Nation's Building News Online: December 19, 2011

Print All Articles Text Version

Modular Homes at IBS Present Popular Alternatives for Today’s Home Buyers

Illustrating what’s selling in today’s tough marketplace and some of the features that prospective buyers are looking for, three modular homes will be assembled in the parking lot of the Orange County Convention Center in Orlando and open for tours during the 2012 NAHB International Builders’ Show Feb. 8-11.

Sponsored by Professional Builder magazine, the homes comprise the 13th annual Show Village, where building systems manufacturers and suppliers show off their latest products and designs.

In addition to being open for visits by show attendees, the homes will serve as the venues for special events for clients, suppliers and dignitaries during the week.

Nationwide Homes’ “Cape Cod” and Palm Harbor Homes’ “Infill Duplex” and “Net Zero Eco Home” represent distinct styles for distinct buyers. All three homes have been presold and will be moved to various building sites in Florida once the show is over.

Cape Cod Technology

At nearly 3,100 square feet, this home is targeted to the home owner who wants the comfort of a traditional design with the cutting-edge technological features that were once only available in custom stick-built homes. 

The home comes with three bedrooms, but is packed with additional space that gives home owners plenty of places to create rooms to fit their lifestyle. 

Merchandised at the Show Village with a library, loft, recreation room, study, mud room and dining room, the house plan provides the flexibility to accommodate various consumer needs and family sizes.

The Cape Cod brings the outside world into the home through dramatic use of windows and design.

The plan works well for lots that overlook water, woods or mountain vistas; and the home’s high-performance modular systems enhance its energy efficiency and indoor environmental quality.

Targeting Two Markets

The Net Zero Echo Home. Rendering courtesy of Palm Harbor Homes

The Net Zero Echo Home targets owners of resort property or town or suburban homes who are looking for a guest house, assisted living space or additional vacation quarters that can be placed in the backyard.

The model holds the greatest appeal for buyers in the 55+ active-adult segment of the housing market.

Increasingly, municipalities are allowing such “backyard bungalows” to be installed without requiring a zoning change — or in some cases even a building permit — notes the manufacturer.

When being used in the resort market, the site is typically coastal or on a body of water and the home is often elevated on stilts.

The model also appeals to an upscale, altruistic and green-minded buyer with the patience to wait for the net-zero energy features to reach the point where they pay for themselves by eliminating or minimizing utility bills.

The home is expected to meet the requirements for certification to the National Green Building Standard and to the Department of Energy’s Builders Challenge program

The floor plan is spacious for its 399-square-foot size and features dozens of hidden storage elements that make it livable on scale with larger dwellings.

As a secondary living facility, the home can provide a guest house, mother-in-law suite or home for the “boomerang kid” returning to live with parents after graduating from school.

The model can also be adapted for accessible housing for the physically challenged or shaped into an art studio or expansive home theater.

Among the home’s green features:

• Full spray closed-cell insulation
• R-21 sidewalls, R-21 floor and R-33 sealed roof cavity and a reflective metal roof
• No-duct mini split air delivery
• 100% LED lighting
• 5 KW photovoltaic panels to supply electricity, solar shades on windows and a back-up gas generator
• On-demand gas water heater
• Cork and bamboo flooring
• WaterSense-rated bath fixtures, including a dual-flush toilet
• Low-E windows and doors
• No-VOC paints and caulks
• Energy Star-certified appliances, ceiling fans and exhaust fans
• Recycled glass countertops

Offering Flexibility and Rental Income 

The Infill Duplex. Rendering courtesy of Palm Harbor Homes

The Infill Duplex has been designed to work on any infill lot, including along the coast, and can be built at grade level or elevated and finished with any variety of elevation styles.

The floor plans featured at the Show Village model are designed for an owner who wants to live in one half of the property and rent out the other.

The design features master bedrooms on the rear to take advantage of a possible view, particularly for coastal or canal locations.

The owner-occupied side of the home features two master suites configured to allow for shared ownership or roommate accommodations and geared to reducing living costs or maximizing revenue.

Overall, the home is geared to enabling an owner to reside at a higher-end location than would otherwise be affordable.

The kitchen opens up to a living room and a den in the plans for both halves of the duplex, and front and rear porches facilitate connectivity with the neighborhood.

Maximum energy-efficient and storm-resistant construction techniques combined with low-maintenance materials are expected to help ensure that the duplex meets both National Green Building Standard and Builders Challenge certification requirements.

“The strength, speed and beauty of modular home construction are really catching on with builders and buyers alike,” said Kevin Flaherty, a vice president with Genesis Homes and Champion Home Builders and the interim chair of the Building Systems Councils’ (BSC) Modular Homes Council.

NAHB Analysis Debunks Misleading Stereotype of the Large Suburban Home

A new research study from NAHB Economics finds there is considerably more to the story of the stereotypical large home in the suburbs than what appears in the misleading and misguided criticism often leveled against it.

The authors of the study, “The Geography of Home Size and Occupancy,” concede that there is an element of truth in the observation that owner-occupied homes are smaller in downtown areas and inner suburbs and larger in the outer suburbs.

But this characterization “overlooks how many people actually reside in these homes,” write NAHB economists Robert Dietz and Natalia Siniavskaia.

“That is, it is incorrect to claim that those larger homes mean more ‘housing space’ for people who live outside central cities,” they say, because those homes in outlying areas tend to be occupied by larger households.

Data from the biennial American Housing Survey for 2009 show that roughly three-fourths of the nation’s 76 million owner-occupied homes are located inside metropolitan areas.

Of the homes in metro areas, those in central cities account for a 22% share of the nation’s owned homes, or 17.2 million; those in urban or “inner” suburbs have a 36% share, or 27 mllion; and the homes in further out, less dense suburbs are 17% of the owned housing stock, or 13 million.

The remaining one-quarter of owner-occupied homes — or 18.9 million — are located outside metro areas.

Survey results also confirm, in part, the stereotype that owner-occupied homes grow in size as they push out from the central city to the suburbs and rural parts of metro areas.

Nationwide, the median square footage of an owner-occupied home is 1,800 square feet.

Homes in the central city are about 7% smaller on average, at 1,678 square feet.

The median size climbs to 1,800 square feet in urban suburbs and 1,900 square feet in the rural reaches of metro areas.

However, not only do homes grow in size when one moves away from the central city to suburbs, the NAHB economists say, “but households grow in size as well.”

The average number of people per home increases from 2.6 in central cities to 2.7 in urban and rural metro areas, the report finds.

“Furthermore, metropolitan families choosing larger houses outside of central cities are more likely to have school-age children,” the study says.

Families in the urban or rural suburbs of metro areas are likely to have more children than households in other areas.

Of the 26 million households nationwide with children under the age of 18, more than half reside in metropolitan suburbs — 39% in inner suburbs and 18% in rural suburbs. Only 22% of home owners with children live in the central cities.

Looking at the locations of homes as they are related to household size “challenges the stereotyped view of large homes in the suburbs," the study concludes.

Nationally, the median square footage per person in owner-occupied homes is 800 square feet, which is exactly the same size as for the urban and rural suburbs in metropolitan areas and areas outside metro areas.

Median square footage per person is somewhat smaller for central cities, but only by 4%.

Among other findings presented in the study:

• A household with two persons is the most common household, accounting for 36%, or 27.6 million, of home owners. But its share of home owners is only 34% in central cities and urban suburbs.
  
  
• The combination of larger household types — of three, four or more persons — adds up to a 42% share of home owners, or 32 million.
  
  In metro areas, these larger households are much more commonly found outside of central cities.
  
  For example, four-person households account for almost 18% and 17% of home owners in urban and rural suburbs of metro areas, respectively, while their share in central cities is only 14%.
  
  
• Single-person households are more densely concentrated in central cities. They account for 22% of all home owners in the U.S., but their share in central city locations is close to 26%.
  
  In rural parts of metro areas, single-persons are less than 18% of home owners.
  
  
• In the Northeast, homes tend to be smaller and homes in the South tend to be larger than the national median.
  
  In the Northeast, homes in central city areas have a median of 667 square feet per person, 15% below the national median of 767 square feet. Central city homes in the South have a median of 850 square feet per person, which is 27% higher than the national median.
  
  These regional differences are partly explained by the age of the housing stock. The median age of an owner-occupied home in the Northeast is 51 years, compared to 31 years in the South. Newer homes are larger on average.

Sign Up for Free Webinar to Get the Most Out of the 2012 International Builders’ Show

With its thousands of square feet of exhibit space to explore, more than 160 classes to attend and dozens of special events and speakers to see and hear, NAHB is hosting a free webinar next month on how to get the most out of the 2012 NAHB International Builders’ Show.

Part of NAHB’s Webinar Wednesdays series, “Maximize Your Time at IBS”, which will be from 2:00-3:00 p.m. EST on Wednesday, Jan. 25, will enable home builders, remodelers, suppliers, developers and others to plan their visit to Orlando on Feb.8-11.

Denise Miller, NAHB’s director of trade shows marketing, will lead the webinar.

To Register

The webinar is free to all potential attendees.

Register for the webinar; or for more information, email the Office of the Registrar, or call 800-368-5242 x8338.

Nation's Building News Will Not Be Published During the Holidays; Returns on Jan. 16

Nation's Building News will not be published on Dec. 26, Jan. 2 or Jan. 9. Publication will resume on Jan. 16.

Have a happy and warm holiday season and a Happy New Year.

