Nation's Building News Online: June 27, 2011

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Lawmakers Join Industry Groups to Urge Revising Minimum 20% Down Requirement

A bipartisan group of U.S. senators and representatives last week joined with NAHB and other business and consumer groups in calling on federal regulators to revise a pending proposal that would require a minimum 20% downpayment for “qualified residential mortgages."

They argued that such a plan goes against the intent of Congress, would keep homeownership out of reach of most first-time home buyers and many middle-class households, and would deal a devastating body blow to the already fragile housing market.

“This rule is an overreach. If left as is, it would make recovery in the housing market almost impossible,” said Sen. Johnny Isakson (R-Ga.).

Isakson — along with Sen. Kay Hagan (D-N.C.) and Reps. John Campbell (R-Calif.) and Brad Sherman (D-Calif.) — on June 22 hosted a Capitol Hill press briefing in conjunction with the Coalition for Sensible Housing Policy, which is comprised of more than 40 industry and consumer groups, including NAHB, that are united in opposing the proposed 20% downpayment rule and share the goal of giving families access to affordable mortgages.

Sen. Mary Landrieu (D-La.), who has worked closely on this issue with Sens. Isakson and Hagan, was unable to attend the event.

Under the Dodd-Frank financial reform law passed last year, securitizers are required to have "skin in the game" by retaining 5% of the credit risk of each loan backing a security.

The law also called for federal banking regulators to establish rules for a qualified residential mortgage, or QRM, that would exempt lenders from the risk retention requirement.

Borrowers who can't afford to put 20% down on a home and who are unable to obtain FHA financing would be expected to pay an estimated premium of two percentage points for a loan in the private market to offset the increased risk to lenders, according to NAHB economists.

"This would annually disqualify about five million potential home buyers, resulting in 250,000 fewer home sales and 50,000 fewer new homes being built per year," said NAHB CEO Jerry Howard, who represented the association at the press event.

“Such a drastic cutback would have a disproportionate impact on minorities and low-income families struggling to achieve the dream of homeownership,” he said.

Lawmakers Omitted Downpayment Rule

Lawmakers have noted that nothing in the Dodd-Frank Act stipulated a downpayment rule for the QRM provision and they have expressed concern that the regulators did not follow the clear legislative intent behind the provision.

“This misinterpretation of our intent could unnecessarily slow the housing market’s recovery and prevent well-qualified, middle-class families from securing an affordable mortgage,” said Hagan. “We are urging regulators to go back to the drafting table.” 

Giving the issue a local perspective, Hagan said that in Raleigh, N.C., where the median house price is $217,000, home buyers would need more than $43,000 for a downpayment under the proposed rule.

“That’s almost equal to the median annual income in my state,” she said. “Many families in North Carolina and across the country cannot afford such an onerous downpayment. In fact, according to the 2009 data from the Center for Responsible Lending, it would take the average American 14 years to come up with that 20% downpayment.”

In a written press statement, Sen. Landrieu said that the “proposed rule is inconsistent with the drafters’ legislative intent. As I have mentioned to the regulators on several occasions, we intentionally and explicitly omitted a downpayment requirement.”

Lawmakers Write to the Regulators

Last month, Isakson, Landrieu and Hagan led a bipartisan group of 39 senators in writing a letter to federal regulators urging them to modify the proposed risk retention rule because it imposes unnecessarily tight downpayment constraints that would restrict credit to middle-class families working to own a home.

“These restrictions unduly narrow the QRM definition and would unnecessarily increase consumer costs and reduce access to affordable credit,” the letter said.

“Well underwritten loans, regardless of downpayment, were not the cause of the mortgage crisis. The proposed regulation also establishes overly narrow debt-to-income guidelines that will preclude capable, creditworthy home buyers from access to affordable housing finance,” it said.

Reps. Campbell and Sherman spearheaded a similar effort in the House, garnering a strong majority of lawmakers to join together to write a subsequent letter opposing the rule.

“The qualified residential mortgage definition regulators have proposed is so restrictive it threatens to cut off millions of otherwise eligible consumers from the dream of owning a home and will drive the bulk of real estate lending in this country to the largest institutions that enjoy the lowest cost of capital,” said Sherman.

“That’s why Congressman Campbell and I persuaded over 280 of our House colleagues to sign a letter to regulators opposing the rule as it has been drafted,” he said.

“This economy cannot recover if housing does not recover. It’s one-sixth of the economy,” added Campbell.

“If this regulation as proposed goes into effect, we not only won’t have a strong housing market, we’ll have a weaker one. We cannot set up a system that is so onerous and so difficult that the average American won’t be able to get financing to buy a house, which will further drop the price of housing and will further sink this economy,” he said.

Coinciding with the news conference, joint letters from 44 senators and 282 members of the House of Representatives have been sent to the federal regulators.

Weighing in on the Issue

NAHB has strongly weighed in on this matter as a member of the Coalition for Sensible Housing Policy and in testimony before Congress, urging regulators to come up with a fairer QRM definition that does not unduly impact credit-qualified home buyers.

On June 22, the coalition also submitted a white paper to regulators as a joint comment letter.

The 44 organizations that signed on to the white paper are calling on regulators to “redesign a QRM that comports with congressional intent: encourage sound lending behaviors that support a housing recovery, attract private capital and reduce future defaults without punishing responsible borrowers and lenders.”

Federal regulators recently extended the comment period for the 20% downpayment rule until Aug. 1. In their announcement, the agencies cited "the complexity of the rulemaking" and the need "to allow interested persons additional time to analyze the proposed rules." 

NAHB is currently drafting comments for submission ahead of the new deadline.

For more information, email Jessica Lynch at NAHB, or call her at 800-368-5242 x8401.

Floor Plans: So Sweet — Woodside Cottages Recreate 1930s-era Luxury in Hershey, Pa.

The Woodside Cottages in the heart of Hershey, Pa. — the self-proclamed “Sweetest Place on Earth!” — are the centerpiece of The Hotel Hershey's effort to recreate the 1930s-era rustic luxury for which it has become famous.

Built by modular home builer Simplex Industries based in Scranton, Pa., each of the six four-bedroom and four six-bedroom cottages offers guests comfort and luxury and providis sweeping views of the dense Pennsylvania woodlands surrounding the hotel.

Oversized Fireplaces and Antique Timber Beams


Great room

Woodside Cottages guests have the option of renting individual bedrooms, or reserving an entire cottage, each of which includes a multi-functional upper level great room with cathedral ceilings, antique timber beams and oversized fireplaces made from native Pennsylvania stone hand-chiseled by local craftsman.

The ground floor levels in the six-bedroom cottages also feature an additional great room just right for conversation and relaxation.

The Woodside Cottages earned Simplex Industries the 2011 NAHB Building Systems Councils Excellence in Home Design award in the modular multifamily category.

Rocking Chairs and Vistas


A private front porch off a guest room suite

Guests can enjoy sweeping views from the comfort of rocking chairs their rooms' private porches. Each guest cottage also features a private, outdoor entrance.

A Luxurious Sanctuary


A bathroom with Mosaic tiles and Kalista bath accessories

Each guest room is actually a suite with its own private bath. All the cottage bathrooms feature Mosaic tiles and Kalista bath accessories — including cast iron enamel baked soaking tub.

Simplex Industries installed sound-eliminating “Quiet Floor” and a hand-crafted fireplace in the suites to ensure that guests can savor their luxurious sanctuary.


Guest bedroom with fireplace


Separate entrances to each guest room suite

 


With sweeping views of the dense Pennsyvlania woodlands

 


Click for larger image.

Features and Specifications

Design Team

Features

  • 10 cottages with approximately 3,350 square feet on each main floor

  • Marvin "Integrity" double-hung windows, with simulated true divided light

  • Rouge Valley exterior doors

  • Tru-Style solid core — Two-panel (V grooved) MDF doors installed in the interior

  • Lightolier Aperture recessed lighting installed throughout

  • Kalista bath fixtures and accessories

  • Tiled shower walls and floors installed in all bathrooms

  • Ceramic crown molding throughout the guest rooms

  • Rocky Mountain hardware

  • Large French wood doors in all great rooms leading to a welcoming porch with casual seating

  • Synthetic shake shingled roof

  • Fomo Spray Foam insulation — 2-inch closed cell insulation installed on all exterior walls with a layer of  Certainteed  R-13 un-faced insulation for a total R-25.4  insulation value

Minnesota Sued in Latest Round of Kottschade Property Rights Fight

In the latest turn of a more than decade-long fight for his property rights, Frank Kottschade earlier this month took the state of Minnesota to court for paying him far below the market value of 28 acres of his property that were taken through the power of eminent domain to expand an adjacent highway.

The state paid him roughly $875,000, but appraisers have put the value of the property in excess of $10 million because of the development potential of the land and its valuable gravel deposits. Kottschade was receiving $5 per yard for the gravel, which the Minnesota Department of Transportation used for its road project.

Kottschade said he believes the state and the city of Rochester, where the property is located, worked together to deprive him of his property rights.

“The city holds the values down and then the state comes in and acquires the property below market value because of the collaboration between the city and the state,” he said.

Minnesota’s transportation department indicated that it needed the land at a time when a complaint by Kottschade against the city was still making its way through the courts.

In 1999, Kottschade sought permits to build 104 townhouses on a 16-acre site on the west side of the city that had already been zoned for that use. The site was part of a much larger parcel on which Kottschade planned a mixed-use development.

The city responded that it would allow the project to move forward only if eight conditions were met — including a significant contribution of land to the city, a large monetary contribution to a road project and the downsizing of the project from 104 units to just 26.

The conditions made the project infeasible.

In 2001, Kottschade filed a takings claim in federal district court, hoping to rectify a strange precedent from the Supreme Court’s Williamson County decision, which requires property owners bringing regulatory takings complaints before a federal court to first “ripen” their cases by suing in a state court.

However, he eventually was forced to take his case to a state court after the U.S. Court of Appeals found that he had not satisfied the Williamson County rule and that the Supreme Court would have to change it for his case to move forward in federal court.

The Supreme Court, where four justices had signaled a need to revisit Williamson County, nevertheless decided not to hear his case.

Kottschade lost the first round before the District Court for the Third Judicial District of Minnesota, but that decision was reversed by the Minnesota Court of Appeals, which remanded the case for a trial on its merits.

The city of Rochester then chose not to go to court, but to settle for $3.6 million in net damages.

“NAHB did a great job in terms of supporting me with legal research and strategy,” Kottschade said. “There is no way I could have stayed with all these cases without NAHB’s assistance.”

The reported terms of the settlement included:

  • $3 million in cash to Kottschade

  • A $600,000 payment from the League of Minnesota Cities, the city’s insurer

  • A waiver of the city’s sewer, water, storm water, park and building permit fees, estimated at $1.28 million

  • A city payment of up to $675,000 to help build a frontage road on Kottschade’s property

  • A $1.72 million payment from Kottschade to the city for a transportation assessment.

“If I had stood and fought I could have gotten more money,” he said. “But my goal was to get the city to abide by the law. I settled with the idea of moving forward.”

Kottschade, who has been a builder and developer for more than four decades, said he doesn’t know how his suit against the state will end, but he said he does know that he will keep fighting as long as it takes.

He said he still plans to develop his property.

“The last two years have not been an ideal time to move forward with a project of this type,” he added. “The site is strategically located and I have great plans for it, but there is no way I would move forward in this current economic environment.”

For more information, e-mail Christopher Whitcomb at NAHB, or call him at 800-368-5242 x8329.

