Upon completion of the program, instructors receive two continuing education units (CEUs) and are certified for five years. All applications must be received by Dec. 18 for the upcoming session beginning on Feb. 1. Those interested in signing up for the program can submit an online application at www.hbicertification.org. Residential construction students can also be certified online by taking tests administered through the National Occupational Competency Testing Institute (NOCTI). Certification is offered at entry, semi-skilled and skilled levels and is appropriate for both secondary and postsecondary programs. Trades testing available for the 2009–2010 school year includes carpentry, HVAC, house wiring and facilities maintenance. Plumbing and masonry testing will be available during the following school year. Further information on both programs can be found at www.hbi.org/certification and www.buildingcareers.org. For more information, e-mail Nathan Kelly at HBI, or call him at 800-795-7955 x8936. Whirlpool Appliances Go Into Sustainable Kit-Built Homes
The Whirlpool Corporation announced last month that its Whirlpool brand energy-efficient appliances will be featured in the 12,000 affordable, sustainable homes expected to be built from kits in 15 states over the next two years starting in January. The American Sustainability Initiative — or AmeriSus, for short — is aiming at making eco-conscious, energy-efficient homes more affordable for the average home builder by resurrecting the “kit home” concept that was popularized by Sears, Roebuck and Co. in the first half of the 20th century. “We selected Whirlpool brand appliances for our sustainable home designs because we know Whirlpool Corporation is committed to producing high-quality, energy-efficient products,” said Charles Kamps, managing director of AmeriSus. “They have an excellent reputation and years of global experience — more reasons we are happy to have them as a part of our team in this venture.”
Home kits enable builders to optimize such pre-construction activities as design, engineering, procurement and logistics. Everything from nuts and bolts to appliances and finishes are included as part of one complete building package available through AmeriSus’ proprietary Ready Build System. An ever-growing line of architectural layouts is available for builders and home buyers on the AmeriSus Web site, which also provides selections and upgrades in such areas as appliances, flooring, fixtures and energy systems. AmeriSus selected its products, materials and services from more than 30 “Best-in-Class” companies — such as Whirlpool, IKEA and FedEx — that epitomize sustainability in their products and daily operations. “We are thrilled to partner with AmeriSus in this exciting new sustainable building venture,” said Mitchell Isert, North Atlantic contract division director at Whirlpool. “Whirlpool is a strong proponent of sustainable building, and this is a wonderful opportunity to make sustainably built homes available to a wider variety of people.” When the selection process has been completed, AmeriSus will ship all of the design plans, building materials and finishes to the home site, saving several steps for builders. Headquartered in Benton Harbor, Mich., Whirlpool 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. NAHB-Produced Programs on the DIY NetworkThe NAHB Production Group produces weekly television shows for consumers on the DIY network. The following is the latest lineup: "Rock Solid" on DIY
"Indoors Out" on DIY
HGTV Seeking ‘Dream Home’ Builder/Architect Teams HGTV is seeking developers, builders and architects to create the 2010 HGTV Dream Home, the grand prize in the network's annual sweepstakes. To learn more, click here. About the NAHB Production Group 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. HUD Secretary Gives Dunlop Lecture on Future of Housing
His talk, “Toward a More Sustainable Future: Housing, Place and the New Federalism,” was co-sponsored by the National Housing Endowment and the Joint Center for Housing Studies at Harvard University. Secretary Donovan returned to Harvard, his alma mater, to speak to students, professors and industry professionals about “forging a new direction for housing” and focusing housing’s future on “place,” neighborhoods and community development. “The National Housing Endowment would like to thank Secretary Donovan for serving as lecturer at the 10th annual John T. Dunlop Lecture and for his commitment to having an open dialogue with the housing industry,” said Gary Garczynski, endowment chairman and 2002 NAHB president. Donovan earned bachelor and master’s degrees in public administration and architecture from Harvard. He also researched and wrote about housing policy at the Joint Center and worked as an architect. Prior to serving as the HUD secretary, Donovan was a commissioner of the New York City Department of Housing Preservation and Development (HPD), which founded the New York City Acquisition Fund, an award-winning collaboration with foundations and banks. To view or read a transcript of Donovan’s lecture, visit www.jchs.harvard.edu/dunlop_lecture. About the Dunlop Lecture The Dunlop lecture series honors John T. Dunlop, Lamont University professor emeritus of Harvard University from 1985 to 2003 and advisor to U.S. presidents, beginning with Franklin D. Roosevelt. He also was the secretary of labor during the Ford Administration. In 1986, Dunlop was named to the NAHB Housing Hall of Fame. He also was a founding trustee of the endowment. For more information about the endowment, visit www.nationalhousingendowment.org. NAHB Board to Meet on Jan. 21 in Las VegasOfficial Meeting Notice of