Best and Worst Housing Markets of 2011

Tulsa and Oklahoma City, Okla., were at the top of the list of U.S. News and World Report’s best housing markets for 2011. They fared well because of a strong local economy, good employment prospects and the lack of a big housing run-up in the boom years. “Oklahoma City is a poster child, a touchstone that we keep going back to throughout the housing recession for markets that have bucked the trend,” says Stan Humphries, chief economist at real estate website Zillow. “Because it did not participate in the housing run-up is why it’s held its value so well in the recession, because it didn’t get overpriced.” In third place was Honolulu, which remains a hot market because it is an attractive place to live. “Tulsa, Oklahoma City and Madison, Wis., are seeing organic demand in the market, so it’s really dependent on their own economic vitality,” Humphries says. “Honolulu and L.A., New York and D.C. are seeing a lot of both domestic interest and hefty international buying interest.” (www.usnews.com)
U.S. News and World Report (12/19/11); Meg Handley

Are We There Yet? The Economic Signs Are Encouraging, But We’re a Long Way From a Comeback

The housing market is ticking up as new households are created. Young adults who have been living with their parents are moving into their own homes amid somewhat stronger job growth. Household formations totaled 1.2 million in the 12 months ended in March, up from 357,000 the previous 12 months. At the same time, the inventory of new homes has reached a record low, says economist Patrick Newport of HIS Global Insight. “At some point you need to ramp up housing starts in a big way,” he says. He expects 675,000 single-family and multifamily starts next year, up from 600,000 this year — still less than half the 1.5 million in a normal year — and 960,000 in 2013. After adding virtually nothing to — or subtracting from — economic growth in recent years, “You’re talking about housing finally being a meaningful contributor to the overall economy” in 2012, says Diane Swonk, chief economist of Mesirow Financial. Kosse Maykus, a Fort Worth, Texas-area contractor, built 14 homes this year, about double last year’s pace. Until recently customers had been putting off construction of their dream homes in the hopes of getting a better price for their existing houses, Maykus says. “Folks I see today are more realistic,” he says. (www.usatoday.com)
USA Today (12/15/11); Paul Davidson

Region’s Economy Slowly Recovers

Housing experts at an annual housing forecast hosted by the Home Builders Association of Metropolitan Portland in Oregon agreed that after suffering a ruinous few years, the national and regional housing markets were stabilizing and should begin growing again in 2012 and 2013. “Things are getting better, slowly but surely. The worst is behind us,” Robert Denk, NAHB’s assistant vice president for forecasting and analysis, told hundreds of builders who specialize in single-family homes. Todd Birch, president of the Portland-based New Home Trends forecasting business, agreed, saying that demand for new homes already is increasing. “Recent job growth and in-migration are starting to put pressure on the existing housing stock,” said Birch, noting that some residents already are paying more to rent their home than they would pay to buy it. In fact, work already is underway on the first large-scale residential subdivision in the Portland area in four years. It envisions 200 homes in the Pleasant Valley area of Gresham. The first phase has 23 lots and is scheduled to be completed in January. Forty to 50 lots are targeted for the second phase. The upscale apartment market also is stirring since the wave of condominium conversions over the past few years. Developer Bob Ball recently announced plans to build a new market-rate apartment building with 177 units in the Pearl District. Ball, who previously specialized in converting historic buildings to condos, feels the economy can support such a project. The building will cost $35 million and be privately financed. (www.portlandtribune.com)
Portland Tribune (12/8/11); Jim Redden

Hovnanian Enterprises 4th-Quarter Loss Narrows as Home Builder’s Expenses Drop

Hovnanian Enterprises Inc. isn’t counting on any improvement in the housing market for at least another two years, but the home builder is pressing ahead with plans to open more communities next year. The company is counting on sales at newer, more profitable communities to help it weather weak housing demand. In the August to October quarter, its new home contracts rose 3%, while home deliveries — a key driver of revenue — declined about 3%. Hovnanian says it can boost its “top line,” or revenue, by selling more homes from newer communities built on less expensive land, rather than parcels acquired before the housing downturn. “Our internal projections for the next two years assume no improvement in market conditions,” said Ara K. Hovnanian, the builder’s chairman, president and CEO. “So any top line growth is driven by community count growth.” Hovnanian ended fiscal 2011 with 5% more open communities than in 2010. And the percentage of homes Hovnanian sold from its newer communities more than tripled in fiscal 2011 versus a year earlier. The company expects that will increase next year. (www.washingtonpost.com)
Washington Post (12/15/11); Associated Press

Federal Offenses: A Sewage Blunder Earns Engineer a Criminal Record

In 2007, Lawrence Lewis, who was raised in the projects of Washington, D.C., and rose to become chief engineer at a military retirement home, worked with his staff to divert a backed-up sewage system into an outside storm drain — one they long believed was connected to the city’s sewage-treatment system — to prevent flooding in an area where the sickest residents lived. In fact, the storm drain emptied into a creek that ultimately reaches the Potomac River. Eight months later, Lewis pleaded guilty in federal court to violating the Clean Water Act. He was given one year’s probation and placed under court-ordered supervision. “I got a criminal record from my job — when I thought I was doing the right thing?” says Lewis, 60 years old. Lewis was caught in Washington’s four-decade expansion of federal criminal law. Today, there are an estimated 4,500 federal crimes on the books, a significant increase from the three in the Constitution for treason, piracy and counterfeiting. There is an additional, and much larger, number of regulations written to enforce the laws — one of which ensnared Lewis. Many of these federal infractions are now easier to prosecute than in the past because of a weakening in a bedrock doctrine of Anglo-American jurisprudence: the principle of mens rea, or “guilty mind,” which holds that a person shouldn’t be convicted if he hasn’t shown an intent to do something wrong. Nobody, including Lewis, argues that dumping waste into a creek is a good idea. However, critics of the federal criminal justice system argue the government is criminalizing mistakes that might more appropriately be handled with civil fines or injunctions. In Lewis’ case, a Justice Department court filing acknowledged he didn’t realize the waste was going into the creek. (www.wsj.com)
Wall Street Journal (12/12/11); Gary Fields and John R. Emshwiller

Increasingly, Smoking Indoors Is Forbidden at Public Housing

In 2004, the Auburn Housing Authority became the first authority in Maine and one of the first in the country to ban smoking in public housing, and it has served as a model. On Jan.1, Maine will become the first state in the country in which all of its public housing authorities are smoke-free, affecting about 12,000 tenants. Similar policies are being adopted with increasing frequency across the country as cities move aggressively to restrict smoking in more public places, from bars and restaurants to parks, beaches and vehicles. Come September, Boston will become the biggest city to ban smoking in its public housing, which serves about 25,000 tenants. Detroit, San Antonio and Portland, Ore., already have similar restrictions in place. In 2005, only 32 housing authorities had smoking bans in effect, according to Jim Bergman, director of the Smoke-Free Environments Law Project in Michigan; by the end of this year, he said, 285, or about 9% of the total, will have enacted bans, affecting hundreds of thousands of tenants. Officials at the Department of Housing and Urban Development say the federal agency is planning to gather information next year on how various cities have carried out their bans and will publish a report of best practices, in the hope of encouraging more housing authorities to enact their own. (www.nytimes.com)
New York Times (12/17/11); Katharine Q. Seelye

NAHB Opposition to Congressional Plan to Raise GSE Guaranty Fees Widely Reported

NAHB’s opposition to a congressional plan to raise guaranty fees charged by Fannie Mae and Freddie Mac and use the increase to help pay for an extension of this year's payroll tax cut received widespread coverage in traditional and online media outlets.

NAHB issued press releases, met with editors and participated in interviews with various television, radio, newspaper, magazine and Internet news outlets on several housing issues.

The following were media highlights resulting from these efforts during the past two weeks:

• An online blog, The Hill Newspaper, reporting on NAHB’s opposition to a proposal to raise guaranty fees, quoted NAHB Chairman Bob Nielsen in the article.
  
  “Congress is essentially proposing to raise taxes on millions of potential home buyers in order to pay for a payroll tax cut and other non-housing legislative initiatives," said Nielsen. "With the housing market struggling to regain its footing, such a short-sighted move would be extremely counterproductive and threaten the fragile economic recovery."
  
  
• A Real Deal story on the guaranty fee issue that quoted Nielsen in the opening paragraph:
  
  “The bipartisan proposal in Congress last week to hike fees charged by mortgage giants Fannie Mae and Freddie Mac is a short-sighted, counterproductive threat to the fragile housing recovery and not how the funds were intended to be used," Nielsen said.
  
  
• The Wall Street Journal, CNBC.com, National Mortgage News and Housing Wire also were among the media outlets reporting on opposition from NAHB, the Mortgage Bankers Association and National Association of Realtors to the guaranty fees. The three organizations sent joint letters to House and Senate lawmakers urging Congress to oppose the fees increase.
  
  
• Under the headline, “Flawed Appraisals Hurting Home Sales, Slowing Housing Recovery,” Fox Business.com reported on a recent NAHB survey that highlights the need to reform the appraisal process.
  
  “The inappropriate use of distressed and foreclosed sales as comparables in determining new home values is needlessly driving down home prices, killing home sales, causing more workers to lose their jobs and delaying a housing and economic recovery,” said Nielsen in the article.
  
  
• NAHB CEO Jerry Howard and other senior staff met with the new real estate editor at The Washington Post on Dec. 12 to discuss the issues that home builders will face in 2012.
  
  
• In an article in Politico on apartment and condominium construction, NAHB Chief Economist David Crowe said that the multifamily “sector of the housing market appears to be on the cusp of a comeback” and expected it to show a 50% increase over 2010 once all the 2011 data have been recorded.
  
  
• Steve Huben, president of the Brown County Home Builders Association based in Green Bay, Wis., wrote an op-ed in the Green Bay Press Gazette on how excessive regulations are harming home builders.
  
  “Builders want to build and look ahead to the economy improving,” Huben said. “However, overregulation continues to make it tough for developers, builders and consumers alike to secure the business and mortgage loans needed to increase sales and move forward.”
  
  
• Reporting on weak home prices, the Philadelphia Inquirer cited the latest NAHB survey on acquisition, development and construction (AD&C) loans, which indicated that commercial banks continue to hold “tight reins” on the loans.
  
  
• National Mortgage Professional Magazine published a story on the AD&C survey under the headline, “NAHB: Credit Restrictions Stifling Economic Growth Nationwide.”
  
  
• HousingWire, the Toledo Blade, the Huntington News, Hardwood Floors News and other news and industry outlets reported on the increase of improving housing markets across the country, as noted in the Dec. 6 release of the NAHB/First American Improving Markets Index (IMI).
  
  
• NAHB CEO Howard was quoted in a CNBC.com story on whether residential housing is poised for a rebound.
  
  “With the exception of really hard-hit markets, the vast majority is ready to turn around,” he said. “The Washington, D.C., area is not only ripe for recovery, builders need to start building units.”
  
  
• The Portland Tribune, reporting on a panel discussion hosted by the Home Builders Association of Metropolitan Portland in Oregon, cited NAHB’s assistant vice president for forecasting and analysis, Bob Denk, on how the national and regional housing markets were starting to stabilize and should begin growing again in 2012 and 2013.
  
  “Things are getting better slowly but surely,” said Denk. “The worst is behind us.”
  
  
• An article in the Post Bulletin in Rochester, Minn., cited NAHB economist Elliott Eisenberg, who spoke on the benefits of new-home construction. Eisenberg said new homes bring in new residents who spend money and create more jobs and tax revenue.
  
  
• A Nov. 4 real estate article in Oklahoma’s The Lawton Constitution cited NAHB economist Rob Dietz, who spoke about the benefits of the second-home mortgage interest deduction. Curtailing the interest deduction, Dietz said, could negatively impact second-home purchases and heavily concentrated second-home areas.