Tighter Lending Crimps Housing

The percentage of mortgage applications rejected by the nation’s largest lenders increased last year, spotlighting how banks’ cautious lending practices are hampering the nascent housing market recovery. In all, the nation’s 10 largest mortgage lenders denied 26.8% of loan applications in 2010, an increase from 23.5% in 2009, according to an analysis by The Wall Street Journal of mortgage data filed with banking regulators. Lou Barnes, a third-generation mortgage banker in Boulder, Colo., says lenders have grown too cautious. Fannie Mae and Freddie Mac, in particular, “are behaving like a hurricane insurance company that won’t write any policies within 200 miles of an ocean.” Barnes recently told a mother of three who is finalizing a divorce and receiving a cash settlement of $400,000 that his bank would not be able to approve her for a loan even though she has a credit score above 800, no debt and is willing to put down more than 50% on a $400,000 house. She works as a real estate agent and had little income in 2009 when the housing market slowed. That has left her without the two years of documented income the bank wants for her loan application, even though she says business has picked up over the last year. Barnes says that in ordinary times, she would have had no difficulty getting a loan. “Going back as far as there has been banking, if somebody walked in the door with a 50% downpayment, good credit, cash in reserve, they’d walk out with a loan,” he says. (www.wsj.com)
Wall Street Journal Online (6/25/11); Nick Timiraos and Maurice Tamman

Pioneer to Revisit Subprime

Lew Ranieri, once known as the father of mortgage finance, is daring to revisit the most infamous sector of the mortgage market — subprime. He believes now is the time for nontraditional lenders to enter the market. While the bank lending standards that created the mortgage crisis were too loose during the housing boom, they are now too tight, Ranieri says, reducing the supply of mortgages to average borrowers and opening a door for lenders like Shellpoint Partners LLC, a mortgage-finance company he recently founded with two partners. It isn’t clear whether Shellpoint can raise the large amounts of capital needed to play a big role in the nonprime-loan market. But there is little doubt that consumer demand for alternative mortgage financing is growing as traditional banks shut out all but the most pristine borrowers. Shellpoint’s aim is to target borrowers whose credit profiles prevent them from obtaining conventional mortgages in the tight market but who are nevertheless good credit risks and can make a downpayment of at least 15%. The company said a typical borrower could include self-employed contractors and other professionals who have assets and a steady income stream. The self-employed have been the hardest-hit by bank credit-tightening trends. (www.wsj.com)
Wall Street Journal (6/24/11); A.D. Pruitt

Wobbly Housing Market Could Face Another Blow

Unless Congress acts soon, this fall the government will stop backing loans of more than $625,500, making them subject to higher interest rates and downpayments. Heather King and her husband, Rick Yost, learned of the Oct. 1 deadline this month. They are rushing to put their Dupont Circle condominium on the market next month instead of September. They recently had a baby, and they want a larger home in the suburbs. But they need to sell before they can buy. If they took out a $729,750 mortgage and put down 10%, they could afford the $810,000 house they’ve been eyeing in Alexandria, Va., said Brian Martucci, their mortgage broker. But come October, a mortgage of that size cannot be guaranteed by the federal government, thrusting it into the “jumbo mortgage” category. Jumbos generally require at least 20% down — or, in this couple’s case, $162,000 — and their rates can be about a percentage point higher. Rockville, Md., builder Marty Mitchell said some in the industry were counting on the higher loan limits to stay in place until the housing market stabilized. “What we’ve been finding for the last couple of years is that the new home builders have been building to that $729,750 level,” Mitchell said. “The hope was that Congress would have the wisdom to extend these limits again, given how fragile the market is.” (www.washingtonpost.com)
Washington Post (6/26/11); Dina ElBoghdady and Dan Keating

Squeezing Costs, Builders Take New Look at Prefab

With an emphasis on materials conservation and reuse, and developers looking to squeeze costs any way they can, modular construction is getting a closer look. A developer can expect to shave up to 20% off construction costs with modular building largely because labor costs are lower. A unionized New York City carpenter makes about $85 an hour, including benefits, when he works at a construction site. At Capsys in Brooklyn, the only modular factory in the city, a comparable worker makes less than $30 an hour plus benefits. Many modular factories are not unionized and pay even less. Developers also benefit from time savings. Speed aside, builders have the ability to create a production schedule that minimizes downtime. In traditional construction, a contractor is overseeing work by various subcontractors who work for separate entities and on their own schedules. Weather can cause delays and so can any number of unforeseen factors like waits for zoning approvals. But in a factory, all the various tradesmen from the plumbers to the carpenters to the electricians work for the factory, and all the pieces come together simultaneously. (www.nytimes.com)
New York Times (6/14/11); Ronda Kaysen

Home Economics: How to Adapt a Home for a Home Office in Today’s Economy

“The home office is everywhere,” said Steve Melman, NAHB’s director of economic services. About 2% of U.S. workers — the self-employed and unpaid volunteers excluded — consider home their primary workplace, the Telework Research Network says. It estimates that 20 million to 30 million people work from home at least one day a week. Today, for about $60, a single-band wireless router allows home owners to create a building-wide network of computers, printers and other devices linked to a single Internet source — a cable modem. Those who run a business from home, or take a lot of work home, probably will want dedicated space somewhere quiet. They should design the space for themselves, keeping the costs within a reasonable budget, rather than with resale in mind. In 2007, Remodeling magazine’s annual Cost vs. Value report said a home-office renovation would return 56.1% of the investment at sale time. This year, that was down to 45.8%. (www.philly.com)
Philadelphia Inquirer (6/24/11); Al Heavens

Home Builders Branch Out to Survive Lean Times

Faced with a languishing housing market, home builders are increasingly looking beyond bricks and mortar for more lucrative business opportunities to stay afloat. Atlanta-based Beazer Homes, one of the top 10 builders in the U.S., recently launched a pre-owned home division in Phoenix tasked with acquiring, improving and renting recently built, previously owned homes in the city, in an effort to capitalize on robust demand for rental properties. The company has discussed expanding the division to include Las Vegas and parts of California, other regions rife with distressed properties. Builders have also branched into remodeling, with a recent NAHB survey of home builders finding that more than 60% of those polled had diversified into remodeling. “A lot of builders are doing more than one thing,” says Steve Melman, NAHB’s director of economic services. “Remodeling is taking a bigger chunk than it has in the past. It could be a way to develop a new niche if the market doesn’t come back.” Despite sagging demand for new homes, some lenders saddled with unsellable foreclosure properties or unfinished projects have recruited builders to complete stalled projects,” Melman says. “They’re paying builders a fee to complete them because to the lender, a bunch of half-built homes is worthless,” he says. “But if they were to be completed, then they have something that they could potentially sell.” (www.usnews.com)
US News and World Report (6/24/11); Meg Handley

Builders Back Reauthorization of Flood Insurance Program

NAHB on June 23 expressed support for a five-year extension of the National Flood Insurance Program (NFIP) to ensure that the federally backed flood insurance program remains efficient and effective in protecting flood-prone properties and creates more stability in the housing market.

Testifying before the Senate Banking Committee, Barry Rutenberg, first vice chairman of NAHB, told lawmakers that the series of short-term extensions of the NFIP over recent years has created a high level of uncertainty in the program and caused severe problems for the nation’s already troubled housing markets.

“Unfortunately during this latest interruption, many home buyers faced delayed or cancelled closings due to the inability to obtain NFIP insurance for a mortgage,” said Rutenberg.

“In other instances, builders themselves were forced to halt or postpone construction on a new home due to the lack of flood insurance approval, adding unneeded delay and job loss,” he said.

A long-term extension of the program, he said, “will ensure the nation’s real estate markets operate smoothly and allow the nation’s home builders to continue to provide safe, decent and affordable housing to consumers.”

The current reauthorization of the program expires on Sept. 30.

While NAHB supports reforms of the NFIP to ensure its financial stability, Rutenberg urged lawmakers to proceed with care, noting that steps that Congress takes to bolster the program’s balance sheet have the potential to greatly impact housing affordability and the ability of local communities to exercise control over their growth and development options.

To improve the solvency of the program and its attractiveness to potential policy holders, NAHB supports several reforms designed to allow the Federal Emergency Management Agency (FEMA) and the NFIP to better adapt to changes in risk, inflation and the marketplace:

  • Creating a more expansive “deluxe” flood insurance option — or a menu of insurance options from which policyholders could pick and choose — could provide additional home-owner benefits while aiding program solvency.

  • Raising the minimum deductible for paid claims would provide a strong incentive for home owners to mitigate and protect their homes, thereby reducing potential future losses to the program.

  • Establishing a Technical Mapping Advisory Council, as described in House bill H.R. 1309, would ensure the scientific validity of Flood Insurance Rate Maps.

  • Keeping the Special Flood Hazard Area and any mapping to the 100-year flood level (1% annual flood risk), because any expansion would substantially increase the cost of home construction and severely impact housing affordability.

Established in 1968, the NFIP offers affordable flood insurance to home owners and businesses in flood plains and other low-lying areas that otherwise might not be able to obtain coverage.

More than 20,000 communities nationwide participate in the insurance program, which currently covers about 5.5 million policyholders.

To read H.R. 1309, click here and enter the bill number in the box at the upper center of the screen.

For more information, email Kedrin Simms Brachman at NAHB, or call her at 800-368-5242 x8413.

E-Verify a Step Forward in Solving Immigrant Worker Problems, NAHB Testifies

As Congress looks into mandating E-Verify — a voluntary Internet-based system that allows businesses to determine the eligibility of their employees to work in the U.S. — NAHB on June 15 urged lawmakers to ensure that it is fair, efficient and workable and said this should be only one component in achieving comprehensive immigration reform.

Testifying on the "Legal Workforce Act" (H.R. 2164) before the House Judiciary Committee Subcommittee on Immigration Policy and Enforcement, Barry Rutenberg, first vice chairman of NAHB, said that Congress should not end its efforts to address immigration issues after considering a compulsory E-Verify program for all U.S. employers.

Rutenberg commended the efforts of Rep. Lamar Smith (R-Texas) to address the issue of legal workers, adding that, "E-Verify may be a first step, but it should not be the only step.”

“It is vitally important that Congress continue to work towards a revision and improvement of the nation's broken immigration and visa systems,” he said, “and to seek a pathway for workers to legally enter the United States when the economy needs them."

Introduced by Rep. Smith on June 14, the legislation is geared toward providing one uniform federal requirement for E-Verify use, supplanting the laws being considered by a growing number of states and localities that have been working to mandate the federal program using different rules and requirements.

NAHB strongly believes that the E-Verify program must continue to focus on the direct employer-employee relationship, holding every U.S. employer accountable for the identity and work authorization status of their direct employees, he said.

Under current law, employers are responsible for verification of the identity and work authorization status of their direct employees only. While employers do not verify the employees of subcontractors, they are precluded from knowingly using unauthorized subcontracted workers as a means of circumventing immigration law.

"The draft legislation maintains current law in this matter, and NAHB strongly supports that decision," said Rutenberg.

NAHB also believes that unauthorized workers should not be able to use state hiring agencies, union hiring halls and day laborer centers to facilitate finding a job.

"Employers should not be put into the difficult position of going through the effort and expense of obtaining a worker through one of these entities only to find out after the fact that the worker is unauthorized," said Rutenberg.

"The draft legislation currently under consideration requires that all entities who refer workers must also utilize the E-Verify system,” he said. “NAHB supports this concept, and urges the subcommittee to support this effort to make every entity accountable for the verification of workers that they refer for employment."

NAHB told lawmakers that any legislation requiring the use of E-Verify by all U.S. employers should include a strong pre-emption clause, preventing state and local governments from creating and enforcing their own versions of verification requirements for employers.

"If employers are going to be required to use the federal E-Verify program, they must be assured there is only one set of rules needed for compliance, those established by the federal government that are applicable nationwide, and not a series of various conflicting state and local government laws," he said.

A universal use of E-Verify by all employers nationwide would undoubtedly lead to a significant increase in errors as more and more workers are run through the system, testing the limits of its capacity.

NAHB therefore called on lawmakers to ensure that a compulsory federal E-Verify program contains a robust safe harbor for employers in order to ensure that those who use the system in good faith will not be held accountable by the Department of Homeland Security, or by the employer's workers, for errors in the E-Verify system.

"An employer who hires a worker who has cleared E-Verify and later turns out to be unauthorized, or who terminates an actual legal worker that E-Verify says is unauthorized, should not be penalized because the federal database was wrong," said Rutenberg.

He added that until E-Verify can detect cases of fraud, employers who use the system should not be held accountable for unauthorized workers who have cleared the system because of identity theft.

Since most NAHB members have 10 or fewer employees and many workers spend their days out on the job site, NAHB is pleased that under the draft legislation the system would operate through a toll-free telephone and other toll-free electronic media.

Further, NAHB believes that a mandatory E-Verify system must be phased in according to business size, ensuring that larger employers — who have human resource and legal departments — enter the system first and are gradually followed by smaller businesses in future phases.

"Moving the best-equipped businesses into the system first will provide a test of E-Verify's ability to handle increased demand, and will ensure the transition to universal use is not short-circuited by a systemic failure," said Rutenberg.

A reasonable phase-in period will also provide smaller employers time to learn about the new E-Verify requirements and how to use the online or telephone system, he added.

For more information, email Jenna Hamilton at NAHB, or call her at 800-368-5242 x8407.

May’s New-Home Sales Down Some, But Hold Above Average for First Quarter

Sales of newly built, single-family homes declined 2.1% to a seasonally adjusted annual rate of 319,000 units in May, according to figures released by the U.S. Commerce Department on June 23, partially offsetting a larger gain in April.

"The report indicates that new-home sales are holding fairly steady at a relatively low rate, with both April and May sales numbers running above the first-quarter average," noted NAHB Chairman Bob Nielsen.

"In view of the slow progress of economic recovery and the challenges builders continue to face with regard to rising materials prices, access to construction credit, competition from foreclosed homes and inaccurate appraisals, the averages for the last two months combined represent some very slow improvement that should continue as expected economic gains boost consumer confidence," Nielsen said.

"One bright spot in the government's May housing numbers is the inventory of new homes for sale, which continued to fall to a new record low last month," said NAHB Chief Economist David Crowe.

"This means that builders continue to be appropriately cautious about adding new homes to the marketplace,” he said, “and it has pushed down the months' supply to a level typically found in stable markets."

May’s new home sales were down 26.7% in the Northeast and 3.5% in the West. They remained unchanged in the Midwest and rose 2.4% in the South.

Meanwhile, despite the slower sales pace, the inventory of new homes for sale continued downward in May, declining 3.5% to 166,000 units. This marks the lowest inventory number on record and represents a 6.2-month supply at the current sales pace.