The Annual Meeting of Members of the National Association of Home Builders will take place on Thursday, Jan. 21, 2010 from 8:00 a.m.-2:00 p.m. in South Hall 3, Level 2 of the Las Vegas Convention Center for the purpose of electing directors and state representatives, and other matters as may come before the meeting. The following schedule of events is a partial listing provided as a notice for NAHB’s upcoming board of directors meeting and other associated meetings to be held during the International Builders’ Show in Las Vegas from Jan. 15-Jan. 22, 2010. The International Builders’ Show program will identify the exact time and place of each scheduled meeting. Saturday, Jan. 16
Sunday, Jan. 17
Monday, Jan. 18
Tuesday, Jan. 19
Wednesday, Jan. 20
Thursday, Jan. 21
Affiliate Representative Nominations Due Dec. 10Applications are being accepted for affiliate member representatives to serve on the NAHB Board of Directors during the 2010 year. Applications should be submitted by the affiliate member’s home builders association to the member’s National Area Chairman by Dec. 10. One affiliate member will be nominated from each of the 15 areas and then, from those 15 candidates, one will be elected during the NAHB board meeting at the 2010 International Builders’ Show in Las Vegas. Eligibility Criteria To be eligible, affiliate member applicants must meet the following criteria:
To nominate affiliate members:
As part of its review, the membership committee may exclude from final consideration an eligible applicant who has previously served two consecutive years as the affiliate member representative to the board. For more information about the application or nomination process, e-mail Kimberly Worthy at NAHB, or call her at 800-368-5242 x8579. FTD Offers 15% Discount to NAHB MembersNAHB members can get a 15% discount on all flowers, gifts and gift baskets from FTD, the world’s oldest and one of the best known brands in the floral business. Members can choose from gorgeous red roses, FTD's Share the Joy and Holiday Value collections, Vera Wang exclusive floral designs, spa sets, chocolates, wine baskets and more. They can also take advantage of FTD’s “Good as Gold” seven-day satisfaction guarantee of receiving beautiful, floral arrangements and plants that are guaranteed to last at least seven days. Plus, FTD's same-day delivery and guaranteed satisfaction are also available with "Say It Your Way" bouquets that are delivered with your own personal audio greeting. With 15,000 retail florists and 45,000 international affiliates, FTD can provide same-day floral service to nearly 100% of the U.S. population. FTD owned and operated U.S. call centers also offer 24/7 availability, including all major holidays. To use the NAHB Member Advantage 15% discount, visit www.ftd.com/nahb, or call 800-SEND-FTD (800-736-3383) and mention code 17421. Other Member Advantage Discounts For the most up-to-date details on the Member Advantage discount program and all of the participating companies, go to www.nahb.org/MA. Authorization Process for GM’s $500 Offer Now Much EasierThe authorization process for NAHB members to receive $500 towards the purchase or lease of most new GM passenger cars, light-duty trucks, vans and SUVs — whether for business or personal use —just got easier. Members who want to purchase or lease a new 2008, 2009 or 2010 model year Chevrolet, Buick, Pontiac, GMC or Cadillac passenger car and light-duty truck, van or SUV can simply go to the NAHB Web site to for the authorization information needed to participate in GM’s $500 exclusive offer The GM offer can be combined with most retail national and regional incentives in effect at the time of delivery. The offer excludes Cadillac CTS-V, Chevrolet Camaro, Chevrolet Corvette ZR1 and Hummer, Saab and Saturn vehicles, and medium-duty trucks are also excluded. Quick Steps to Get Authorization
Earn One Free Hertz Rental Day for Every Two Hertz RentalsNow through Jan. 31, NAHB members who rent a mid-size vehicle or larger from Hertz for two days or more will earn 300 Hertz #1 Awards® Points. Then, after every two qualifying rentals, they will receive 600 Points — enough to redeem for a Free Rental Day. Members also will earn one bonus point for every dollar spent in addition to this bonus. Also, Hertz #1 Club Gold® Five Star® or Hertz #1 Club Gold® President’s Circle® members will earn additional point bonuses on top of this special offer. Awards points are flexible.
Advance reservations are required.
Other Member Advantage Discounts For the most up-to-date details on the Member Advantage discount program and all of the participating companies, go to www.nahb.org/MA. Calendar of Events
Learn More About 2009 NAHB Professional Development Offerings See the variety of professional development offerings available through NAHB and its local associations in this interactive brochure. Or, search for specific course offerings and check out upcoming conferences. |