NAHB Fights Use of Higher Guaranty Fees to Pay for Payroll Tax Cut

As Congress scrambled to come to agreement on a way to extend the payroll tax cut through 2012 before heading home for the holidays, NAHB was fighting extremely hard against a proposal that would help pay for that extension through an increase on guaranty fees charged to banks by Fannie Mae and Freddie Mac — a move that would ultimately raise the price of homeownership for all Americans seeking loans backed by those institutions.

"Congress is essentially proposing to raise taxes on millions of potential home buyers in order to pay for a payroll tax cut and other non-housing legislative initiatives,” NAHB Chairman Bob Nielsen said.

“With the housing market struggling to regain its footing, such a short-sighted move would be extremely counterproductive and threaten the fragile economic recovery,” he said.

“The guaranty fees — known as g-fees — that Fannie Mae and Freddie Mac charge lenders to protect against credit-related losses should not be used for purposes unrelated to the safety and soundness of the housing finance system."

Letters were also sent to House and Senate lawmakers opposing the g-fee increase. In addition, NAHB also made it clear to members of Congress that the association opposes any measures that would raise the cost of FHA loans.

Unfortunately, the House last week passed a version of the payroll tax extension legislation that included the g-fee provision.

Legislation passed by the Senate on Saturday morning by a vote of 89 to 10 extended the payroll tax cut for only two months, with funding coming entirely from the hike in GSE guarantee fees opposed by NAHB.

As this issue of Nation’s Building News went to press, House Republicans were expected to vote down the Senate-approved bill on the grounds that the extension should be for a full year.

The debate on this issue is expected to continue into the week as both chambers seek common ground.

Flood Insurance Extension and Funding the Government

Meanwhile, one bright spot in the House-passed legislation was the inclusion of NAHB-supported language to extend the National Flood Insurance Program for the next five years. The association is working to ensure that this particular part of the bill remains intact.

Separately, Congress reached an agreement on a $1 trillion spending bill to fund the government through next fall. It would extend federal flood insurance through the end of May in the event that the five-year flood insurance reauthorization plan in the payroll tax legislation falls through.

If Congress does not reach agreement on extending the payroll tax holiday, 160 million workers will see their payroll tax jump on Jan. 1 from this year's 4.2% back to its normal level of 6.2% — a $1,000 difference for a family earning $50,000.

For more information, email Scott Meyer at NAHB, or call him at 800-368-5242 x8144.

Clock Running Out on Extending Energy Tax Credits Expiring at Year’s End

Congress is unlikely to extend by the end of this year several tax incentives used by developers and remodelers that expire on Jan. 1.

The clock is running down on the New Energy Efficient Home Tax Credit (45L), the only federal incentive available for efficiency in new home construction. It provides a $2,000 tax credit to builders and developers for the construction and sale of homes that achieve a 50% improvement in energy efficiency over the 2004 International Energy Conservation Code.

Also nearing an end is the Existing Home Retrofit Tax Credit (25C), which provides consumers a tax credit of up to $500 for the purchase of qualifying energy-efficient products. Remodelers often leverage 25C tax incentives when working with clients. 

NAHB is actively working to extend these tax credits.

Both 45L and 25C are traditionally renewed by Congress at the end of each year as part of a package of expiring tax credits. 

Commonly referred to as “tax extenders,” this package has become more difficult to pass due to the government’s fiscal belt-tightening.

Because extending these tax credits would increase the deficit, Congress is required to offset the cost of the extension by either cutting spending or raising other taxes. Finding bipartisan “pay-for’s” has been difficult. 

Last year, the credits were allowed to lapse for 11-1/2 months before Congress finally extended them retroactively for 2010 and until the end of 2011. 

In addition to pushing for an extension, NAHB is working with a broad coalition of product manufacturers to modernize the 25C tax incentive.

In 2009 and 2010, Congress temporarily increased the 25C tax credit to allow taxpayers to claim 30% of the product cost — up to $1,500 — for installing eligible energy-saving retrofits in their homes. 

These higher tax credits were involved in more than $25 billion of remodeling activity in 2009, which NAHB estimates was associated with over 276,000 jobs.

For 2011, 25C fell back to its pre-stimulus level of 10% of the installed costs, with a maximum credit for all qualified retrofits of $500. In addition, many products have lower thresholds, which have created confusion among taxpayers.

NAHB and its coalition partners are working with allies in the House and Senate to introduce legislation to increase the $500 cap to $1,000. 

In addition, NAHB is proposing to eliminate the lower, individual product thresholds and permit taxpayers to claim labor costs for all qualifying products. For consumers, this would create a more robust — yet simpler — tax credit. 

Although the tax extender package has been renewed before without controversy, taxpayers cannot assume that Congress will proceed as it has in the past.

While support in Congress remains high for extending these incentives and lawmakers have renewed these tax credits retroactively in the past, their fate remains in doubt as Congress wrestles with offsetting their costs.

Recognizing the uncertainty confronting small businesses and consumers, NAHB is continuing to urge lawmakers to extend these tax credits in a timely fashion.

For more information, email J.P. Delmore at NAHB, or call him at 800-368-5242 x8412.

Isakson Bill Moves Debate Forward on Restoring Nation’s Housing Finance System

Sen. Johnny Isakson (R-Ga.) on Dec. 8 introduced the Mortgage Finance Act of 2011, legislation that creates a new framework for a single-family and multifamily securitization market beyond Fannie Mae and Freddie Mac.

The legislation would shut down Fannie Mae and Freddie Mac within 18 months and create a transitional 10-year program for securitizing mortgages with a federal guarantee. At the end of this time, the federal backing would be removed and the program would be privatized.

Of particular note, the legislation also addresses the issue of qualified residential mortgages (QRMs).

Under the Dodd-Frank Act, lenders are required to keep 5% of the mortgages they securitize. However, those who issue qualified residential mortgages would be exempt from this rule.

Federal regulators would require a 20% downpayment for a loan to meet their narrow definition of a QRM, a proposal that has brought opposition from NAHB and the housing community because it would make it more difficult for most families to purchase a home.

Isakson’s bill would establish a new QRM definition that would allow minimum downpayments of 5%.

NAHB policy opposes removing federal support for housing, but the Isakson bill is being viewed by many as a step toward bridging the policy divide in an increasingly polarized debate over the future of Fannie Mae and Freddie Mac and the housing finance system.

Action on comprehensive reform of housing’s government sponsored enterprises is not likely to move forward until after the 2012 elections.

Conservative lawmakers are seeking to end federal guarantees for the nation’s mortgage market while NAHB and many others in Congress believe it is imperative to maintain a federal backstop to ensure that there is an adequate supply of credit and that home mortgages remain affordable for typical middle-class households.

In addition to creating a new regulatory framework for high-quality mortgage securitization, the Mortgage Finance Act would:

• Resolve the disposition of Fannie Mae and Freddie Mac through an orderly receivership process
  
  
• Fully pay back taxpayers for the cost of bailing out Fannie Mae and Freddie Mac
  
  
• Create a new facility to guarantee securitizations of QRM mortgages
  
  
• Create a fund to protect against any future housing collapse

NAHB will continue its discussions with Sen. Isakson and bipartisan leaders in the House and Senate on the future of the housing finance system. 

For more information, email Scott Meyer at NAHB, or call him at 800-358-5242 x8144.

Builder Confidence on the Rise for the Third Consecutive Month

Builder confidence in the market for newly built, single-family homes edged up two points to 21 for December, from a downwardly revised number for the previous month, according to the latest NAHB/Wells Fargo Housing Market Index (HMI), which was released on Dec. 19.

This marks a third consecutive month in which builder confidence has improved, and brings the index to its highest point since May of 2010.

“While builder confidence remains low, the consistent gains registered over the past several months are an indication that pockets of recovery are slowly starting to emerge in scattered housing markets,” said NAHB Chairman Bob Nielsen.

“However, the difficulties that both builders and buyers continue to experience in accessing credit for new homes are holding back potential sales even in areas where economic conditions are improving,” he said.

“This is the first time that builder confidence has improved for three consecutive months since mid-2009, which signifies a legitimate though slowly emerging upward trend,” said NAHB Chief Economist David Crowe.

“While large inventories of foreclosed properties continue to plague the most distressed markets and consumer worries about job security and the challenges of selling an existing home remain significant factors, builders are reporting more inquiries and more interest among potential buyers than they have seen in previous months,” said Crowe.

Derived from a monthly survey that NAHB has been conducting for more than 20 years, the HMI gauges builder perceptions of current single-family home sales, sales expectations for the next six months and traffic of prospective buyers.

Scores from each component are then used to calculate a seasonally adjusted index where any number over 50 indicates that more builders view conditions as good than poor. 

Each of the HMI’s three component indexes registered a third consecutive month of improvement in December.

The component gauging current sales conditions rose two points in the latest month to 22, sales expectations for the next six months edged up one point to 26 and prospective buyer traffic climbed three points to 18 — its highest level since May of 2008.

Builder confidence primarily gained strength in the South in December, where a four-point gain to 25 brought that region’s HMI score to its highest level since March of 2008.

A one-point gain to 16 was registered in the West, while the Midwest held unchanged at 24 and the Northeast slipped one point to 15.

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.

Twenty Metro Areas Join List of Improving Housing Markets Index in December

The number of improving housing markets continued to expand for a fourth consecutive month in December, rising from 30 to 41 on the latest NAHB/First American Improving Markets Index (IMI), which was released on Dec. 6.

The December list featured 20 new additions — including several major markets such as Washington, D.C.; San Jose, Calif.; and Toledo, Ohio.

Meanwhile, nine smaller markets dropped off the list, primarily due to softer house prices.

The index identifies metropolitan areas that have shown improvement from their respective troughs in housing permits, employment and house prices for at least six consecutive months. 

New additions to the list in December include the following:

• Ann Arbor, Mich.
• Athens, Ga.
• Boulder, Colo.
• Burlington, Vt.
• Canton, Ohio
• Charleston, W.Va.
• Danville, Va.
• Fort Wayne, Ind.
• Grand Forks, N.D.
• Jackson, Miss.
• Kingsport, Tenn.
• Laredo, Texas
• Lincoln, Neb.
• Muncie, Ind.
• Muskegon, Mich.
• San Jose, Calif.
• Scranton, Pa.
• Toledo, Ohio
• Washington, D.C.
• Winchester, Va.

"The increases we continue to see in the number and geographic diversity of improving metros are quite encouraging, and evidence of the fact that all housing markets are dependent on uniquely local factors," said NAHB Chairman Bob Nielsen.