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For in-depth analysis of the latest housing statistics and research from the federal government, NAHB and other sources, Eye on the Economy readers are encouraged to visit Eye on Housing at http://eyeonhousing.wordpress.com/.

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Data You Can Build On

Get historical data, industry analysis and the latest forecasts, including state and metro, from HousingEconomics.com. Support your business decisions with in-depth analyses, detailed Excel tables, overviews and more. For more information, visit HousingEconomics.com.

Housing Starts Up 3.5% in May, With Multifamily a Bright Spot

Nationwide housing starts rose 3.5% to a seasonally adjusted annual pace of 560,000 units in May, partially offsetting a decline in April, according to figures released by the U.S. Commerce Department on June 16.

"While the upward movement registered in the May report is somewhat good news, housing production continues to bounce along the bottom near historic lows and is only running at a level necessary to replace dilapidated or destroyed units," said NAHB Chairman Bob Nielsen.

"Amidst this fragile marketplace, the nation's policymakers should be aware of a recent poll that confirms the strong value that most American voters continue to place on homeownership and housing choice," he added.

Conducted this May on behalf of NAHB by Public Opinion Strategies of Alexandria, Va., and Lake Research Partners of Washington, D.C., the poll asked 2,000 likely voters about their attitudes on homeownership and housing policy.

It found that the vast majority of current home owners are happy with their decision to own a home and believe that owning their own home is important, while nearly three-quarters of those who do not now own a home consider it a goal of theirs to eventually buy one.

Details on the poll are available at www.nahb.org/voterpoll.

For a related story in the June 13 issue of Nation’s Building News, click here.

"Like consumers, builders remain very concerned about the pace of economic growth and are awaiting signs of improvement before moving forward with new projects," noted NAHB Chief Economist David Crowe.

"The relative bright spot in new-home construction is on the multifamily side, where improving demand for rental apartments is spurring gains in that sector, he said.

“However, access to construction credit remains a limiting factor for new building."

Single-family housing starts rose 3.7% to a seasonally adjusted annual rate of 419,000 units in May — their strongest pace since January.

May’s multifamily starts rose 2.0% to a 141,000-unit pace.

Regionally, housing production in May rose 1.5% in the South and 18.1% in the West, but declined 3.3% in the Northeast and 4.1% in the Midwest.

Issuance of building permits, which can be a harbinger of future building activity, rose 8.7% to a seasonally adjusted annual rate of 612,000 units in May — the strongest pace since December of 2010.

Single-family permits rose 2.5% to a 405,000-unit rate, while multifamily permits climbed 23.2% to 207,000-units — their best pace since October of 2008.

Permit issuance posted double-digit gains in the Northeast and West in May, rising 35.6% and 15.1%, respectively. The South gained 3.5%, while the Midwest declined 1.1%.



Subscribe to the Free Eye on Housing Blog

For in-depth analysis of the latest housing statistics and research from the federal government, NAHB and other sources, Eye on the Economy readers are encouraged to visit Eye on Housing at http://eyeonhousing.wordpress.com/.

They can also subscribe to the blog’s free RSS feed, which will automatically alert them to every new posting.



Data You Can Build On

Get historical data, industry analysis and the latest forecasts, including state and metro, from HousingEconomics.com. Support your business decisions with in-depth analyses, detailed Excel tables, overviews and more. For more information, visit HousingEconomics.com.

Builder Confidence in Single-Family Market Drops Three Points in June

After holding at a low but steady level for the past six months, builder confidence in the market for newly built, single-family homes declined three points in June to a reading of 13 on the NAHB/Wells Fargo Housing Market Index (HMI), its lowest level since September 0f 2010.

"Builders are being squeezed by the continuing weakness in existing-home prices — against which they must compete — as well as rising material costs," said NAHB Chairman Bob Nielsen.

"In addition to the ongoing impacts of distressed property sales on home prices, appraisal values and consumer confidence, rising costs for materials such as roofing, copper, wallboard, vinyl siding and other components have made it extremely difficult to construct a new home and sell it at a price that covers the costs," said Nielsen.

"Builder confidence has waned even further as economic growth has stalled, foreclosures have continued to hit the market and the cost of building a home has risen," agreed NAHB Chief Economist David Crowe.

"Meanwhile, potential new-home buyers are being constrained by difficulty selling their existing homes, stringent lending requirements and general uncertainty about the economy,” he said.

“Economic growth must pick up in order for housing to gain the momentum it needs to get back on track."

Derived from a monthly survey that NAHB has been conducting for more than 20 years, the NAHB/Wells Fargo Housing Market Index gauges builder perceptions of current single-family home sales and sales expectations for the next six months.

Scores from 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.

Every component of the HMI fell in June.

The components gauging current sales conditions and the traffic of prospective buyers each fell two points, to 13 and 12, respectively.

Sales expectations fell four points to tie a record-low 15 set in February and March of 2009.

The Northeast was the only region to post a gain in its HMI score for June, which rose two points to 17. Meanwhile, the Midwest dropped three points to 11, the South dropped two points to 14 and the West posted a four-point decline, landing at 12.



Subscribe to the Free Eye on Housing Blog

For in-depth analysis of the latest housing statistics and research from the federal government, NAHB and other sources, Eye on the Economy readers are encouraged to visit Eye on Housing at http://eyeonhousing.wordpress.com/.

They can also subscribe to the blog’s free RSS feed, which will automatically alert them to every new posting.



Data You Can Build On

Get historical data, industry analysis and the latest forecasts, including state and metro, from HousingEconomics.com. Support your business decisions with in-depth analyses, detailed Excel tables, overviews and more. For more information, visit HousingEconomics.com.

Eye on the Economy: Housing Remains Sluggish, But Positive Signs Are Emerging

Housing and the economy remained sluggish and most economic data released during the past few weeks has been disappointing.

Existing home sales were down again in May, and the NAHB Housing Market Index fell in June to a nine-month low. Inflation, as measured by the producer and consumer prices indexes, continued to rise.

But some bright spots are beginning to emerge. House prices ended a 10-month slide as the Federal Housing Finance Agency House Price Index ticked up in April. And while housing starts continue to “bounce along the bottom,” they rose in May, recovering half of the previous month’s decline. In addition, oil prices, which peaked in April, receded by almost 15%, relieving some inflationary pressure.

Though some have suggested that housing has fallen out of favor with the American public, a new poll commissioned by NAHB suggests otherwise. The results indicate that homeownership remains a priority for most Americans. Meanwhile, Washington is targeting housing on a number of fronts — the expiration of the GSE and FHA loan limits, scaling back the mortgage interest deduction, etc.

Latest Postings

Eye on the Economy is a bi-weekly digest of the latest economic and housing policy news, analysis and studies as posted on NAHB’s free Eye on Housing blog. The preceding is a reissue of his June 24 edition. To subscribe to Eye on the Economy, click here.



Subscribe to the Free Eye on Housing Blog

For in-depth analysis of the latest housing statistics and research from the federal government, NAHB and other sources, Eye on the Economy readers are encouraged to visit Eye on Housing at http://eyeonhousing.wordpress.com/.

They can also subscribe to the blog’s free RSS feed, which will automatically alert them to every new posting.



Data You Can Build On

Get historical data, industry analysis and the latest forecasts, including state and metro, from HousingEconomics.com. Support your business decisions with in-depth analyses, detailed Excel tables, overviews and more. For more information, visit HousingEconomics.com.

 

Useful Links to Monitor Economic and Housing Trends

The 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.



Subscribe to the Free Eye on Housing Blog

For in-depth analysis of the latest housing statistics and research from the federal government, NAHB and other sources, Eye on the Economy readers are encouraged to visit Eye on Housing at http://eyeonhousing.wordpress.com/.

They can also subscribe to the blog’s free RSS feed, which will automatically alert them to every new posting.



Data You Can Build On

Get historical data, industry analysis and the latest forecasts, including state and metro, from HousingEconomics.com. Support your business decisions with in-depth analyses, detailed Excel tables, overviews and more. For more information, visit HousingEconomics.com.

Builders’ Tip: Wax Paper Can Provide Cheap, Effective Masking Help When Cutting Edges

 

Click for larger image.

If your ability to cut in a sharp edge with a paintbrush is sometimes on the shaky side and you don’t mind saving a dime or two, you’ll appreciate the masking tip that I came up with on a recent baseboard job.

As shown in the accompanying drawing, I use narrow strips of wax paper held in place by bits of masking tape to protect the floor and the wall.

  • I bought a 25-yard roll of wax paper for $1.50 at the supermarket and cut it into four equal-width rolls with my bandsaw.

  • For a two-piece baseboard, I put down the wax paper floor strip first and then nailed the base to the wall. Then, with the wall painted, I put the wall strip of wax paper on and installed the base cap.

  • For one-piece base, I apply both wax paper strips before installing the baseboard.

  • Then I paint.

  • Now my shaky cut-ins have sharp edges.

  • Once the paint dries, I cut away the tape with my utility knife and remove the wax paper. Then I caulk so that the caulk can bond to the wall.

This method works equally well for window casings — especially the side pieces where gravity works in your favor.

Just tape the wax paper at the top and let it unfurl.

— Scott Gibson; East Waterboro, Maine

Tips & Techniques provided by Fine Homebuilding.
©2010 The Taunton Press

To contact Fine Homebuilding, email Christina Glennon.



Get NAHB BuilderBooks 2010 Virtual Publications Catalog Online

The NAHB 2010 Publications Catalog from NAHB BuilderBooks is available online.

Presented in a virtual format as part of the NAHB BuilderBooks effort to go green and streamline delivery, the catalog includes publications and products to help building industry professionals ramp up for a successful year as the industry and the economy begin to recover.

The materials in the catalog, written by industry leaders in various fields of residential construction, feature publications and products about accounting, estimating, business management, green building, sales and marketing, safety, construction codes, 50+ housing, multifamily housing, construction management remodeling and more.

Some of the newest publications in the catalog include “Social Media for Home Builders,” the “National Green Building Standard Commentary” and “Paper Trail: Systems and Forms for a Well-Run Remodeling Company, Second Edition.”

To view the virtual catalog, click here.

 

 

 

 

Popularity of Green Home Technology Increases With Familiarity, Lower Costs

Even though prospective home buyers balk at incorporating green home technology in their new homes because of the perceived costs involved, their apprehension is beginning to wane as the technology becomes more affordable and its benefits become more apparent, according to panelists participating in the recent NAHB webinar, “Green Home Technology: How to Cut Costs for Your Customers.”

Green home technology “helps the home function more efficiently while simplifying the home owner’s lifestyle and saving them money,” green builder Matt Belcher, CGP, of Belcher Custom Home Building in St. Louis, told the audience of the June 15 webinar, which was sponsored by NAHB and the Custom Electronic Design & Installation Association (CEDIA).

“In general, the perception that green home technology is expensive has been valid up until recently,” added Dave Pedigo, CEDIA's senior director of technology, while noting that home buyers with the most disposable income generally were the technology’s earliest consumers.

But costs began to decrease as use of the technology became more widespread, he said.

Coupled with lower costs, Pedigo said home owners are becoming more familiar with the technology, especially as it is being integrated with mobile devices such as the iPad, iPhone and android products, which enable home owners to manage their homes — such as monitoring energy use — remotely. This, too, is adding to the technology’s acceptance among home buyers.

Belcher said that many of his buyers know exactly what home technology components they want in their homes and why — which makes the sale easier. But for those who are hesitant, he focuses on relating the technology’s benefits and demonstrating how easy it us to use.

“The bottom line is still their bottom line,” said Belcher, adding that, if the benefits fit their lifestyle, they will be more willing to buy and incorporate the technology.

“People, even though they are strapped for cash, will still go out and buy the newest mobile device,” he said. “They can control the power for their homes from their phones, so it’s more interesting to them.”

“The price point has gone down, and competition is a wonderful thing for consumers when it comes to this market. Cash incentives and federal tax incentives are helpful as well,” Belcher added.

A Growing Demand for Higher Tech

Belcher stressed that home technology is not higher priced — “just higher tech.”

“As remodels and rehabs become such a large part of the market, more people are putting these systems in their homes to help them reduce their operating costs — and it is going to be a major profit center for builders and remodelers who are working with electronic systems contractors (ESCs) to meet the demand,” Belcher said.

He explained that although home buyers may not want to incorporate all of the home technology components at once, offering them the choice to add more technology components later can help get consumers off the fence.

How to Appeal to Potential Buyers

One engaging approach to selling home technology “is to let the consumer know that pre-wiring for the technology is still an option, so when they are ready to incorporate those green home features, they can do so on their own time,” Belcher said.

Another tactic is to get prospective buyers actively involved in the benefits.

“In my experience with customers who have decided to incorporate these kinds of technologies, they are excited about the control it gives them,” said Belcher. “They love to talk about the baseline of their home and energy use, information that we can share with them,” he said. “It gives them a ballpark to work within that they also constantly try to improve and outperform on a monthly basis.”

Keeping up to date with technology trends and working with an experienced ESC from the very beginning will add credibility and quality to a builder’s building process and product line.

Burgeoning Trends

One of the most popular home technology systems that builders currently are installing is lighting control, Pedigo said. Many consumers are more aware of this measurable part of their budgets. They can forsee the benefits and are willing to make the investment, he added.

“I expect this trend to continue as more home owners attempt to reduce their household costs,” he said.

Another technology frequently requested is “daylight harvesting” — using an astronomical clock or similar programming to operate motorized window shades. Properly used window shades can save home owners a significant portion of their energy consumption.

“In the summertime, shades passively cool the home, and in the winter they are programmed to allow optimum daylight to enter and warm the home,” Pedigo said.

“Energy dashboards and energy management are also a burgeoning trend,” he said. “This allows the home owner to actively monitor the amount of energy used by way of a dashboard that visually indicates the energy levels in the home.”

“Programming options allow home owners to monitor their home’s energy output and adjust their consumption,” he said.

Solar energy is another popular system in specific regions that is increasing in demand, he said.

Collaborate With an ESC

Belcher and Pedigo discussed the importance of collaboration between an ESC and a builder when creating home technology systems and working with prospective buyers.

“The ESC is an integral part of the team,” Belcher said. “With an ESC involved early in the process, we are able to solve a lot of problems at the discussion and planning stage. He helps the customer as they add things to their house.”

“It is key to have an ESC brought into the project as early as possible,” reiterated Pedigo. “If you are going to sell a sustainable lifestyle, it makes a tremendous difference in the quality assurance when you bring in the ESC at the beginning of the project and not as an afterthought,” he said.

“As an example, if you put solar panels on — slightly altering the direction of the home can make a significant performance difference, and the ESC would know to look for those details,” he said.

In addition to keeping up with technology trends, Belcher said working with an ESC, knowing how to educate buyers and following the National Green Building Standard will help builders enhance their business and green building practices.  

“The standard levels the playing field for green builders,” he said. “I can better focus on choosing the right systems and components that we can include in our homes and it makes me more efficient on the business side of things.”

He said the standard can help builders apply better building practices and increase their credibility. “Those are just a few of the biggest benefits for me,” Belcher said.

Replays and New Webinars

For a replay of the webinar, visit the Webinar Rewind page (www.nahb.org/webinardownload) on the NAHB website.

For more information on the design and technology series of NAHB Webinar Wednesdays, visit www.nahb.org/webinars.

For more information, email Erin Grant at NAHB, or call her at 800-368-5242 x8461.



Information About Home Technology Available From HTA

The Home Technology Alliance (HTA) is a partnership between NAHB and CEDIA, the Custom Electronic Design Installation Association, that was formed to position the housing industry to effectively meet the growing home buyer demand for home technology and provide maximum return on investment in the new home building and remodeling process.

For more information, visit www.nahb.org/HTA.



CEDIA: A Source for Experienced ESCs

CEDIA, the Custom Electronic Design Installation Association, is a founding sponsor in the Home Technology Alliance and an international trade association of companies that specialize in designing and installing electronic systems for the home.

CEDIA members are established and insured businesses with bona fide qualifications and experience in this field. CEDIA serves as a source for electronic systems contractors (ESCs).

For more information on CEDIA, visit the association’s Web site at www.cedia.org. To find an ESC, click here.

Multifamily Market Index Finds Improving Conditions in First Quarter

NAHB's quarterly Multifamily Production Index (MPI) recorded its third consecutive quarterly increase for the first three months of 2011, indicating continuing improvement in the multifamily housing market. 

The MPI, which tracks multifamily housing industry sentiment on the strength of the market on a scale of 0 to 100, increased from 40.8 in the fourth quarter of 2010 to 41.7 in this year’s first quarter of 2011.

Any number over 50 indicates that more respondents report conditions are improving than report they are deteriorating. 

The index provides a composite measure of three key elements of the multifamily housing market — construction of low-rent units, market-rate-rent units and “for sale” units.

“Multifamily continues to be one of the brighter spots in housing,” said NAHB Chief Economist David Crowe. “Not only is the overall index on the rise, the market-rate rental component has improved dramatically. In the first quarter, the market-rate rental component was 60.5, the highest level in more than five years.” 

Although the increase is cause for optimism, Crowe said, the multifamily market still faces significant challenges.

“There is considerable pent-up demand, but the ongoing crisis in funding for new construction means that developers are limited in their ability to meet that demand.”  

The Multifamily Vacancy Index (MVI), which measures the multifamily housing industry’s perception of vacancies, increased slightly from 33.3 in the fourth quarter of last year to 35.0 in the first quarter of 2011. The lower the number on the index, the fewer the vacancies.

“Both the Multifamily Production Index and the Multifamily Vacancy Index have emerged as leading indicators that provide information about the likely movement of Census Bureau statistics of multifamily starts and vacancy rates about one to three quarters in advance,” Crowe said.

“Even though we saw a slight increase in the vacancy index in the first quarter, the long-term trend is downward,” he said. “Given the demographics of demand, we expect that trend to continue.” 

“We are seeing positive movement in the multifamily market,” said Stillman Knight, chairman of NAHB’s Multifamily Council Board of Trustees and president and CEO of the Knight Company of Alexandria, Va.

“However, production is still low in the context of anticipated demand, and rents are increasing as a result. Rents are likely to continue to rise unless financing for new construction becomes more readily available,” he said.

For data tables on the MPI and MVI, go to www.nahb.org/mmi.

EPA Turning Lead-Safe Renovation Into a Regulatory Nightmare, Letter Complains

NAHB has asked the House Committee on Small Business to convene a panel to discuss the failure of the Lead Renovation, Repair and Painting (RRP) rule, citing its excessive regulatory burdens and costs.

“With the new home construction market still at historic lows, the effort to find work in retrofitting and upgrading older housing (remodeling) has been attractive to many unemployed builders,” the letter said.

“Unfortunately, recent amendments and changes to the rule have further constrained small businesses in the remodeling industry that are making every effort to comply” with a regulation that the Environmental Protection Agency has made “cumbersome, burdensome and as inordinately difficult as possible,” the letter said.

“Without better oversight on how the EPA is implementing, managing, assessing costs and enforcing the RRP, this rule could easily derail the small business remodeling firms that are complying by placing them at a comparative disadvantage to uncertified, untrained contractors and home owners who blatantly do not, or are not required to, comply,” NAHB said.

The letter also reiterated NAHB’s serious concerns with the removal of the rule’s “opt-out” provision, which enabled owners of homes built before 1978 to forgo some of the more expensive requirements if there were no children under the age of six or a pregnant woman in the household. This would apply to 88.5% of all homes.

“Without even giving the original rule a chance to work, the EPA immediately amended it by taking away a key measure that made it easier for small businesses to absorb the regulatory impact,” the letter said.

“Those home owners no longer have the option of foregoing the costs of compliance with RRP when hiring a professional remodeler to work on an older house,” it said.

The letter said that accurate test kits are unavailable.

It also pointed out that the EPA’s plan to include clearance testing in the rule would blur the line between remodelers and lead paint abatement contractors, while creating liability for the remodeler and the home owner.

“During a time when unemployment tops 18% in the construction industry, heavily dominated by small businesses, it is inconceivable that the EPA has subverted nearly every possible tool that remodelers have to help ensure their compliance with something as important as the RRP,” the letter said.

“NAHB members worked closely with the EPA during the development of the original RRP and had hoped that it could be implemented as finalized, and help promote healthy, lead-safe renovation work. Unfortunately, the EPA is redesigning the RRP into a regulatory nightmare that will essentially discourage critical efficiency upgrades and increase costs for older homes.”

For assistance in complying with the rule, visit www.nahb.org/leadpaint.

For more information, email Matt Watkins at NAHB, or call him at 800-266-8366 x8327.

NAHB Has Member Resources to Assist Remodelers With Lead Rule Compliance

With the U.S. Environmental Protection Agency stepping up inspections and enforcement actions on contractors working in residences subject to the Lead: Renovation, Repair and Painting rule, NAHB has developed members-only resources to help remodelers with lead rule compliance.

Remodelers working in pre-1978 homes must comply with the rule — which includes becoming an EPA-certified renovator and following the lead-safe work practices required under the regulation — or risk fines of as much as $37,500 per violation per day and litigation.

Be Aware and Be Ready

The EPA’s regional offices have begun inspections and are initiating enforcement under the lead rule. Last month, enforcement actions were initiated against a Rockland, Maine, contractor whose employees were caught on video scraping paint from the side of an older home without using lead-safe work practice and otherwise complying with the rule.

All contractors — remodelers, HVAC contractors, window replacement specialists, etc. — working in pre-1978 housing units where painted surfaces are disturbed, must understand the requirements of the lead rule and be able to demonstrate compliance to an EPA inspector.

NAHB has learned that inspectors are requesting three years of records from firms under investigation.

These records include:

  • Signed copies (by the home owner/tenant of applicable projects) of EPA’s Pre-Renovation Disclosure Form, affirming they have received pre-renovation education from the EPA's "Renovate Right" pamphlet. This requirement pre-dates the lead rule and remodelers need to have three years of applicable records on file.

  • A copy of “Firm Certification” by the EPA or an EPA-delegated state and a copy of “Certified Renovator Certificate,” also issued by the EPA or delegated state. Remodelers must have both these certifications on file and all certified renovators must be employed by a certified firm. Failure to have both these certifications can result in fines. To learn more about how to achieve these certifications, click here.

  • A copy of the certified renovator’s report for each job subject to the lead rule. This includes information on any EPA-approved pre-renovation test kits used only by the “certified renovator” to determine applicability of the lead rule and the sample record-keeping checklist.

Compliance Resources

The member-only resources — which can be found at www.nahb.org/leadcompliance — include downloadable documents such as:

  • A sample lead paint rule compliance checklist
  • S ample contract language
  • A pre-renovation disclosure form
  • A sample record-keeping checklist, and more
For more information on the lead rule, visit www.nahb.org/leadpaint; or email Matt Watkins at NAHB, or call him at 800-368-5242 x8327.



Learn How to Run a Successful Remodeling Company

“The Paper Trail: Systems and Forms for a Well-Run Remodeling Company,” available through NAHB BuilderBooks, 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 NAHB BuilderBooks, 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 remolded rooms in the house.

To view or purchase this publication online, click here, or call 800-223-2665.

 

Energy Retrofitting Offers Market Opportunities for Remodelers

With so many homes in need of renovation, remodelers should find abundant opportunities for green or energy efficiency retrofits in the current marketplace, said Kermit Baker, director of the Remodeling Futures Program at Harvard University’s Joint Center for Housing Studies during a May 24 webinar presented by GreenExpo365.

Half of the 130 million existing homes in the U.S. housing stock were built before 1973, Baker said, suggesting that a vast number of homes across the country are huge energy leakers and could benefit from efficiency upgrades.

Research shows that spending on improvements and maintenance increases as homes age, particularly around the 20-year mark.

Several major residential systems — such as roofing, siding, windows and HVAC — last an average of 20 to 30 years, he said, and their replacement can be tied in with other “while we’re at it” projects.

“Demand for energy-efficient upgrades in our area is definitely on the increase,” said Tim Swafford, owner of Swafford Construction in Chattanooga, Tenn. “Most everyone is becoming more energy conscious and realizing the benefits of responsible remodeling and building. Windows, doors, insulation and caulking all are frequent requests.”

Baker argued that improving the efficiency of older homes represents the most substantial opportunity for reducing residential energy consumption.

“We are seeing a surge of demand for energy efficiency and green remodels in our area, particularly in established neighborhoods and urban areas that are undergoing revitalization,” said Heather Ferrier, of Ferrier Construction in Fort Worth, Texas.

With consumers still quite reluctant “when it comes to building new, many are turning their focus onto their existing homes, which pose less risk,” she said.

Additionally, a growing share of remodeling firms have been taking on projects eligible for the energy-efficiency tax credit. Almost 60% of remodelers surveyed reported they have worked on tax credit eligible projects — such as building envelope improvements, HVAC system upgrades and renewable energy installation.

While the energy-efficiency tax credit has been reduced to pre-stimulus levels, it still may help sell energy-efficiency upgrades and lead to additional remodeling work.

Baker said that prospects for remodeling are best in places like the Northeast and California and also in parts of the Midwest where there is greater home value appreciation, higher median incomes, an older housing stock and a larger share of upscale remodeling.

“Retrofitting older homes offers greater potential for many remodelers,” said Baker. “When you take into account the aging housing stock and growth of remodeling activity, this market offers business opportunities and can impact residential energy consumption.”

For more information on remodeling resources available from NAHB, click here; or email Kelly Mack, 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 NAHB BuilderBooks, 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 NAHB BuilderBooks, 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 remolded rooms in the house.

To view or purchase this publication online, click here, or call 800-223-2665.

Apply for Annual NAHB Remodelers Awards by July 29

NAHB Remodelers members are invited to apply for a variety of awards that recognize the achievements of both local councils and individual members.

Applications for the awards are due by Wednesday, July 29, except for the Remodeler of the Month award, which is due by the 15th of each month.

The award recipients will be honored at the Remodelers Gala during the Remodeling Show in Chicago in October. 