He noted that as of December, a total of 21 states and the District of Columbia are represented on the improving markets list — up from 14 states in November.

"The December IMI results are very much in keeping with the latest government housing data and our own builder surveys, which have shown modest signs of improvement in certain individual markets where employment is gaining and distressed properties are not as numerous," said NAHB Chief Economist David Crowe.

"These gradual improvements are now becoming evident not just in small, energy-producing metros that have previously dominated the IMI, but also in several larger markets and areas with more diverse economies."

The nine markets that dropped off the IMI in December were: Alexandria, La.; Fairbanks, Alaska; Hinesville, Ga.; Houma, La.; Jonesboro, Ark.; Lima, Ohio; Pine Bluff, Ark.; Sumter, S.C. and Waco, Texas.

All but two of these metros were dropped from the list because of softening house prices.

The exceptions were Jonesboro and Waco, where declines occurred in employment and single-family housing permits, respectively.

The total list of improving housing markets in December, as defined by the IMI, includes the following 41 entries (listed alphabetically by state):

• Anchorage, Alaska
• San Jose, Calif.
• Boulder, Colo.
• Fort Collins, Colo.
• Washington, D.C.
• Athens, Ga.
• Davenport, Iowa
• Waterloo, Iowa
• Kankakee, Ill.
• Fort Wayne, Ind.
• Muncie, Ind.
• Monroe, La.
• New Orleans
• Ann Arbor, Mich.
• Muskegon, Mich.
• Jackson, Miss.
• Fayetteville, N.C.
• Winston-Salem, N.C.
• Bismarck, N.D.
• Grand Forks, N.D.
• Lincoln, Neb.
• Canton, Ohio
• Toledo, Ohio
• Pittsburgh
• Scranton, Pa.
• Williamsport, Pa.
• Kingsport, Tenn.
• Amarillo, Texas
• Corpus Christi, Texas
• Laredo, Texas
• McAllen, Texas
• Midland, Texas
• Odessa, Texas
• Sherman, Texas
• Tyler, Texas
• Danville, Va.
• Winchester, Va.
• Burlington, Vt.
• Charleston, W.Va.
• Casper, Wyo.
• Cheyenne, Wyo.

The IMI is designed to track housing markets throughout the country that are showing signs of improving economic health.

The index measures three sets of independent monthly data on the top improving Metropolitan Statistical Areas: employment growth from the Bureau of Labor Statistics, house price appreciation from Freddie Mac and single-family housing permit growth from the U.S. Census Bureau.

A metro area must see improvement in all three indicators for at least six months following their respective troughs before being included on the improving markets list.

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: Multifamily a Bright Spot in a Housing Market Showing Little Luster

The economic and housing news of the past few weeks suggests a continuation of the flat recovery.

The Federal Reserve’s Beige Book showed the nation’s economic activity growing at only a “slow to moderate” pace. While manufacturing activity expanded and consumer sales climbed modestly in most of the Fed’s bank districts, residential real estate remained weak, weighed down mostly by sluggish single-family housing construction.

In keeping with the moderate pace of employment growth seen during much of this year, 120,000 jobs were added in November, again below the level needed to accommodate an expanding labor force. More than half of November’s decline in the unemployment rate to 8.6% was due to a decrease in the labor participation rate, suggesting that the rate of unemployment will shift upward again in the next few months as discouraged workers return to the job market.

Despite efforts to pay down debt and build up savings, households continued to see their balance sheets deteriorate in the third quarter, with stock market declines wiping out $2.7 trillion of their financial assets. As a result, overall household net worth declined 5%.

While consumers in recent months have indicated that they view their current and future financial situations more favorably, the two main consumer confidence indexes remain at low levels, in line with those seen at the end of the recession.

Although home building — particularly single-family — remains slow, the NAHB/First American Improving Market Index continued to expand in December with the addition of 11 metro areas, raising the number of improving markets to 40. Largely absent from the index so far are major metropolitan markets that dominate the housing statistics.

Pointing to a bright spot in the broader U.S. housing market, the Fed’s Beige Book noted improvements in multifamily construction in New York, Philadelphia, Cleveland, Chicago and Minneapolis.

Meanwhile, reflecting consistent improvement in multifamily housing starts this year, NAHB’s Multifamily Production Index for the third quarter registered its fifth consecutive increase, reaching its highest reading since the fourth quarter of 2005.

While market absorptions drifted down over the first half of 2011, vacancy rates have steadily declined this year, which is a hopeful sign for future expansion in the multifamily market.

Credit conditions continue to restrain the housing recovery, with a recent survey showing that a majority of NAHB members saw the shortage of acquisition, development and construction credit (AD&C) worsen in the third quarter.

Builders are also struggling against a flawed appraisal process. In a recent survey, one in three builders reported losing signed sales contracts in the previous six months from appraisal values coming in below the contract sales price.

Flawed appraisals are also choking off AD&C credit, with falling appraised values for land and subdivisions under development leading some financial institutions to stop lending to developers and builders, to demand additional equity and even to call in performing loans.

Latest Postings

• Declining Multifamily Vacancy Rates Point to Future Growth
  The Survey of Market Absorption revealed some weakness in the multifamily sector in the first half of 2011, but declining multifamily vacancy rates are a hopeful sign for future multifamily market expansion. Posted: Dec. 12
  
  
• Flawed Appraisals Impeding Home Sales
  One in three builders reported losing signed sales contracts in the preceding six months because the appraised value of the home was below the contract sales price, according to a recent survey by NAHB. Posted: Dec. 9
  
  
• NAHB Indexes for New and Existing Apartments Continue to Improve
  NAHB’s Multifamily Production Index (MPI) improved for the fifth consecutive quarter. At 47.3 in this year’s third quarter, the index reached its highest level since the fourth quarter of 2005. Posted: Dec. 8
  
  
• Household Balance Sheets Deteriorate During the Third Quarter
  Stock market declines stripped almost $2.7 trillion from household financial assets in the third quarter. Posted: Dec. 8
  
  
• Improving Markets Index: Monroe, La.
  The growth of telecommunications giant CenturyLink, the presence of two excellent colleges, proximity to gas-rich Haynesville-Bossier Shale and prominence as a regional healthcare center put Monroe, La., on the NAHB/First American Improving Markets Index. Posted: Dec. 8
  
  
• Credit for Builders Remains Tight
  A majority of NAHB members reported that the availability of acquisition, development and construction (AD&C) loans worsened in the third quarter. Posted: Dec. 7
  
  
• Twenty Metros Join List of Improving Housing Markets Index in December
  The number of housing markets on the latest NAHB/First American Improving Markets Index rose from 30 to 41 — the index’s fourth consecutive monthly gain. Posted: Dec. 6
  
  
• The Employment Situation for November — Unemployment Rate Declines, But Is It Real?
  A moderate 120,000 new jobs were created in November. The unemployment rate dropped 0.4 percentage points to 8.6%, but more than half the decline came from people leaving the labor force. Posted: Dec. 2
  
  
• The Geography of Home Size and Occupancy
  NAHB research examining the relationship between home size and the number of people residing in a given home indicates the median sizes of homes on a per-person basis are remarkably similar, despite homes being significantly smaller in central cities. Posted: Dec. 2
  
  
• Residential Construction Spending Rises in October
  Spending on private residential construction projects rose 3.4% during October, but overall total private residential construction spending has failed to gain forward momentum in the past year. Posted: Dec. 1
  
  
• The Importance of Home Equity Loans for Remodeling
  Residential energy-efficient tax credits introduced in 2008 have softened the impact of recent declines in an important source of funding for home improvements — home equity loans — on remodeling activity. Posted: Dec. 1
  
  
• Fed Beige Book: More Slow Growth
  Economic activity increased at a “slow to moderate pace” across the nation in the third quarter, according to the latest release of the Federal Reserve’s Beige Book. Posted: Nov. 30
  
  
• Consumer Confidence Improves in November, But Remains Weak
  The Conference Board’s Consumer Confidence Index (CCI) and the University of Michigan Consumer Sentiment Survey indicated a healthy increase in consumer confidence in November. Posted: Nov. 30
  
  
• Pending Home Sales Bounce Back Strongly in October
  Pending homes sales bounced back strongly in October, more than recovering the ground lost in declines over the previous three months, returning to the same level that was seen at the start of 2011. Posted: Nov. 30

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 Dec. 15 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.

• U.S. Census Bureau Construction Price Indexes
  
  
• NAHB's Housing Forecast
  Housing starts, sales and interest rate projections through 2009.
  
  
• Latest Home Mortgage Interest Rates
  Contains current and historical data on fixed and adjustable mortgage rates. Updated weekly.
  
  
• Characteristics of New Housing
  Highlights the latest data on new-home characteristics released by the U.S. Census Department. Includes links to the complete Census report and other trends researched by NAHB.
  
  Additional breakouts of this data and other trends researched by NAHB are available at www.nahb.org/constructionstats under “Selected Characteristics of New Housing” (dated 4/3/2008).
  
  
• Housing Starts
  Updated monthly and based on a seasonally adjusted annual rate.
  
  
• New and Existing Home Sales
  Updated monthly and based on a seasonally adjusted annual rate.
  
  
• New and Existing Single-Family Median Home Prices
  Updated monthly.
  
  
• Home Price Index
  The index measures average home appreciation in more than 250 metropolitan markets. Updated quarterly.
  
  
• Metro Home Building Permits
  Local and state data on housing construction rates. Updated monthly.
  
  
• Employment Trends for Metro/State Markets
  Provides metro and state employment data nationwide. Updated monthly.
  
  
• Local Economic Impact of Housing
  Shows how building 100 homes benefits a typical metropolitan area.
  
  
• Home Building’s Direct Impact on the Economy
  
  
• Housing’s Contribution to Gross State Product
  Measures how much housing contributes to the economic output of each state.
  
  
• Housing Market Statistics from HousingEconomics.com
  Full array of statistical categories available to NAHB members, a limited number available to non-members.
  
  
• In-Depth Analysis from HousingEconomics.com
  Full array of analysis of factors affecting housing and the impact on the industry available to NAHB members, a limited number available to non-members.

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.

IBS Learning Labs Focus on Stronger Communications With Association Members

Every year during the NAHB International Builders’ Show, the association’s membership team conducts a series of Learning Labs to help attendees examine their membership programs and gain new ideas.

Each 90-minute session is a chance for executive officers, association staff and volunteer leaders to take a break from the show to focus on attracting and retaining members.

Both of this year’s Learning Labs take place on Thursday, Feb. 9.