The awards include:

Remodeler of the Year

National Remodeling Hall of Fame 

CADRE – Council Awards for Demonstrating Remodeling Excellence

  • Entry Fee: $50 — This is a one-time entry fee, regardless of the number of entries submitted by a member or council. There is no entry fee for the community service category.
  • Application and details available at www.nahb.org/cadre.
  • Sponsored by Pella Corporation.

Homes for Life CAPS Project Award

Remodeler of the Month

  • Application deadline: 15th of every month
  • Applicants must be builder members of NAHB and NAHB Remodelers. 
  • Applications and details are available at www.nahb.org/rom.
  • The application must be submitted electronically to remodel@nahb.com.
  • Each application is judged for three months.  

For more information, email Kelly Mack at NAHB, or call her at 800-368-5242 x8451; or visit www.nahb.org/remodelerawards.



Learn How to Run a Successful Remodeling Company

“The Paper Trail: Systems and Forms for a Well-Run Remodeling Company,” available through NAHB BuilderBooks, 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 NAHB BuilderBooks, 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 remolded rooms in the house.

To view or purchase this publication online, click here, or call 800-223-2665.

Include Boosting Your Internet Presence When Creating an Effective Marketing Budget

By Brian Flook, MIRM
Power Marketing & Advertising

The key to sales is traffic, and the key to building traffic is marketing.

Before the housing downturn, builders operated quite effectively with marketing and sales budgets that ranged between 5% and 8% of their gross revenues. But since then, challenging sales and a growing use of the Internet have changed that rule-of-thumb equation.

Marketing’s role is to deliver warm bodies. But in the today’s market, most people — as much as 90%, according to marketing statistics — begin their new-home shopping online.

If you’re like many builders, you typically spend between 1% and 3% on collateral materials, newspaper and magazine advertising, direct mail, model homes, Realtor® co-ops, sales commissions and sales management to generate traffic. I recommend that you spend at least 50% of that overall budget on your website, Internet opportunities and search engine optimization (SEO) in order to boost your online visibility.

A simple Google search for “home builders Baltimore, MD” conducted on June 15 brought up 597,000 results. Effective SEO will place your website near the top of those results and make you much easier to find.

Optimize Your Website

Simply stated, SEO is a series of online processes — public relations, e-blasts, copywriting, back linking, blogging, social media, etc. — that can help bring your website up in a search engine’s organic results.

A builder can purchase a simple, beginning SEO campaign for as little as $400 per month and realize results in six to 12 months. A more comprehensive campaign can cost upwards of $2,500 a month.

If your website is more than three years old, it’s time to create a new one or seriously freshen it up, so budget for SEO, refreshing your website and portals and other online marketing to boost your Internet presence.

Where finances allow, build a model with a sales center in your community. It’s your most effective, emotion evoking closing tool.

Again, budget percentages vary depending on your volume, but if you hope to average one-and-a-half to two home sales a month, include 1.5% to 2% in your budget for a model and sales center. Understand that your model and sales center will only appear fresh for about 18 months and then begin to lose its effectiveness, so don’t rely on it for three years — and wonder why something isn’t clicking.

Realtor® Co-ops Matter

Real estate agents typically are involved in as many as 80% of all home sales in a given market. In my opinion, every builder should co-op with Realtors® at the local going rate — generally 2% to 3% of the home’s contract price.

The number of cooperative sales will vary — from 20% of your total sales in rural areas to up to 80% in urban centers. So, budget for your co-op sales as accurately as you can because if you underestimate them your overall budget will take a huge hit.

When budgeting for sales commissions and sales management, your market sets the pay scales. But builders have some leverage because many salespeople are out of work. You should budget enough to hire of a salesperson with the level of experience and expertise that you want.

Collateral Materials Are Still Important

Since most prospective buyers narrow their choices through online research before physically visiting a community, collateral material has less of an impact on their decision-making than in the past — but not too much less.

By the time prospective buyers visit your sales center or model they more than likely have already visited your website several times and narrowed their choices to a handful of builders or communities. Consequently, collateral brochures should reflect your website and include information directing people back to it.

When budgeting for brochures, only budget enough to design, create and print about six- to eight-months’ worth of the handouts. Because you should continually update your website to keep it fresh, a brochure reflecting your website will have to keep pace with it.

These constraints on the viability of your brochures make your sales center point-of-purchase displays that much more important to your marketing.

I believe you should invest more money in your displays than in your printed materials. You want to make sure that prospects who are still considering you — after eliminating most of your competition — see displays and product materials as soon as they walk through your door that validate their decision to visit your model.

There is no room for cheesy marketing here. This is where you close the deal. Consumers expect vibrant imagery, so budget enough to purchase a few high-quality displays to help make it happen.

Brian Flook, MIRM, is president of Power Marketing & Advertising, Inc., an advertising, marketing and sales consulting firm that has helped create new-home marketing budgets for home builders and the real estate industry. He also is an industry speaker and trainer who has been featured at the NAHB International Builders' Show since 1996. For more information, visit www.power-marketing.com; or email Flook, or call him at 301-416-7861.

A version of this article originally appeared as an “Ask a MIRM” column in Sales + Marketing Ideas magazine and on the NAHB Sales and Marketing Channel.



'Social Media for Home Builders 2.0' Available at NAHB BuilderBooks

“Social Media for Home Builders 2.0: It’s Easier Than You Think,” available through NAHB BuilderBooks, demonstrates the power of social media through case studies and online outlets created specifically for the home building industry.

The publication explains how builder can use social media sites to build their brand, engage new and existing consumers, manage their online reputation and sell more homes.

To view or purchase this publication online, click here, or call 800-223-2665.



In Today’s Market, 'Think Sold!' With Help From NAHB BuilderBooks

“Think Sold! Creating Home Sales in Any Market,” available at NAHB BuilderBooks, 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.



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.

Be Prepared to Discuss Financing With Buyers in Terms That Reduce Their Fears

With financing such a critical component of the home buying decision, panelists participating in a webinar presented by NAHB's National Sales and Marketing Council told listeners that they needed to understand the financing process and know how to explain it so they could better reduce the fear of it among home buyers and close the sale.

“The goal is to open up the conversation to get buyers out of the fear stage and into the emotional stage of why they are purchasing a home,” said Anthony Grasst of MetLife Home Loans during the NAHB webinar, “What Salespeople Need to Know About Financing,” on June 8.

“If you understand financing as one of the critical components in selling a home and you are able to effectively communicate it to your buyers in a meaningful way, you will have more success in your sales than your competitors,” he added.

Grasst said that top salespeople know how and where financing fits into the sales process and they identify financing solutions beforehand and practice how to present those solutions using sales scripts. He said they also develop questions to ask buyers to get the pertinent financial information needed to make the sale.

“Train your salespeople to write their dialogue and practice asking, telling, trial closing and closing each part of the buyer’s checklist,” added webinar panelist Chris Seung, CSP, of Customer Connected Sales Training.

But Grasst said many salespeople mistakenly avoid preparing themselves on financing because they are intimidated by the process or don’t want to be involved and prefer to have the lender take care of everything.

He noted, however, that the most successful sales teams are the ones who work with the lender during the sales process.

Cooperating will reduce surprises and help the process advance more smoothly, agreed Seung.

“You need to know what your loan officer is saying to your prospects,” he said. “Tell the loan officer what you want, as a new home salesperson or builder, to make the experience the best it can be for your buyers.”

“Buyers who have a good experience usually generate referrals for that builder or even buy from the builder again,” he said.

Salespeople also need to explain financing in language that buyers can comprehend.

“Most buyers don’t understand what it means when you are offering 4.5% and the market is at 5%,” said Grasst, adding that salespeople can close more sales by explaining the intricacies of financing in clear terms.

Grasst also cited the advantages of explaining how buyers negotiating with builders can reduce their monthly payments without the builder reducing the purchase price of the home. He said that builders, rather than reduce the sales price, apply the negotiated difference to the downpayment. As an example, he said that applying a 3% purchase price reduction to the downpayment instead of the sales price could actually reduce buyer monthly payments by 11%.

Looking at the financing this way, Grasst said, a salesperson can create value and urgency by claiming that the buyer now has “the same payment as a home costing $27,500 less” or that the buyer can save “$48,600 in interest savings over the life of the loan.”

Buyers can more easily relate to financing — and savings — when they are presented this way, Grasst said.

“For many home buyers, financing is the biggest fear and obstacle they have to purchasing a home,” said Grasst. “If you as the salesperson educate yourself, then you can also educate your buyer and take that fear and trun it into a reason to buy.”

Webinar Replays

Webinar replays are available from NAHB. The fee is $19.95 for National Sales and Marketing Council members, $24.95 for NAHB members and $44.95 for non-members.

To purchase a replay, click here.

For more information, email Tamsin Ayre  at NAHB, or call her 800-368-5242 x8673.



In Today’s Market, 'Think Sold!' With Help From NAHB BuilderBooks

“Think Sold! Creating Home Sales in Any Market,” available at NAHB BuilderBooks, 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.



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.

Building Systems Councils Surprise Wounded Marine With Gift of Custom Log Home

When the opportunity arose to build a home for a Marine suffering from debilitating head injuries and post-traumatic stress disorder after two tours of duty in Iraq, members of the NAHB Building Systems Councils (BSC) did not hesitate.

The manufacturers, suppliers, builders and other industry professionals in the concrete, log, modular and panelized home building industries decided to pitch in to design and build a 3,000-square-foot custom log home for Staff Sgt. Vincent Gizzareli and his wife, Jamie, near Camp Lejeune, N.C. — the largest Marine Corps base on the East Coast.

One member even donated the lot.

The surprise for the war veteran was sprung during an episode of the nationally syndicated radio show, “The Big Show With John Boy and Billy,” which aired on Monday, Jan. 27.

The Gizzarellis were invited to appear on the show under a false pretense. The other guests — volunteers from the BSC and Operation Finally Home created by the Bay Area Builders Association, which with the help of partners like the BSC provides home sites and builds custom homes for wounded veterans — were there to spring the surprise.

When they revealed their plans to give the couple a mortgage-free new home during the show, the Gizzarellis were overcome with emotion and gratitude.

"I’m in shock right now," said Jamie Gizzareli through tears of joy. "I’m so excited. It’s just a wish come true. We can’t be thankful enough."

While Gizzarelli’s service and injuries were the primary reasons Operation Finally Home selected him to receive a new home, what may have tipped the scales in hisfavor was the desire to raise three young foster children whom he and his wife are now trying to adopt.

The Gizzarellis’ log home package is being provided by Log Homes of America, a North Carolina-based company owned and operated by Nicole and Joel Robinson.

Nicole Robinson, Operation Finally Home Executive Director Daniel Vargas and BSC Associates Council Chair Roger Nelson of Andersen Windows are spearheading the coordination of the project.

“Joel and I are honored to be able to help Operation Finally Home on this project,” Nicole Robinson said. “Our contributions are small considering the sacrifices made by our military personnel and their families.”

“Our servicemen and women have sworn an oath to protect us — to give us the freedoms we enjoy and let us live the lives we lead,” said Vargas. “They and their families sacrifice everything. It’s very gratifying to give them a home. We look at it as a ‘hand up,’ not a handout. They’ve paid for these homes on the battlefield.”

The property was donated by third-generation home builders Martin and Lori Aragona of Marlo Construction, developers of Aragona Village, where the home site is located. Martin Aragona also is donating his time as the general contractor on site.

“In our location near Camp Lejeune, many of the homes we’ve built have been for members of the Marine Corps — that’s how we’ve built our business,” Martin Aragona said. “Lori and I feel it’s not only a great honor to give back to a vet who needs assistance, it’s our duty.”

Aragona was quick to point out that builders and suppliers do not need to make a huge donation, like a lot or large monetary or materials contribution, to make a big difference when building homes for veterans. “Time and labor are just as important as money and materials,” he said.

In addition to Andersen Windows, other BSC members and industry professionals that have pledged their assistance in the project include Hearthstone Inc., Shelter Systems Limited, Sashco Inc., Wayne Dalton, Mariotti Building Products, Jeld-Wen, Ply-Gem, Perma-Chink Systems Inc., HandCrafted Homes and Barvista Building Systems.

Other member companies throughout NAHB also are invited to donate materials or make financial contributions to the Gizzarelli family by visiting www.nahb.org/buildingsystemsforsoldiers. A preliminary floor plan, a materials list, project updates, photos and more will be posted on the site as the project progresses.

“Our contributions show our veterans that America cares,” said Vargas.

Florida Builder Offers Concrete Safe Rooms to Provide Shelter From Violent Storms

Third-generation home builder Kristin Beall, of Charlie Johnson Builder Inc. near Orlando, offers concrete in-home safe rooms or storm shelters in her affordable, modest-sized homes as a bulwark against the hurricanes and tornadoes that regularly slash through Central Florida beginning this time of year.

“With features like safe rooms built into our designs for not that much more money, we can build a home that will give our home buyers that extra sense of security,” Beall said.

The safe rooms are made of reinforced concrete masonry and engineered to withstand Category 5 hurricane winds — storms as violent as Hurricane Katrina. A solid core door opens into the safe room, not out from it, in order to help prevent its occupants from being trapped inside.