 At the “Touch 2.0” Lab, NAHB will reveal exciting new additions to its successful communications platform, the Touch System. The session starts at 1:00 p.m.

The Touch System is designed to provide local associations with the capabilities to communicate with their members over the course of a year in a way that has traditionally only been possible for the most sophisticated and well-funded associations.

Significantly improving the communications strategies of home builders associations, the system makes it possible to personalize communications to members so that that they perceive themselves as being actively involved in the organization.

The Touch System Lab will introduce new facets of the platform to complement existing options and suggest ways to utilize them effectively.

The “Attraction, Recruitment and Engagement in 2012” Lab will focus on creating a new way of approaching membership in 2012 and beyond. The session starts at 3:00 p.m.

Attendees will break into smaller groups for more productive and in-depth conversations to help them perceive membership strategies in a new way, stop using outmoded approaches and understand how to do less with more in a tough economic climate.

Attendance at both Learning Labs is free for registered IBS attendees.

For more information on the “Touch 2.0” session, email William Deiss at NAHB, or call him at 800-368-5242 x8231.

For information on “Attraction Recruitment and Engagement in 2012,” contact Gabrielle Alahouzos,  x8351.

Attendance at both Learning Labs is free for registered IBS attendees.

Pre-Show Courses for Master CGP Designation Review Advanced Green Building Techniques

Two two-day courses required for the Master Certified Green Professional (Master CGP) designation — the new standard for home builders and remodelers experienced in sustainable construction techniques, project management and building science — will be offered as part of the pre-show schedule at the 2012 NAHB International Builders’ Show in Orlando.

The Master CGP designation builds on the Certified Green Professional (CGP) designation that was introduced in February 2008 and has since become NAHB’s most successful educational designation program. More than 6,000 industry professionals have now met the CGP requirements.

The Master CGP designation requires designees to successfully complete "Advanced Green Building: Project Management" and "Advanced Green Building: Building Science."

“These two classes will offer builders and remodelers greater mastery of green building science and cost-effective ways to implement these techniques and technology,” said John Barrows, CGP, CGB, GMB, of J Barrows Inc., a New York construction and project management firm and a longtime NAHB Education instructor.

In addition to the courses, candidates must have completed the CGP coursework requirements, have five years of experience in green building and have certified at least three homes in a three-year period to a nationally recognized rating system, such as the National Green Building Standard.

“Advanced Green Building: Project Management” will be held on Saturday and Sunday, Feb. 4-5, and “Advanced Green Building: Building Science” will be held on Monday and Tuesday, Feb. 6-7. Both courses take place at the Peabody Orlando from 9:00 a.m. to 5:00 p.m.

Unlike the CGP educational designation — which can be earned by real estate brokers, sales and marketing professionals, and suppliers and manufacturers to the home building industry — the Master CGP designation is open only to builders and remodelers, although the classes can be attended by to other professionals, Barrows said.

Building Science Course Curriculum

The building science course curriculum covers proper building science techniques for high-performance homes that create a more durable, environmentally responsible and sustainable living environment.

Because NAHB partnered with Building Green, LLC to develop the course, students use case studies, detailed construction drawings and other resources from GreenBuildingAdvisor.com.

Students are asked to bring plans and drawings from recent projects to be critiqued by the instructor.

“We can evaluate what they are doing and what they could improve from a performance and a performance-versus-cost standpoint,” Barrows said. “The more people understand building science, the more ‘ah-ha’ moments there are; people understand why they should do what they do.”

Building science students learn how to:

• Apply building physics to building performance
• Translate building science into elements of design and construction
• Dovetail all high-performance features — energy efficiency, water efficiency, materials efficiency and indoor environmental quality
• Describe the high-performance home and its benefits to suppliers, subcontractors and clients
• Continue to use the Green Building Advisor online project management tool on future projects

Project Management Course Curriculum

"Advanced Green Building: Project Management," which debuted at the 2011 NAHB International Builders’ Show, covers the systems approach to green building.

“We learn how to involve everyone — trade contractors, the owner, the architect, suppliers — and how to create a more efficient project and documentation flow,” Barrows said. “The goal is to be able to identify potential problems before they occur; to make sure that the project is priced and bid inclusively and scheduled efficiently; and to follow through to ensure all work is done in accordance with what’s expected.”

Participants will be able to:

• Integrate green tasks into project management for a collaborative and more efficient approach toward meeting green rating system requirements
• Develop an understanding of the fundamental principles of the National Green Building Standard and describe the green home certification process
• Discuss ways to limit the potential liabilities of green building
• Increase a project’s bottom line through streamlined management practices
• Improve marketing strategies for selling green

Barrows said that the new classes are well targeted to meeting the changing needs of today’s builder and remodeler.

“Many of us tend to think of how we build a house in separate distinct stages or silos. What needs to happen is that it’s more of a circle-back process — you have to think about the relationships between the stages from a building science, cost and efficiency standpoint,” Barrow said.

“Anybody who is thinking about building for the future should be taking these classes to prepare themselves for where this industry is headed and how things are going to be,” he said.

Pre-show course fees are in addition to IBS registration fees. See a complete schedule at www.buildersshow.com/preshow.

Builders’ Tip: A Simple Tool for Snapping Angled Chalk Lines on Sheathing

Click for larger image.

On straightforward roofs with rectangular shapes, snapping chalk lines on the sheathing is easy because chalk line hooks are designed to grab at 90 degrees.

But when a roof is more complicated — with hexagonal or octagonal shapes — it’s much tougher to snap them because the chalk lines' hooks just can’t get a good grip on the edge of the sheathing.

With the device shown in the accompanying drawing, snapping angled lines is a breeze:

• Made from a short piece of aluminum-angle stock, the top of my chalk line anchor has a screw threaded into a hole drilled and tapped into the angle stock.
  
  
• The chalk line’s hook fits over this screw and a cutout in the top of the anchor lets me easily see the dimension marked on the sheathing’s edge as I position the anchor.

Once the anchor is in position, I push on its side, setting two dog points — sharpened screws held in place by a pair of nuts — into the edge of the plywood.

The thickness of the nut between the anchor and the plywood serves to center the top screw directly over the dimension mark.

— Bob Carli; Unionville, Conn.

Tips & Techniques provided by Fine Homebuilding.
©2011 The Taunton Press

To contact Fine Homebuilding, email fh@taunton.com.

Free NAHB Builder Business Guide on How to Survive Downturn and Thrive Now Available

A new, free BizTools builder business guide on how to survive the downturn and prepare for a resurgent home building industry is now available to members and can be downloaded from NAHB’s Builder Business Guides Web page.

The guide, “A Business Vision for the Future” — produced by NAHB’s Business Management and Information Technology Committee to help members manage their businesses more effectively and increase their profits — is a compilation of articles written by industry experts that focuses on how to prepare for when the industry and housing market regain their health.

The guide provides human resource tips on hiring and retaining employees, sharpening leadership skills and survival tactics to stabilize a business until the industry recovers.

Contributing authors include Maggie Marotta of Synergist Financial, LLC; Ron Lewis of R.B. Lewis & Associates; and Roger Fiehn, of Roger Fiehn & Associates.

“A Business Vision for the Future” is the latest in a series of free Builder Business Guides available to members.

The guides, part of NAHB’s BizTools — The Business of Building resources, can be viewed and downloaded from the NAHB website in PDF format.

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

NAHB Index Shows Ongoing Improvement for Apartment and Condominium Market

The apartment and condominium apartment market in this year’s third quarter showed improvement for the fifth consecutive quarter, according to NAHB’s Multifamily Production Index (MPI), which was released on Dec. 8.

The MPI, which tracks the sentiment of builders and developers on the conditions of the multifamily market on a scale of 0 to 100, increased from 44.4 in the second quarter to 47.3 in the third quarter — the highest reading since the fourth quarter of 2005.

The index provides a composite measure of construction in three key sectors of the multifamily housing market: low-rent units, market-rate rental units and "for-sale" units, or condominiums.

Any number over 50 indicates that more respondents report conditions are improving than report conditions are getting worse.

In the third quarter of 2011, the MPI component for market-rate rental properties rose to an all-time high of 63.8, while low-rent units remained steady at 50.1.

For-sale units rose to 31.9, their highest level since the second quarter of 2006.

"Multifamily construction continues to be the bright spot in the overall housing market," said NAHB Chief Economist David Crowe.

"While household formations have been below trend, those who are forming new households are becoming renters and this trend is likely to continue until consumer confidence returns," he said.

"Apartments and condominiums play an integral role in the overall housing market, now more than ever," said Stillman Knight, chairman of NAHB's Multifamily Council Board of Trustees and president and CEO of the Knight Company in Alexandria, Va.

"The construction of these units not only brings jobs to local communities,” Knight said, “but also provides an adequate stock of housing for areas with rapid population growth."

Looking forward to the next six months, builder and developer expectations improved in the third quarter for market-rate rental properties and for-sale properties, which rose to 67.2 and 37.3, respectively. Expectations for low-rent units dropped slightly, to 50.2.

The Multifamily Vacancy Index (MVI) — which measures industry perceptions of vacancies — fell to 35.1, down from 36.1 in the preceding quarter.

On the MVI, lower numbers indicate fewer vacancies. The MVI has improved considerably since reaching a peak of 70.2 in the second quarter of 2009.

"NAHB's Multifamily Production Index and Multifamily Vacancy Index have emerged as leading indicators for the multifamily market," Crowe said.

"For example, the MVI began to improve strongly in the third quarter of 2009, one quarter before a similar trend emerged in the Census Bureau's rental vacancy rate for buildings with at least five apartments,” he said.

“Although the Census shows a slight surge in rental vacancy rates in the latest quarter, our survey suggests that this will only be a temporary setback."

For data tables on the MPI and MVI, visit www.nahb.org/mms.

EPA Relying on Tips, Stepping Up Inspections, Enforcement of Lead-Paint Rule in 2012

The Environmental Protection Agency is relying on tips and has begun stepping up its inspections and enforcement of the Lead: Renovation, Repair & Painting (RRP) rule, an associate director with the EPA’s Office of Enforcement and Compliance Assurance said at a free webinar hosted by the NAHB Remodelers on Dec. 14.

While only three lead-paint rule enforcement actions were taken during fiscal 2011, the EPA’s Don Lott said 2012 will be much busier. He noted that the agency already has conducted 1,000 compliance inspections, with more to follow. 

EPA inspections, conducted by inspectors from regional offices, can include job site inspections as well as recordkeeping audits that focus on complying with lead-safe work practices, Lott said.

During the webinar, Lott and Matt Watkins, an NAHB environmental policy analyst, discussed how the EPA is enforcing compliance and pursuing violations. The rule is enforced in all 50 states, however 12 states administer the rule on their own.

Of the firms inspected to date, Lott said, 60% had not been certified under the rule. He also said the EPA is employing several different enforcement strategies, but it is relying heavily on tips and complaints reported on its hotline and compliance and enforcement Web page.

On average, Lott said the EPA receives about 400 tips and complaints a month about uncertified firms and unsafe lead work practices. To fully investigate a tip, the EPA requires complainants to provide as much information as possible — including the company’s name and address as well as a description of the project and any activity that is noncompliant with the rule.

When determining compliance, the EPA examines a company’s lead-safe work practices, training and recordkeeping — with work practices the agency’s highest priority, Lott said.

Though all three compliance components are required under the lead rule, Lott said that violations are weighted more heavily, and that violations causing a direct health risk are weighted the heaviest.

In addition to seeking proof of certification and training under the rule, Lott said inspectors are examining records and looking for notations about what lead-safe practices are being used in projects.

Watkins advised remodelers to keep required records for three years, as stipulated in the rule.

Watkins and staff members from government affairs and general counsel also brought webinar attendees up to date on NAHB’s ongoing efforts to make the lead-paint rule, as well as its administration and enforcement, as reasonable and cost-effective as possible.

Finalized in April 2008, the lead paint rule was revised in August 2011 with input from NAHB Remodelers.

For more information, view NAHB Remodelers lead paint rule news and resources online; or email Matt Watkins, or call him at 800-368-5242 x8327.

Free Webinar Recording Available

A free recording of the webinar will be available on Webinar Rewind on the NAHB website beginning on Wednesday, Dec. 21. Members also will be able read and download documents and slides from the webinar.

EPA Issues Voluntary Indoor Air Guidelines for Energy Upgrade Projects

The Environmental Protection Agency has released voluntary guidelines for best practices to maintain or improve indoor air quality for remodelers working on home energy upgrades.

The EPA developed its "Healthy Indoor Environment Protocols for Home Energy Upgrades" to provide practical guidance on improving or maintaining indoor air quality and indoor environments through home energy upgrades or remodeling.

“NAHB supports this effort to increase both consumer and contractor awareness of environmental and safety considerations when designing and implementing any projects, including those aimed at improving energy efficiency,” said NAHB Remodelers Chair Bob Peterson.

The EPA protocols and Department of Energy guidelines are intended to be adopted voluntarily by weatherization assistance programs, federally funded housing programs, private-sector home performance contractors and others working on residential energy upgrades or remodeling.

In comments submitted in response to a draft of the guidelines in 2010, NAHB said that the association “believes the voluntary protocols represent a reasonable set of steps that can be taken to better integrate health protections into home energy upgrade programs.”

NAHB also “supports the adoption of these optional protocols as an effort to inform home owners and professional contractors of the potential risks from energy retrofit projects,” the comments said.

The protocols were developed in conjunction with DOE's "Guidelines for Home Energy Professionals," following a "Recovery Through Retrofit" report issued in October 2009 by the Office of the Vice President. The two guidelines are designed to be complementary and mutually supportive.

The Vice President’s report identified a lack of consumer information as one of three key barriers to the widespread adoption of energy-efficiency upgrades within the existing U.S. housing stock.

Home energy retrofits can potentially have a negative impact on indoor air quality and public health if they are installed improperly or pre-existing contaminants such as lead-based paint or asbestos are unintentionally disturbed, according to the EPA report.

NAHB has trained more than 5,500 members of the home building industry as Certified Green Professionals (CGPs), including builders, remodelers, architects and other professionals employed in the real estate industry.

These professionals are trained in the core concepts of green building and energy-efficient construction practices and can also educate home owners about the latest cost-effective green building techniques and products.

“Clearly, our members are well equipped to fill this growing need,” Peterson said.

For information on remodeling resources available from NAHB, email Nissa Hiatt, or call her at 800-368-5242 x8451.

Build a Realtor Strategy Based on the Way People Find and Buy Homes Today

By David Miles Miles BrandDNA

The next in a series about marketing and social media.

Realtors have never been more important to builders than they are today, especially now that more and more prospective home buyers are using the Internet to find their home.

According to recent research, in 72% of new-home closings involving a co-op Realtor payment, the home buyer initially found the home, typically through the Internet, and then engaged the Realtor as an expert third-party source to validate the price, location, builder, quality and more.

During the last 10 years or so, the Realtor’s role has evolved from locating and showing homes to one of validating them.

Builders need to build or adjust their Realtor strategy to accommodate the real estate agent’s new role of validating homes and builders — and they must base their new strategy on several assumptions:

• Realtors Have Buyers
  
  Realtors represent more than 75% of all real estate transactions in most markets. To ignore or try to eliminate Realtors from the sales process is to ensure failure — as a builder and as a sales person.

• Realtors Validate Purchase Decisions
  
  While Realtors still have a significant influence over where buyers look for homes, what homes they consider and what home they eventually purchase, their most important role is to affirm and confirm the buyer’s purchase decision.
  
  
• The Role of the On-Site Sales Person Has Changed
  
  The days of waiting for sales traffic to arrive at the sales office are long gone. Today’s on-site sales counselors must be as proficient at Realtor outreach — at contacting and “selling the brand” to Realtors — as they are at closing prospects on-site. On-site sales counselors must assume the role of “brand ambassador” to educate Realtors and build a relationship of confidence, trust — and endorsement.
  

Engaging Realtors

When building stronger relationships with Realtors, builders and sales counselors should keep in mind that:

• Realtors are not in the habit of showing new homes.
• Each Realtor has their own obstacles to showing new homes.
• The most effective way to build Realtor loyalty is to build long-term relationships.
• Each contact with a Realtor either builds or diminishes trust in the relationship. People are not neutral and Realtors like to do business with people they like, respect and trust.
• It takes time and consistent effort to build a strategic relationship with a Realtor.
• On-site sales counselors can increase their probability of success by focusing on specific Realtors rather than large groups.
• As with any relationship, it must be maintained and nurtured to build long-term success.

With that in mind, the following are several strategies for building a solid relationship with Realtors:

• Target specific groups of Realtors to build individual strategic relationships.
  
  
• Assign ownership for the implementation of the Realtor strategy to sales managers and individual sales counselors who will be responsible for building strategic relationships with the following target audiences:
  
  • Rookie Realtors
  • Career Realtors
  • Brokers in charge
  • Key offices
  • Overall Realtor marketplace
     
• Implement specific tactics to support strategic relationships.
  
  In order to be successful in new home sales, salespeople need to be effective at attracting and sustaining Realtor business. Each sales person should be responsible and accountable for developing Realtor relationships that generate consistent registrations and sales.

Conduct One-on-One Meetings With Realtors

Individual meetings with Realtors are key to building long-term relationships that will create trust, drive traffic and produce consistent endorsements. But after the initial meetings, periodic one-on-one meetings will be necessary to maintain the relationship and keep the momentum going.

While numerous support tactics also need to be employed, trying to build relationships without meeting Realtors one-on-one in order to educate and inform them is doomed to failure.

Maintain Consistent Communication

Consistent communication is essential to producing consistent results.

The goal is not to elicit a specific response, it’s to support the relationship by keeping the sales counselor and builder brand in front of the Realtor. Without this consistent communication, efforts to build the relationship will be lost and, at best, produce inconsistent results.

Communication can take on several forms, including::

• E-blast campaigns
• Mobile text campaigns
• Voice mail updates
• Personal phone calls
• Post cards
• Gift cards
• Event invitations
• Birthday cards, seasonal cards
• News updates

When builders embark on a Realtor strategy, they need to determine how actively or passively they want to engage Realtors.

Two factors should make the choice clear — Realtors have buyers and Realtors are highly influential in guiding and validating buyer purchase decisions.

Builders clearly need to become intentional about building long lasting relationships with Realtors who understand, trust and are willing to endorse the builder brand.

David Miles will be discussing this topic during the 2012 NAHB International Builders' Show in Orlando beginning at 9:15 a.m. on Wednesday, Feb. 8, at Sales Central in West 311 E.

Next in the series: Media and referral strategies using social media.

David Miles is president of Miles BrandDNA, a Denver-based real estate branding and communications firm. During his career, which spans more than three decades, Miles has worked with such leading real estate brands  as Disney, Hines, Orco (the largest developer in Europe), Newland Communities, General Growth Partners, Pulte Homes, Centex Homes, Shea Homes, David Weekly Homes, John Wieland Homes, The Seaside Institute and the Urban Land Institute of Colorado. He has won numerous local, national and international creative awards, including 92 Gold Nationals and more than 500 Silvers. For more information, visit www.milesdna.com; or email Miles, or call him at 303-880-2531.

'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.

Meet Consumer Expectations When Marketing Green Homes

By C.R Herro Meritage Homes

Green marketing is being used to promote just about everything from toothpaste to homes, while promising consumers such lofty benefits as better health, reduced waste, the avoidance of global catastrophes and other “eco-friendly” and “sustainability” claims.

Being green denotes something different from product to product and from person to person. At times, being green has come to mean so many things, it doesn’t mean much at all.

But consumers’ interest in better health, responsible purchasing and saving the planet — and their appetite for positive product differentiation and a willingness to pay a premium for superior or responsible choices — has lured many manufacturers and service providers down the green marketing path in order to gain or keep their market share.

With green marketing becoming so ubiquitous, its overuse has spawned a new phrase, “green-washing.”

The accompanying rapid expansion of green marketing claims has caused the Federal Trade Commission (FTC) to repeatedly revise its guidance on how reasonable consumers can interpret particular green claims; and how marketers can substantiate and qualify their claims to avoid consumer deception.

In addition, the FTC recently sent warning letters and initiated legal actions against the green marketing practices of several of some of the largest and smallest U.S. companies.

This overpromising and under delivering on green claims has fostered a growing mistrust and skepticism among consumers. And as all marketers know, one poor impression in the marketplace can offset 99 positive impressions — causing the claims to be dismissed as marketing gimmicks and the company to fail in its marketing differentiation.

Follow a New Path to Green

Cutting energy consumption by 30% or using 50% recycled materials describe specific features or benefits — but these types of claims don’t necessarily resonate with consumers or fit neatly on a sales flyer.

And while green logos have come to embody everything from organic agriculture and global climate change to beneficial improvements in services and products, in some instances, they cynically depict business as usual.

The home building industry has made significant improvements in energy efficiency, indoor air quality, resource management and sustainable building practices, which can benefit individual consumers as well as the collective society.