“The house can literally crumble around this room while its occupants remain safe inside their reinforced concrete masonry cocoon,” said Beall.


Safe rooms can double as everyday, functional space, such as a large walk-in closet.

Unlike storm shelters of the past that were added to homes in the hurricane- and tornado-prone regions across the country, these safe rooms also double as everyday, useable space and are hardly noticeable.

“In most plans, our safe rooms are large walk-in closets integrated into the home. They’re functional space, not wasted space,” Beall said.

Typical concrete masonry storm shelter systems have been successfully tested to withstand a 15-pound 2x4 propelled at 100 mph.

The Federal Emergency Management Agency suggests that in-home shelters should be located in basements; in interior rooms on the first floor on a foundation extending to the ground; in an interior room on top of a concrete slab-on-grade foundation; or on a garage floor.

Wherever they are located, they should be accessible from all areas of the house and free of clutter to provide immediate access.

Below-ground safe rooms provide the greatest protection, but FEMA cautions that the rooms must be designed to remain dry during the heavy rains that often accompany severe windstorms.

None of the structure should be part of an interior or exterior wall of the home because those walls generally don’t meet the higher loading requirements needed for a safe room. Safe rooms essentially must be separate, self-contained structures that won’t fail as a result of the failure of the walls of the home surrounding it.

In addition, a shelter’s walls and ceilings must be able to withstand impact from flying debris.

These shelters also can be retrofitted to existing homes relatively economically.

Past engineering for concrete masonry storm shelters required that they have a large, dedicated foundation. Research confirms that such a foundation is no longer needed and that the weight of a fully grouted concrete masonry shelter is heavy enough to adequately resist uplift and overturning forces. Consequently, such safe rooms are now easier to install in new or existing homes.

While safety is a priority in all her designs, Beall does keep up with the newest products and features that can add comfort and drama to her homes. After all, aesthetics are important.

“You don’t want a house that looks like a fortress,” Beall said. “You can build homes that are safe and architecturally pleasing.”

For more information on building with concrete, visit the Concrete Home Building Coalition website at www.nahb.org/concrete; or email Tony Gacek at NAHB, or call him at 800-368-5242 x8357.

This article was provided by industry experts of NAHB’s Concrete Home Building Coalition, part of the NAHB’s Building Systems Councils. The coalition is sponsored by the American Concrete Institute, the National Concrete Masonry Association and the Portland Cement Association.

To learn more about the various types of residential concrete construction, go to  www.nahb.org/ConcreteVideo. To learn more about the Concrete Specialization Courses through the Home Builders Institute’s Residential Construction Superintendent Series, visit www.hbi.org/concrete.

Apply for Commercial Builders’ Awards of Excellence by August 1

Commercial builders, architects, engineers and other industry professionals are encouraged to apply for the 2012 Awards of Excellence sponsored by NAHB’s National Commercial Builders Council.

The deadline for submissions is Aug. 1.

The Awards of Excellence recognize achievements in the commercial building industry for remodeling and new construction desighn, market appeal, energy efficiency, challenges faced during building and overall project success.

The awards present an opportunity to:

  • Showcase outstanding commercial projects  
  • Win recognition for the entire project team
  • Attain accolades from building industry experts

The awards competition is open to all builders, architects, designers, engineers, contractors, developers and building owners nationwide. Any non-residential project or facility in the U.S. — completed after Dec. 31, 2009 — is eligible for consideration. Multiple entries are accepted.

A panel of building industry professionals will select the winning entries within six categories in six size divisions ranging from projects less than 5,000 square feet to more than 100,000 square feet. The judges will choose a Project of the Year and Grand, Merit and Chairman’s awards in each category. Winners will be featured in Commercial Builder Online Magazine.

Click here to download the brochure and entry form.

For more information, email Lisa Leone at NAHB, or call her at 800-368-5242 x8455.

Building Relationships Key to Connecticut HBA President Liz Verna's Success

Even though Elizabeth (Liz) Verna is only the second woman to lead the 1,000-member Home Builders Association of Connecticut in its 51-year history, she doesn’t consider being a woman president of the association to be astounding news.

“A lot of women have done extraordinary things in male-dominated industries,” Verna said. “If they see you can do the job, they don’t care if you’re male or female.”

However, she did acknowledge that being a woman in the construction industry can be challenging — like the times she, who along with her brothers Gerald and Marc run the family-owned residential and commercial building firm Verna Properties, has been mistaken for a buyer or a Realtor® while working on her job sites.

Still, Verna believes women can bring particular traits to leadership roles that can help them succeed — such as the abilityto resolve problems through consensus without conflict.

She has applied these traits as a member of the board of directors and then as president of the Home Builders Association of New Haven County as well as a member of the state’s HBA board of directors and through the HBA’s government affairs activities.

As president, Verna plans to continue Connecticut HBA's work on state and local housing legislation while focusing on getting more associate members involved. “We have a lot of room to grow,” she said.

Verna also believes that women in building comprise a segment of the industry that will continue to grow, particularly as family-owned companies turn to their daughters as well as sons to continue the business and legacy.

She is passionate about how vital the home building industry is to a vibrant economy, locally and nationally, and has worked tirelessly on making housing in Connecticut affordable for residents of all ages.

Verna has not only discussed and testified on behalf of workforce housing, she and her brother, Gerald, have built the townhouse community Olde Oak Village in Wallingford, Conn., where 30% of the units are affordable to those earning 80% of the area’s median income or less. Single mothers and their families live in many of those affordable units, she said.

Her company has also partnered with Wallingford builder and industry leader, Bob Wiedenmann of Sunwood Development to develop The Willows, a “new old fashioned neighborhood” of smaller homes on small lots with sidewalks to encourage walking.

During the past two years, The Willows has sold 40 of its 62 single-family homes to young, single buyers, professional couples and young families.

Verna believes that tight-knit communities like The Willows function much like families, which is an important part of her own life and one of the reasons she sometimes drives through her finished communities to see how they’ve come to life.

“It’s neat to see something so absolutely complete, to see the lights on,” she said.

 

Bunce, Houston, McDaniel Awarded 'Women of the Future' Continuing Education Grants


Marilyn Bunce


Kimmi Houston


Kathie McDaniel

Builders Marilyn Bunce and Kimmi Houston and marketing specialist Kathie McDaniel were recently awarded NAHB’s Professional Women in Building “Women of the Future” grants, continuing education grants they can use to further their careers by taking courses and obtaining certifications.

Underwritten by national cabinet manufacturer, Merillat, the grants help advance women working in all aspects of the construction industry — business owners, marketing experts, interior designers and more. 

“Merillat presents this grant to support these outstanding women’s increased involvement in the industry, as they further their careers and serve as role models and mentors,” said Sarah Reep, director of design relations and education.

“In an industry historically dominated by men, our continued education is especially important as women are increasingly becoming major players. We understand that knowledge about the industry and a passion for obtaining it ensure progress with creativity and excitement,” she said.

The 2011 “Women of the Future” grant recipients are:

  • Marilyn Bunce, Professional Women in Building of Onslow County, N.C.

    Bunce, the president of Town and Country Building Company in Jacksonville, N.C., has a goal to be one of the most respected builders in her area. To achieve this, she is pursuing an Accredited Builder designation and plans to follow that with an Accredited Master Builder designation.

    “It is imperative that we get the education and updated information we need to stay informed about new requirements and trends in the industry,” Bunce said.

  • Kimmi Houston, Central Oklahoma Builders Association Professional Women in Building

    Houston, the owner of Houston Homes in Edmond, Okla., has repositioned her company in these challenging times to concentrate more on remodeling and working with clients seeking aging-in-place solutions. 

    She has earned a Certified Aging in Place Specialist (CAPS) designation and is working towards certification as an NAHB-approved instructor of CAPS courses. Her goal is to give back to the industry by providing needed information to industry professionals in her area.

  • Kathie McDaniel, Member at Large, Lakeland, Fla.

    McDaniel, a marketing specialist for Highland Homes, believes in the importance of green building and is working to become an expert in green resources for her company.

    A true NAHB professional, McDaniel’s designations include Certified New Home Sales Professional, Certified New Home Marketing Professional and Master in Residential Marketing. She is also working towards certification as an NAHB-approved trainer.

Winners of the 2011 grant were chosen for their range of experience and commitment to the industry. Additionally, they demonstrate an interest in advancing their careers and mentoring professional women in the industry as they build their businesses through continuing education.

Industry Groups File Fourth Legal Brief Challenging EPA Greenhouse Gas Regulations

On June 20, a coalition of 20 business organizations including NAHB and led by the National Association of Manufacturers (NAM) filed the fourth in a series of briefs challenging the regulation of greenhouse gases by the Environmental Protection Agency (EPA).

"The EPA has consistently pursued an aggressive regulatory agenda that has burdened industry with unrealistic mandates and costly regulations,” said Chip Yost, NAM’s vice president of energy and natural resources.

“These overreaching regulations have prevented industry, including manufacturers, from investing and expanding operations, stifling economic growth and job creation,” he said.

The legal briefs have been in response to a series of EPA-initiated rules, which have led to the unreasonable regulation of stationary sources of greenhouse gas emissions.

If left unchecked, the coalition has warned, these EPA mandates will have a crippling impact on manufacturers and could even result in the regulation of millions of stationary sources — from small businesses to hospitals and schools.

“This filing is the latest action in the ongoing efforts to curb the unprecedented number of regulations that will marginalize America's manufacturers, the very people who are leading the way in our economic recovery," Yost said.

Additional information about these efforts is available on NAM’s website.

For more information on NAHB’s role in the litigation, email Holli Feichko, or call her at 800-368-5242 x8335.

NAHB, OSHA Release Power Nailer Safety Card Aimed at Reducing Job Site Injuries

NAHB and the Occupational Safety and Health Administration have created a safety card on the proper use of power nailers and nail guns.

OSHA estimates that about 20,000 workers are injured each year while using power nail guns. The safety card provides tips on how to work safely with these tools and can be downloaded free from the NAHB website.

Created through the NAHB-OSHA Alliance, the new Power Nailer Safety Card is available in English and Spanish.

The alliance provides NAHB members and others residential construction industry professionals with information, training opportunities and guidance that can help them protect their employees' health and safety.

The information and guidance primarily focus on reducing and preventing exposure to residential construction industry hazards, with emphasis on increasing access to this safety information for the Spanish-speaking workforce.

In creating the safety card, NAHB worked closely with the International Staple, Nail and Tool Association and OSHA to ensure that it provides the most pertinent and accurate information.

The Power Nailer Safety Card is just one in a series of safety cards focusing on common hazards that exist on residential construction job sites. Additional safety cards are available on trenching and silica safety awareness.

The NAHB-OSHA Alliance plans to continue producing safety cards on a variety of construction safety topics — including ladder and scaffold safety and task-specific hazards such as roofing and framing operations.

For more information, email Marcus Odorizzi at NAHB, or call him at 800 368 5242 x8590.



Help Make Job Site Safety a Priority With Video From NAHB BuilderBooks

The “Jobsite Safety Video,” available through NAHB BuilderBooks, is the first-ever job site safety video for home builders.

The video provides an overview of the key safety issues that residential builders and workers need to focus on to reduce accidents and injuries.

Based on the NAHB-OSHA Jobsite Safety Handbook, this DVD is intended to be used as part of an essential residential construction safety-training program and includes two 20-minute videos on one DVD.

To view or purchase this DVD online, click here, or call 800-223-2665.

 

Many States Operate Their Own OSHA Job Safety and Health Programs

Under the Occupational Safety and Health Act of 1970, which allows states to develop and operate their own job safety and health programs, 27 states and jurisdictions now are operating their own programs.

Under the act, states that assume the responsibility for workplace safety and health can either follow OSHA rules, regulations and standards verbatim or issue and follow state-specific rules, regulations and standards that are at least as effective as the OSHA rules.

Builders and other industry professionals in states with their own programs are advised to contact their local or state home builders association for program details.  

Each state’s program was approved by the Occupational Safety and Health Administration, which continually monitors it.

The act also stipulates that, under state programs, states must conduct inspections to enforce the federal or state standards they are following; at a minimum cover all state and local government employees; and provide occupational safety and health training and education programs.

Most states also provide free on-site consultation to help employers identify and correct workplace hazards. 

The following states and jurisdictions operate their own job safety and health programs:

Most of the state plans cover private and public employees, but Connecticut, Illinois, New Jersey, New York and the Virgin Islands have developed plans that only cover public employees.

OSHA has created a fact sheet that highlights the requirements for states to become approved.

For more information on complying with OSHA regulations in states with their own programs, click on the pertinent state, or contact a local home builders association in that state.



Help Make Job Site Safety a Priority With Video From NAHB BuilderBooks

The “Jobsite Safety Video,” available through NAHB BuilderBooks, is the first-ever job site safety video for home builders.

The video provides an overview of the key safety issues that residential builders and workers need to focus on to reduce accidents and injuries.

Based on the NAHB-OSHA Jobsite Safety Handbook, this DVD is intended to be used as part of an essential residential construction safety-training program and includes two 20-minute videos on one DVD.