But green homes are not all or nothing propositions. Features and benefits can vary from particular aspects of a home, such as extra insulation and the use of Energy Star appliances, to improving transportation logistics and reducing the ecological footprint of the home owner.

Whatever level of green attributes is achieved, green marketing can set new customer expectations and desires — and good green marketing can set them accurately. 

Third-Party Certification Can Set Accurate Expectations

One of the current tools to effectively educate and differentiate green homes are third-party labels and ratings denoting energy efficiency. From Energy Star appliance labels, SEER AC ratings, U and SHGC window labels and Home Energy Rating System (HERS) program certifications, a credible program depicting energy efficiency gives buyers, lenders and appraisers information that directly correlates with reduced home operating costs and enables consumer to compare home options.

Government-backed programs through the U.S. Department of Energy and the Environmental Protection Agency, such as Energy Star and Building America, provide government compliance and labeling.

Locally, there are municipal green building programs and utility-sponsored energy-efficient certification programs for indoor air quality, water management, energy efficiency and sustainable practices. In addition, independent engineering certifications and ratings exist for many household products and materials — including sustainably grown lumber, low-VOC paints and insulated doors, windows and walls.

These third-party validations allow consumers to make informed decisions based on empirical and comparative data.

Another important validation in home building comes from Realtors and appraisers, the experts that buyers look toward to guide them through the home buying process. So green marketing should not only demonstrate value to consumers, it should help Realtors better understand and leverage green home benefits to their buyers.

Such an approach also can lead to informed Realtors generating higher quality referrals and homes achieving higher resale values.

Make Good on Green Promises

With the consumer-realized benefits of green building constituting the most compelling value proposition when marketing green homes, a key component of consumer behavioral change rests on making good on green marketing promises.

Good green marketing substantiates and promotes the value of green home building and gives consumers the ability to make an informed, better choice.

C.R. Herro is the vice president of environmental affairs for Meritage Homes and heads its energy efficiency and sustainability program. In 2011, Meritage Homes began offering cost-effective, energy-efficient and integrated renewable designed net-zero homes. For more information, email C.R. Herro; or visit the Meritage Homes website.

'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.

Silver Award Winners Announced for National Sales and Marketing Awards ― The Nationals

NAHB’s National Sales and Marketing Council (NSMC) has recently announced the finalists for The National Sales and Marketing Awards — The Nationals — the largest and most prestigious competition for new-home sales and marketing professionals and communities.

Also known as the Silver Award winners, they are the top-vote recipients in 47 sales and marketing categories.

The Gold Award winners in each category will be honored at The Nationals Gala on Wednesday, Feb. 8, during the 2012 NAHB International Builders’ Show in Orlando. The awards ceremony will be held at The Peabody Orlando.

Now in its 31st year, The Nationals recognize superior new-home sales and marketing achievements in product and community design, advertising, marketing and sales achievements by individuals and sales teams.

“The Nationals are the most prestigious awards of their kind, setting the benchmark for innovations in new home design, marketing and sales,” said Doris Pearlman, MIRM, and chair of The Nationals. “NAHB’s commitment to recognizing originality, imagination and success has been exemplified by its award winners since the competition’s inception.”

‘Legend’ Honored

During The Nationals awards ceremony, Andrew Brethour, president of PMA Brethour Realty Group, will be honored as the 2012 “Legend of Residential Marketing” for his innovative leadership in new-home marketing.

Legends recipients are selected based upon their professionalism and commitment to the industry, along with the quality of their new home marketing.

MetLife Home Loans and MetLife Bank, N.A. are the exclusive co-sponsors of The Nationals.

Silver Award Winners Listed Online

To view a complete list of The Nationals Silver Award winners, or to purchase tickets for the gala, visit www.thenationals.com.

For more information, email Lisa Parrish, or call her at 800-658-2751.

The Spaces at Summer Lake sales center, by Shea Homes, is a Nationals Silver Award winner.

Ancient Japanese Art Form the Inspiration Behind Modern, Concrete Green Home

Set in a traditional neighborhood on a quarter-acre lot, the Origami-Loft House in Venice, Fla., south of Tampa respects its surroundings and presents a sensibly executed façade in harmony with its neighboring homes, while the rear of the house — with its arcs, curves and cascading volumes — exudes drama.

To create the complex geometries and openness of his design — plus give it the strength to weather Florida’s long hurricane season, with wind gusts of up to 250 mph — required architect Jonathan Parks to select a cast-in-place (CIP) concrete-wall system for the entire house.

Cast-in-place concrete walls are made with ready-mix concrete placed in removable forms erected onsite. More commonly used for below-grade basement walls, the CIP technology can be used to create above-grade walls as well. The cost-effective system provides builders and home owners superior-strength walls that resist mold and mildew, can block sound and can be insulated.

The Origami-Loft House, designed to achieve energy efficiency and sustainability, was built using a combination of cast-in-place concrete walls, soy-based foam insulation and low-E windows to counter Florida’s subtropical temperatures and reduce energy usage and costs.

The home incorporates active and passive solar energy and heating systems to reduce energy consumption and provide the home owners with the necessities and amenities common to Florida living. The home’s water and swimming pool are heated with a passive solar water heating system and vaulted ceilings help control interior temperatures.

In addition, the home was designed to usher in as much natural light as possible — significantly reducing the home owners’ reliance on artificial lighting. Its 24-foot high ceilings are topped with transoms and expanses of windows that let natural light spill in, even as the sun sets.

The home’s active system — a 24-panel solar arra — generates between 21 and 26 kilowatt hours a day to power the owners’ Energy Star appliances and reduce their municipal power draw.

The home was built using some recycled materials, and the flooring was constructed of low-VOC-treated wood.

Finally, the home’s xeriscaping — the use of drought-resistant and native plants to minimize water usage in landscape design — minimizes the need for watering and reduces its impact on the environment.

For more information on building with concrete, visit the Concrete Home Building Coalition website at www.nahb.org/concrete, or email Donna Peak at NAHB, or call her at 800-368-5242 x8577. 

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

With a maximum ceiling height of 24 feet, walls have geometric folds that — along with ample light — create the home’s feeling of spaciousness and openness to the outdoors. Photo by C. Pyatte

Systems-Built Dream Home for Marine Wounded in Iraq Quickly Becoming a Reality

The Building Systems for Soldiers house for a Marine who was severely wounded in Iraq is being built at lightning speed primarily because of a top-notch, volunteer building crew and the efficiencies gained by using systems-built technologies.

The home, which is being built for Marine Staff Sgt. (ret.) Vincent Gizzarellii and his family in Jacksonville, N.C., near the Marine Corps base of Camp Lejeune, incorporates three major building systems — concrete masonry, log walls and panelized components — which have accelerated construction.

The Builder Systems for Soldiers house is being built through a partnership between NAHB’s Building Systems Councils (BSC) and philanthropic home building organization Operation Finally Home.

The home's concrete masonry foundation was completed in mid-November. Its construction materials were procured with assistance from the BSC’s Concrete Home Building Coalition.

Supervised by builder Martin Aragona, owner of Marlo Construction, the home's construction crew installed prefabricated floor and roof trusses — donated by Shelter Systems Limited — and milled log system — donated by Log Homes of America — to build the home quicker than if stick construction was used.

“Without a doubt, using building systems like engineered floor and roof trusses made the project go much quicker. This also saved on our framing labor costs,” Aragona said.

As an NAHB Certified Green Professional, Aragona said he also appreciated how the building systems used to build the home helped make it greener. “Working with the log walls for the first time was an enjoyable experience,” Aragona said. “Not only are the logs beautiful to look at, they also reduce lumber waste.”

The Building Systems Difference

The systems-built approach enabled aspects of the construction process to overlap. For example, as the masonry foundation was being stacked, the floor trusses were being assembled and the log home package was being milled.

By the time the foundation was completed, the prefabricated floor trusses had arrived on the jobsite and were set into place in a matter of hours.

The log home package was also delivered, and just three days after the floor trusses and OSB subflooring were installed, volunteer crews from Log Homes of America, Robbins Construction and M&R Services had stacked eight courses — or rows — of logs for the home’s main living level. By the end of November, the log walls were completed, as was the first-floor interior framing.

The December milestones were completed as follows:

• Dec. 1 — Floor trusses and OSB for the second level installed
• Dec. 5 — Second-level interior rooms framed out
• Dec. 9 — Second level sheathed in OSB using an energy-efficient, radiant-barrier-sheathing product, which can reduce heat in the rafters of a home by as much as 30%
• Dec. 15 — Bones of the house were constructed and the remaining openings for the windows and doorways were cut for the next step — delivery and installation of the Andersen windows and Therma-Tru doors

The home is on schedule to be completed by March.

“Not a single week goes by that we don’t talk to someone who has been affected by the sacrifice of our service members,” said project coordinator Nicole Robinson, co-owner of Log Homes of America, which supplied the log home package. “Each moment spent on this project humbles us and encourages us to keep pushing forward. It is an honor to work on this home.”

For project updates and the latest photos of progress on the Building Systems for Soldiers home, visit www.nahb.org/buildingsystemsforsoldiers.

For more information about Building Systems for Soldiers — and to donate funding and materials to this and future project homes — visit www.nahb.org/buildingsystemsforsoldiers.

Workers from Log Homes of America had stacked eight courses of logs on the main level three days after the floor trusses and OSB subflooring were installed.

 

BSC’s Log Homes Council Honors Members, Companies for Service to Industry

The Log Homes Council (LHC) of NAHB’s Building Systems Councils’ (BSC) recently honored log homes professionals and companies for their contribution to advancing the log home industry and the council’s mission and to the Building Systems for Soldiers home in Jacksonville, N.C.

Awarded annually, this year the LHC recognize Chris Wood, of Hearthstone Inc.; Roger Nelson, of Andersen Windows; and Operation Finally Home.

• LHC Image Award — Chris Wood, Hearthstone Inc.
  
  

  Chris Wood

  Chris Wood, vice president of sales at Hearthstone Inc., based in Dandridge, Tenn., received the LHC Image Award for helping bring significant attention to the log homes industry by spearheading the council’s efforts to advance the inherent energy-efficient properties of full log walls.
  
  “Chris’s strategic efforts and guidance within the log homes industry and NAHB have opened up opportunities to advance log homes in the energy code discussion and have educated builders and policy makers not only to the energy-efficient properties of log homes, but to the importance of retaining the tradition of this intrinsically American building form,” said Jan Koepsell, Log Homes Council chair and co-owner of Expedition Log Homes, of Oostburg, Wis.
  