To view or purchase this DVD online, click here, or call 800-223-2665.

NAHB's Thibodeaux Re-Appointed to OSHA Construction Advisory Committee

Michael J. Thibodeaux, an NAHB member from Wimberley, Texas, has been re-appointed to the Occupational Safety and Health Administration’s Advisory Committee on Construction Safety and Health (ACCSH). 

Thibodeaux has been a member of the advisory committee since 2003, including a brief stint as its chairman.

ACCSH was established to advise the assistant OSHA secretary on construction standards and policies affecting the regulated community.

“Having Michael on the ACCSH committee greatly benefits our industry by ensuring that home builders’ viewpoints and opinions are taken into account prior to OSHA issuing construction safety regulations,” said Dean Mon, chairman of NAHB’s Construction Safety & Health Committee and a builder from Shrewsbury, N.J.

“Both the home building industry and OSHA will benefit from having such a dedicated individual on their team to achieve our common goal of creating a safe work environment for everyone,” he said.

Thibodeaux is a longtime member of NAHB and has been an active member of the Construction Safety & Health Committee for 15 years.

In 2008, Thibodeaux received NAHB’s Safety Award For Excellence, which recognizes individuals who have demonstrated outstanding vision, leadership and commitment towards improving construction safety in the home building industry.

“Having an NAHB representative on the advisory committee has proven to be beneficial and has helped OSHA make sound decisions on construction safety and health,” said Thibodeaux.

“Although there are differing points of view, the committee consistently works towards a collective goal to better the industry overall,” he said.

Thibodeaux currently owns a risk management and safety consulting business serving the home building industry. Prior to that, he spent more than 20 years as the executive director for risk management for Lennar Corporation in Houston. Since 1981, he has been the presiding judge for the Hunters Creek Municipal Court, also in Houston.

Appointed by OSHA’s assistant secretary, ACCSH is comprised of five members who represent employers, five who represent employees, two representing state safety and health agencies, two representing the public and one designated by the secretary of the Department of Health and Human Services.

NAHB provides members and others in the residential construction industry with information, guidance and access to training resources to help them protect employees' health and safety. A variety of safety resources and guidebooks — including the English-Spanish NAHB Fall Protection Handbook and the Fall Protection Video — are available through www.builderbooks.com/safety.

For more information on NAHB construction safety issues and training programs, email Rob Matuga at NAHB, or call him at 800-368-5242 x8507.



Help Make Job Site Safety a Priority With Video From NAHB BuilderBooks

The “Jobsite Safety Video,” available through NAHB BuilderBooks, is the first-ever job site safety video for home builders.

The video provides an overview of the key safety issues that residential builders and workers need to focus on to reduce accidents and injuries.

Based on the NAHB-OSHA Jobsite Safety Handbook, this DVD is intended to be used as part of an essential residential construction safety-training program and includes two 20-minute videos on one DVD.

To view or purchase this DVD online, click here, or call 800-223-2665.

June 29: Learn How to Use Social Media to Engage With Targeted Audiences

With consumers, Realtors® and others flocking to social media networks, the "Social Marketing: Engage and Converse" webinar will explore how to succeed at social networking by targeting them as Friends, Fans and Followers.

The webinar, sponsored by Professional Women in Building, will be held from 2:00-3:00 p.m. EDT on Wednesday, June 29.

Attendees will learn about the basic social networking sites and how to incorporate them into their marketing program. Social media experts Carol Flammer, MIRM, managing partner at mRelevance and author of "Social Media for Home Builders 2.0: It's Easier Than You Think;" and Mitch Levinson, MIRM, CSP, MBA, also a managing partner with mRelevance; will provide tips on blogging, Twitter, Facebook and YouTube, and on engaging and conversing with various audiences.

Attendees will:

  • Discover why to use social media
  • Gain knowledge about the different types of social media available
  • Learn which media to choose and how to best reach their target market

Participants can earn one hour of continuing education credit toward their designations.

To Register

The fee is $19.95 for Professional Women in Building members, $24.95 for NAHB members and $44.95 for non-members.

To register online, visit the NAHB Webinar Wednesdays registration page; or call NAHB’s Office of the Registrar at 800-368-5242 x8338, or email registrar@nahb.org.

For more information, email Carmel Nayman at NAHB, or call her at 800-368-5242 x8410.



'Social Media for Home Builders 2.0' Available at NAHB BuilderBooks

“Social Media for Home Builders 2.0: It’s Easier Than You Think,” available through NAHB BuilderBooks, demonstrates the power of social media through case studies and online outlets created specifically for the home building industry.

The publication explains how builder can use social media sites to build their brand, engage new and existing consumers, manage their online reputation and sell more homes.

To view or purchase this publication online, click here, or call 800-223-2665.

July 6: Webinar Examines Emerging Trends in 50+ Design and Amenities

 

Boomer home buyers are still looking for good designs and homes and communities that reflect their lifestyles, preferences and ideals.

In the “Emerging Trends in 50+ Design & Amenities” webinar presented by the 50+ Housing Council, attendees will learn about the hottest design trends and amenities that boomers demand and won’t do without.

In addition, panelists will discuss market data and research that support these trends and provide visual examples of successful projects.

The webinar, sponsored by Whirlpool, will be held from 2:00-3:00 p.m. EDT on Wednesday, July 6.

Panelists include Manny Gonzalez, AIA, LEED AP, principal at KTGY, of Santa Monica, Calif.; Stephen C. Moore, senior partner with BSB Design of West Des Moines, Iowa; and Doug VanLerberghe, associate principal with Kephart in Denver.

Participants can earn one hour of continuing education credit toward their designations.

To Register

The fee is $19.95 for 50+ Housing Council members, $24.95 for NAHB members and $44.95 for non-members.

To register online, visit the NAHB Webinar Wednesdays registration page; or call NAHB’s Office of the Registrar at 800-368-5242 x8338, or email registrar@nahb.org.

For more information, email Sheronda Carr at NAHB, or call her at 800-368-5242 x8168.

 

July 13: Webinar to Look at What’s Hot in New-Home Construction

The webinar “Design and Market Trends: What's Hot in Residential Building” will examine consumer buying trends, how they are evolving and how they are affecting product mix as consumers slowly return to the market.

The webinar, sponsored by the NAHB Design Committee and the NAHB Business Management and Information Technology Committee, will be held from 2:00-3:00 p.m. EDT on Wednesday, July 13.

Attendees will gain insights into new trends for both single-family and multifamily homes, products and strategies that help enhance design and business development as well as take advantage of new market opportunities.

Participants will:

  • Learn about the key market trends emerging in interior, exterior and outdoor living design
  • Explore tricks of the trade for achieving hot new looks on a tight budget
  • Discover how to reach prospective home buyers by understanding their wants and needs

Participants can earn one hour of continuing education credit toward their designations.

To Register

The fee is $19.95 for NAHB Remodelers members, $24.95 for NAHB members and $44.95 for non-members.

To register online, visit the NAHB Webinar Wednesdays registration page; or call NAHB’s Office of the Registrar at 800-368-5242 x8338, or email registrar@nahb.org.

For more information, email Jaclyn Toole at NAHB, or call her at 800-368-5242 x8469.



‘The New Home in 2015’ Report Available as NAHB BuilderBooks E-publication

Builders can get the answers on how to design and build homes and communities that will satisfy the need of home buyers now and into the future in “The New Home in 2015” report, available as an e-publication from NAHB BuilderBooks.

Developed by NAHB’s Economics Group, the report explores whether or not new homes in 2015 will be significantly different from those being produced today; whether  the coming years bring revolutionary changes to the way homes are designed and built; what types of homes people will prefer in the near future; and what socioeconomic and demographic factors will impact housing.

To purchase a copy of ‘The New Home in 2015’ report, click here.

July 20: Free Webinar to Guide Builders Through New Financing Environment

The "Financing for Home Builders" webinar, sponsored by NAHB’s Housing Finance Committee, will examine the financing issues confronting home builders who are slowly climbing out of the housing recession but cannot secure the necessary cash flow to sustain their business.

The webinar will explore what acquisition, development and construction financing lending will look like in the new environment and how it will operate. Panelists also will discuss alternative sources of funding; how new rules and regulations will affect traditional lender-builder relationships; and how builders can help potential customers take advantage of new incentives.

The webinar, free to NAHB members, will be held from 2:00-3:00 p.m. EDT on Wednesday, July 20.

The program will examine:

  • New financing environment — builder’s perspective on current and prospective conditions in residential acquisition, development and construction financing
  • Community banks’ current and future role in residential AD&C financing
  • Creative funding structures and alternative sources of funding

Participants can earn one hour of continuing education credit toward their designations.

To Register

The webinar is $44.95 for non-members.

To register online, visit the NAHB Webinar Wednesdays registration page; or call NAHB’s Office of the Registrar at 800-368-5242 x8338, or email registrar@nahb.org.

For more information, email Kimberly Moore at NAHB, or call her at 800-368-5242 x8529.

Aug. 31: Webinar to Offer Tips on Fast-Tracking Internet Marketing Strategies

With more home buyers, particularly younger ones, turning to the Internet when first looking for a house, the NAHB Business Management and Information Technology Committee is sponsoring a webinar that will offer builders five basic tips to fast-track their Internet marketing strategies and social media resources to more effectively reach their prospective buyers.

The webinar, "Sales and Marketing for Busy Builders," will be held from 2:00-3:00 p.m. EDT on Wednesday, Aug. 31.

Participants can earn one hour of continuing education credit toward their designations.

To Register

The fee is $19.95 for NAHB Business Management and Technology Committee members, $24.95 for NAHB members and $44.95 for non-members.

To register online, visit the NAHB Webinar Wednesdays registration page; or call NAHB’s Office of the Registrar at 800-368-5242 x8338, or email registrar@nahb.org.

For more information, email Marcia Childs at NAHB, or call her at 800-368-5242 x8388.

Sept. 14: Webinar to Teach Builders How to Use YouTube and Photo Sites to Market, Sell Homes

While much of the focus on how to use social media centers around Twitter, Facebook and LinkedIn, the “YouTube 101” webinar will teach builders how to use video and photo sites to market and sell homes through other popular sites such as YouTube and Flickr.

The webinar, sponsored by the National Sales and Marketing Council, will help attendees determine if focusing on video and photos is right for their business and possibly keep a builder from missing an opportunity to reach a prospective buyer.

The webinar will be held from 2:00-3:00 p.m. EDT on Wednesday, Sept. 14.

Participants will:

  • Understand the impact and relevance of YouTube/Flickr sites in the home building industry
  • Learn best practices for creating and uploading video/photos
  • Get ideas for creative and practical applications of video/photo sites in new home sales and marketing

Participants can earn one hour of continuing education credit toward their designations.

To Register

The fee is $19.95 for NSMC members, $24.95 for NAHB members and $44.95 for non-members.

To register online, visit the NAHB Webinar Wednesdays registration page; or call NAHB’s Office of the Registrar at 800-368-5242 x8338, or email registrar@nahb.org.

For more information, email Tamsin Ayer at NAHB, or call her at 800-368-5242 x8673.

Sept. 28: Webinar Looks at What’s Cooking in Kitchen Design

With current home design trending to less space and more quality, a panel of architects and designers participating in a webinar on "Reinventing the Kitchen” will explore the dynamic concepts, products and materials that add value to today's kitchens.

Sponsored by the NAHB Design Committee, the webinar will be held from 2:00-3:00 p.m. on Wednesday, Sept. 28.

Panelists will discuss a survey of lifestyles and trends that affect home owners' preferences and provide insights into how to compete in the current housing market.

Attendees will:

  • Learn how priorities are changing in kitchen design, products and materials
  • Take away a list of action points for improving their next kitchen plans
  • Increase their knowledge of current trends in kitchen design
  • Broaden their understanding of the kitchen elements that are most attractive to buyers

Participants can earn one hour of continuing education credit toward their designations.

To Register

The fee is $19.95 for Design Committee members, $24.95 for NAHB members and $44.95 for non-members.

To register online, visit the NAHB Webinar Wednesdays registration page; or call NAHB’s Office of the Registrar at 800-368-5242 x8338, or email registrar@nahb.org.

For more information, email Jaclyn Toole at NAHB, or call her at 800-368-5242 x8469.

Education Calendar

June 29

"Social Marketing: Engage and Converse"

Webinar

July 7

"Leadership Training Webinar — Speak With Confidence"

Webinar

July 13

"Design and Market Trends: What's Hot in Residential Building"

Webinar

July 20

"Financing for Home Builders"

Webinar

Aug. 4

"Leadership Training Webinar — Fundraising: The Decision to Give"

Webinar

Aug. 17-20

Executive Officers Council Seminar

Naples, Fla.

Aug. 31

"Sales and Marketing for Busy Builders"

Webinar

Sept. 1

"Leadership Training Webinar — Great Events"

Webinar

Sept. 14

"YouTube 101"

Webinar

Sept. 21

"LIHTC Webinar — Correcting Non-Compliance and  Responding to an Audit"

Webinar

Sept. 29

"Reinventing the Kitchen"

Webinar

Oct. 6

"Leadership Training Webinar — Change Management"

Webinar

Oct. 23-25

Building Systems Councils SHOWCASE

Baltimore, Md.

Oct. 26

"Fall Construction Forecast Webinar"

Webinar

Nov. 9-11

NAHB Summit on Association Excellence

Dallas, Texas

Nov. 30

"Affordable Million Dollar Details & Sneak Peek Into 2012 Cost Saving Details"

Webinar

Dec. 7

"Taking the Strange Out of Meeting Strangers"

Webinar

Dec. 14

"LIHTC Webinar — Combining LIHTCs with Other Programs"

Webinar

2012

 

 

Feb. 8-11

2012 NAHB International Builders' Show

Orlando, Fla.

Learn More About NAHB Professional Development Offerings

View the variety of professional development offerings available through NAHB and its local associations at www.nahb.org/education.

Search for Upcoming Courses in Your Area

Or, search for specific course offerings in your area and check out upcoming conferences.

HBI Jobs Corps Students Help Renovate Halfway Houses in Worcester, Mass.

 

Home Builders Institute (HBI) Job Corps students have helped transform a once-rundown block along Vernon Street in Worcester, Mass., by renovating and repairing two three-story halfway houses for the Latin American Health Alliance (LAHA).

Working under the supervision of HBI instructors, trainees from the Grafton Job Corps Center helped repair the houses as part of two separate community service projects, one completed several years ago and one begun earlier this year.

In 2009, dozens of plumbing, electrical, facilities maintenance and carpentry trainees — working alongside trade contractors — helped renovate the Hector Reyes House, a halfway house for Latino men recovering from alcohol and drug addiction.

The students provided 24,640 man-hours for the project — working eight hours a day, five days a week for several months — and saving LAHA about $121,400 in labor costs, according to HBI carpentry instructor Butch Nadeau, who led the project.

Then, three months ago, after LAHA purchased a building adjacent to the Hector Reyes House that needed repairs, LAHA Executive Director Dr. Mattie Castielle contacted the Grafton center for assistance.

For this much smaller project, 14 HBI plumbing, electrical and facilities maintenance students and their instructors spent two weeks in May and June fixing up the house, which will serve as a transitional home for the men who have progressed and are ready to move out of the Hector Reyes House.

Students arrived by bus at 6:30 a.m. each day and worked until 4:00 p.m. They removed brush from the front yard, repaired and painted the front porch and interior, hung new light fixtures, installed custom countertops and completed other finishing work.

Nadeau estimates that this project took the students 300 hours to complete and saved LAHA $6,280 in skilled labor costs at an average pay rate of $11 per hour.

“Participating in community projects is a great way for students to not only practice the career and technical skills they are learning, it also helps them develop a work ethic and the social skills necessary for securing a job,” Nadeau said.

LAHA’s Castielle said she appreciated working with the HBI students because the projects provided the students with valuable hands-on training that prepares them for home building careers.

“Working on the Hector Reyes House allowed the students to come back and see what they have done to help their community and the impact it has made,” Castielle said.

Students and instructors will continue to help maintain the two LAHA shelters and provide the necessary upkeep on the properties.

For more information about the HBI Job Corps program, email Keith Albright, or call him at 800-795-7955 x8911.

 

New Bathroom Products Address Safety, Comfort and Green Concerns

The bathroom may be the “necessary room,” but that doesn’t mean it has to be one-dimensional. These products from member of NAHB’s Leading Suppliers Council address safety, comfort and green concerns, and they do it with style.

Love the Blues

Anyone who’s ever headed for a bathroom in the middle of the night has experienced that no-win choice: stumble through the darkness, or turn on a light and squint through momentary blindness.

NuTone's new LunAura ventilation fan/light combination makes it easy to turn on the light. While its ceiling light provides bright task lighting during the day, the nighttime setting provides soft, blue LED light that illuminates the entire room at a level of brightness suggestive of a twilight sky. 

This Energy Star-qualified product provides quiet, powerful ventilation — 110 CFM at 0.7 Sones — and comes in three contemporary styles.

A Talented Toilet

These days, toilets need to multi-task. They need to work reliably, look nice, be comfortable to use and do their bit to save the planet by not wasting water.

Gerber ’s Avalanche gravity-fed model does all that, with understated grace.

It uses only 1.28 gallons of water per flush, compared to the industry’s standard of 1.6 gallons, saving up to 8,760 gallons of water every year.

Its dual-fed siphon jet is larger than what’s found in most conventional models, for more effective and reliable functionality.

The toilet comes with an elongated bowl as well as a standard configuration, and is available in a somewhat taller “ErgoHeight” version that makes it easier for those with mobility issues to use.

The design is simple and straightforward, working with any decor, and the Avalanche comes in white, bone and biscuit.

No Sealant Required

Grenite — an attractive engineered stone solid surfacing material — is made with up to 85% recycled, post-consumer materials.

The manufacturer, Saint-Gobain, reports that Grenite has the industry’s highest percentage of recycled content currently available, making it ideal for buildings aiming at a high-level green certification.

The material — used for countertops and other horizontal surfaces — resists stains, scratches and scorching. The surface is non-porous, so no sealant is required.

The manufacturer asserts that the material’s high wear-resistance is greater than any other solid surfacing material. It is heat-resistant up to 500 degrees Fahrenheit.

The Canadian firm manufactures Grenite in the U.S., in a range of colors.

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.

Pittsburgh HBA Awarded Challenge/Build/Grow Education Grant to Train Veterans

The Builders Association of Metropolitan Pittsburgh was recently awarded a $5,000 grant through the National Housing Endowment’s Challenge/Build/Grow (CBG) matching funds initiative to provide training, job placement and apprenticeship opportunities for veterans of the armed services who are interested in jobs and careers in the housing industry.

The Pittsburgh HBA was awarded the 2011 CBG grant to help fund its Veterans Industry Placement (VIP) Program, which provides model residential construction and facilities maintenance trades training.

In addition, the program will provide case management and social services follow-up programs for the veterans.

The HBA intends to train 40 veterans a year during the next three years, with the possibility of expanding the program after that.

The HBA is also offering the VIP Program as a model training platform for other HBAs interested in boosting their training.

“The tough times will end and we need to have an educated workforce ready to take action when they do,” said Bob Mitchell, endowment chairman and 2000 NAHB president. “Even during these difficult times, the endowment is answering the call by meeting the industry's long-term challenges with bold thinking and action, through the Challenge/Build/Grow Matching Grant Initiative as well as other grants.”

Since the CBG program was launched in 2001, more than $215,000 has been awarded to state and local HBAs throughout the country.

Under the program, HBAs are encouraged to find opportunities to build new partnerships in their communities to assist local programs targeting issues of importance to the industry — including job training, image building, labor shortages, educational curriculums and scholarship support.

For more information about grant or scholarship opportunities and funding guidelines, visit www.nationalhousingendowment.org.

Greg Ugalde Earns Connecticut’s Highest Home Building Honor

Connecticut home builder Greg Ugalde, president and CLO of T&M Building Co., Inc., has been given the state home building industry’s highest honor, the Charles J. LoDolce Award.

Ugalde was honored at a June 15 dinner hosted by the Home Builders Association of Connecticut.

“Charles LoDolce knew that in order to move our issues, you had to be united and strong,” said HBA Developers Council Chairman Bill Ferrigno of Sunlight Construction in Avon, who presented the award to Ugalde.

Ugalde is a longtime state and local HBA volunteer leader and now serves on the state association’s board of directors, several of its committees and councils and as vice president treasurer of its political action campaign.

In addition, Ugalde is a member of the HOMEConnecticut steering committee and Governor’s Blue Ribbon Commission for Affordable Housing.

“Greg is like the Energizer Bunny, he’s so involved at national,” said Kevin Kelly, NAHB’s third vice-chairman.

Ugalde has served on a number of NAHB committees as a member of the board of directors and is chair of the Public Affairs Committee and the national area chairman for Area 1, which includes the New England states

“Greg exemplifies what I call the 4 T’s — time, talent, tenacity and treasury,” Kelly said. “He is a great intellect and a real consensus builder.”

In accepting the award, Ugalde spoke about his passion for the home building industry; the value that local, state and national associations offer their members; and the importance of homeownership, which has been reinforced in a recent poll of likely voters.

“Seventy-five percent of voters say that owning a home is the best long-term investment they can make, 73% of voters who do not currently own a home say it is a goal of theirs to eventually buy a home, 71 % of voters oppose proposals to eliminate the mortgage interest deduction and 63 % oppose proposals to reduce it. Lastly, 95% of home owners say they are happy with their decision to own a home, and believe that owning their own home is important,” Ugalde said.

For more information about the voter survey, go to www.nahb.org/voterpoll.

Koven Builds Relationships, Offers Solutions Through Atlanta HBA Membership

Five years ago, when Schuyler Koven first began working for Verizon Wireless in Atlanta, his job was to market cell phone service to the construction industry — a seemingly easy task because cell phones are an essential tool for builders and others involved in the industry.

But Koven quickly found out that most of the builders and contractors he called on were already using a competing service, and they made it clear that they did not have the time to discuss changing providers.

“This was a market that was resistant to change,” Koven said. 

He suspected, however, that builders and contractors would be more willing to hear about his service if they could discuss his company’s merits in a more relaxed setting, so he joined the Greater Atlanta Home Builders Association and began attending the HBA’s regular luncheons, which generally attracted between 100 and 200 members.

Koven also got to know the members better by attending the HBA’s local trade shows and social gatherings, as well, and began to build business relationships. 

“I’ve learned a lot about all aspects of the building process from my customers and prospective customers,” he said.

Though his HBA participation, he learned how contractors work and how they have to juggle information from clients, subcontractors, vendors and inspectors to keep their businesses running smoothly. He also quickly understood how every segment of the industry depended upon reliable wireless communication.

The more he attended and supported HBA events, the more he was able to build stronger relationships with other members and eventually discuss their cell phone service.

“The service that most of them used had issues of dropped calls and spotty coverage,” Koven said. “But once a few contractors had tried our service and found it solved many of their problems, word-of-mouth took over.”

With builders and contractors now a larger share of his clientele, Koven and the other members of the Atlanta association have achieved the type of relationship many associate members aspire to — members supporting members for mutual benefit.

“If I hadn’t become involved with the HBA, I could never have succeeded in this market,” Koven said.

 

NAHB Calendar of Events

June 29

"Social Marketing: Engage and Converse"

Webinar

July 7

"Leadership Training Webinar — Speak With Confidence"

Webinar

July 12-14

2011 Summer Executive Board Meeting

Squaw Valley, Calif.

July 13

"Design and Market Trends: What's Hot in Residential Building"

Webinar

July 14

2011 Multifamily Pillars of the Industry Awards

n/a

July 20

"Financing for Home Builders"

Webinar

Aug. 4

"Leadership Training Webinar — Fundraising: The Decision to Give"

Webinar

Aug. 17-20

Executive Officers Council Seminar

Naples, Fla.

Aug. 18

EOC Association Excellence Awards

Naples, Fla.

Aug. 31

"Sales and Marketing for Busy Builders"

Webinar

Sept. 1

"Leadership Training Webinar — Great Events"

Webinar

Sept. 7-10

Fall NAHB Board of Directors Meeting

Milwaukee, Wis.

Sept. 8

50+ Housing Council Night Out at 2011 NAHB Fall Board Meeting

Milwaukee, Wis.

Sept. 14

"YouTube 101"

Webinar

Sept. 15

Best in American Living Awards

n/a

Sept. 21

"LIHTC Webinar — Correcting Non-Compliance and  Responding to an Audit"

Webinar

Sept. 28

"Reinventing the Kitchen"

Webinar

Oct. 6

"Leadership Training Webinar — Change Management"

Webinar

Oct. 12-15

Remodeling Show

Chicago, Ill.

Oct. 14

CADRE Awards

Chicago, Ill.

Oct. 14

Homes for Life Award

Chicago, Ill.

Oct. 14

NAHB Remodeler of the Year Award

Chicago, Ill.

Oct. 14

National Remodeling Hall of Fame Award

Chicago, Ill.

Oct. 23-25

Building Systems Councils SHOWCASE

Baltimore, Md.

Oct. 26

"Fall Construction Forecast Webinar"

Webinar

Nov. 9

"Creating the Modern Marketing Budget"

Webinar

Nov. 9-11

NAHB Summit on Association Excellence

Dallas, Texas

Nov. 30

"Affordable Million Dollar Details & Sneak Peek Into 2012 Cost Saving Details"

Webinar

Dec. 7

"Taking the Strange Out of Meeting Strangers"

Webinar

Dec. 14

"LIHTC Webinar — Combining LIHTCs with Other Programs"

Webinar

2012

 

 

Feb. 7

NAHB/Builders Mutual Safety Award for Excellence (SAFE) Awards

Orlando, Fla.

Feb. 8-11

2012 NAHB International Builder's Show

Orlando, Fla.

Learn More About 2009 NAHB Professional Development Offerings

See the variety of professional development offerings available through NAHB and its local associations in this brochure. 

Or, search for specific course offerings and check out upcoming conferences.