  Wood, who as a voting member of the energy and building codes and standards subcommittees of NAHB’s Construction Codes & Standards Committee, worked with Department of Energy officials and with representatives from state and local home builders associations to advance the energy efficiency issue for the council.
  
  
• LHC Chairman’s Award — Roger Nelson, Andersen Windows
  
  

  Roger Nelson

  Roger Nelson, executive sales representative for Andersen Windows, was awarded the LHC Chairman’s Award for his contributions and involvement in significant LHC projects.
  
  “Roger has been a key supporter of the log homes industry for more than a decade — consistently sponsoring and exhibiting at events such as the LHC President’s Tour and the BSC’s annual SHOWCASE conference and trade show,” said Koepsell. “He is one of the LHC’s biggest champions.”
  
  In particular, Nelson was honored for his role in securing donations for the  BSC’s Building Systems for Soldiers philanthropic project, which is completing the construction of its initial undertaking, the gift of a  custom log home for a Marine who was wounded in Iraq and suffered debilitating head injuries, shrapnel wounds and post-traumatic stress disorder.
  
  Through his leadership, numerous industry connections and passion to help wounded veterans, Nelson secured tens of thousands of dollars in discounted and donated materials — including a commitment from a major flooring manufacturer to donate materials for 16 future homes for the project’s non-profit partner, Operation Finally Home.
  
  
• LHC Heritage Grant — Operation Finally Home
  
  

  A rendering of the first Building Systems for Soldiers home, which is nearing completion near Camp Lejeune in North Carolina

  Operation Finally Home was awarded the 2011 Log Homes Council Heritage Grant for its contributions to the Building Systems for Soldiers home, which is being built for the Gizzarelli family in Jacksonville, N.C., near Camp Lejeune.
  
  Established in 2000, the grant awards $1,000 to an educational or non-profit organization identified by the LHC Steering Committee for helping to promote the heritage or betterment of log home construction. This year’s endowment will help fund the Building Systems for Soldiers project, while spotlighting the historically significant log home construction industry.

For more information, email Donna Peak at NAHB, or call her at 800-368-5242 x8577.

Commercial Building Codes Continue to Become More Stringent

As energy codes continue to become more stringent for commercial builders, NAHB is working to ensure that the requirements that are adopted are feasible and not unduly burdensome for the industry, Craig Drumheller, a senior energy engineer at the NAHB Research Center, said at a Nov. 17 webinar presented by the NAHB Commercial Builders Council.

The push for higher energy efficiency is coming from many directions — including ASHRAE, energy efficiency advocates, the Department of Energy and proposed federal legislation.

“We’re just trying to keep some of the things reasonable,” Drumheller said. “We’re not opposed to energy efficiency, we just want to keep it reasonable.”

ASHRAE and the International Code Council are the two major developers of energy codes. The IECC commercial chapter directly references ASHRAE 90.1 as an alternative method of compliance, so “anytime the IECC is referenced or adopted it is de facto adopting ASHRAE 90.1,” he said.

As a voting member representing NAHB on the ASHRAE 90.1 standard, Drumheller encouraged more commercial builders to become involved in the codes process, where they are currently significantly outnumbered by participants who don’t understand the practical repercussions of some of their actions on construction.

Energy use reductions of 30% and 50% from the 2004 ASHRAE 90.1 and 2006 International Code Council’s International Energy Conservation Code (IECC) are the current priority, he said.

But how those energy savings are calculated can greatly affect the percentage reduction, he said, and the numbers need to be looked at carefully.

Cost-effectiveness, the ready availability of materials and other practical concerns can be overlooked in the process, and part of NAHB’s role is to bring those factors to the attention of lawmakers on Capitol Hill, government officials and others.

Among changes to the IECC and ASHRAE 90.1 now underway:

• Building envelope. These include new requirements for air barriers; reflective roofs and vestibules in more climate zones; daylighting; higher R-values for walls; and lower U-factors for windows.
  
  As the result of these changes, Drumheller said, builders and designers will see their options limited.
  
  
• Mechanical changes. Higher HVAC efficiency will be required. For lighting, higher windows, more skylights and occupancy sensors will be included in the code.
  
  
• A commissioning plan — to ensure that buildings meet code objectives and criteria — will be required, covering air balancing, functional performance testing, operation manuals and even post-occupancy energy performance monitoring.
  
  
• The scope of ASHRAE 90.1. This focus is shifting away from human comfort provided by heat, cooling, water heating and lighting to potentially anything that consumes energy — such as data-center HVAC and receptacles that are timed turn off by timers after office hours.

Drumheller said that commercial builders should also be looking ahead to publication next year of the new International Green Construction Code (IgCC).

“It’s going to be very comprehensive and much different than anything anyone is used to at this point,” he said.

The code is also likely to have many kinks that need to be worked out, he said, and it could set many onerous requirements that are difficult to meet.

A case in point is a requirement for recycling at least 50% of the waste leaving the construction site and recycling or reusing 55% of what comes to the site.

Drumheller voiced some doubt that the regulations will be enforceable. “A lot of people make these decisions in a meeting room as opposed to in the field,” he said.

As an alternative to commonly used prescriptive requirements, Drumheller said, the best option for builders may be a performance calculation that enables them to optimize the design so that it achieves overall compliance, compensating for hard-to-attain regulations.

The 30-minute webinar replay is available to everyone on the Commercial Builder Online Magazine website.

For more information on the NAHB Commercial Builders Council, email Lisa Leone at NAHB, or call her at 800-368-5242 x8455.

Colorado Resort Center Wins Top 2012 Light Commercial Construction Award of Excellence

An event center for a resort in the Colorado Rockies was the top winner in the 2012 Awards of Excellence announced by the NAHB Commercial Builders Council on Dec. 1.

The awards recognize achievements in design, market appeal, sustainability and overall success of newly built and renovated commercial projects ranging in size from less than 5,000 to more than 100,000 square feet.

Entries are submitted in six categories: green commercial, industrial, institutional/medical, mixed use commercial/residential, recreational and other commercial.

“This year's entries offered us a wide range of project types to choose from, and we were very pleased with the quality of the work presented by our commercial builders,” said Gene Graf III, owner of Gallatin Center LP in Bozeman, Mont., and 2011 chair of the Commercial Builders Council, which sponsors the annual awards.

Located in Glenwood Springs, Colo., the Project of the Year — Canyon Club Event Center — was in the mixed use category.

Submitted by DM Neuman Construction Co. the three-story building features the No Name Bar & Grill and provides a gathering space and a two- and three-bedroom suite for Glenwood Canyon Resort, which also includes cabins and RV and camp sites.

"This truly multi-use facility is an asset to the tourist community of Glenwood Springs and a great example of how a building can reflect and also enhance its natural surroundings," Graf said.

At the center of the lodge-like building is a 2,000-square-foot event room.

A 4,000-square-foot deck off the main level provides panoramic views of the surrounding mountain ranges, the No Name Arch and the Colorado River. Large canopy “sails” help block the intense summer sun.

The building is wood frame supported by steel joists and structural posts throughout.

The deck is constructed of structural steel with a concrete slab finished deck floor, and all exterior staircases are structural steel with steel railings and stair treads.

Low-maintenance exterior finishes of engineered wood siding, aluminum clad windows and stone veneer — along with stained timber accents — maintain the rustic feel of the project.

Property owner Kevin Schneider said he had dreamed about the project ever since he purchased the land in 1990, when it was a run-down campground and mobile home park. Now it is a first-class tourist resort.

"Canyon Club looks like a Project of the Year. Just think, it used to be a mobile home park," said Carl Harris, one of this year's judges and the 2010 chair of the Commercial Builders Council.

"There was great reuse of developed property, and there is a good flow of inside and outside space. There are open breezeways, multiple levels and access down to the river," he said.

The other 2012 Awards of Excellence Recipients are:

Grand Awards

Entertainment Properties Trust
Straub Construction, Shawnee, Kan.
This winning renovation of commercial office space in a downtown Kansas City, Mo., historic building constructed in 1930 included refinishing the original marble flooring, adding a cascading water feature and overhauling the HVAC system.

Princeton Presbyterian Church
Bossart Builders, Flanders, N.J.
The newly expanded and renovated church was constructed in the Gothic style, complete with a bell tower and stained glass window. Bossart Builders used pre-engineered wood panels and heavy timber laminated beams to create the high ceiling and arches, and the look was finished with oak trim features.

Salina's Kenwood Cove
Straub Construction, Shawnee, Kan.
The company worked with the city of Salina, Kan., to create a family water park, complete with multiple pools, a lazy river, a slide tower and five on-site buildings — turning the old city pool into an area tourist attraction.

Salina's Kenwood Cove

Thomas J. Waters Elementary School Addition
Bailey Edward Design, Chicago
This multipurpose addition prototype — which can easily be replicated by other public schools — includes low-flow plumbing fixtures, a hydronic radiant floor system, solar panels on the roof to heat water and 540-gallon cisterns to catch rainwater for irrigation of the surrounding native plants.

The Thomas J. Waters Elementary School addition

Merit Award 

The Elan Catering & Events
The Ruby Group, Goshen, N.Y.
The winning renovation included roof replacement, asbestos abatement, mechanical retrofits and new interior finishes to update the appearance of a catering and events hall — all of which have drawn in clients from the surrounding community.

Honorable Mention 

President Container
The Ruby Group, Goshen, N.Y.
This large industrial building renovation included excavating and re-pouring concrete to meet manufacturing equipment needs, as well as constructing concrete ramps and a nearby silo for storage. Newly added programmable thermostats, fluorescent lights, and low-flow, motion-activated plumbing fixtures help ensure energy efficiency in the expansive building.

For more information about the awards or resources available from NAHB’s Commercial Builders Council, email Lisa Leone, or call her at 800-368-5242 x8455.

Webinar Provides Pointers on Taking the Fear Out of Business Networking

Participants in a Dec. 7 webinar on “Taking the Strange Out of Meeting Strangers” learned how to overcome the fear of entering a room full of people to develop valuable networking relationships.

“I am not sure why we are so fearful of strangers,” said webinar presenter Linda Hebert, president of Diversified Marketing and Communications in Pleasanton, Calif. “Perhaps it’s because we are taught not to talk to strangers."

Hebert assured participants that they can overcome their discomfort of mingling at social occasions when they come prepared to overcome their inhibitions.

Simple strategies — such as wearing a name tag on the right side instead of the left and perfecting the handshake -— can help make a good initial impression.

A reference to the latest movies, current events or industry news can provide an entrée into a casual conversation that leads to a business relationship.

Hebert also provided pointers on how to break into a group conversation and how to exit gracefully in order to move on to making another contact.

“You want to meet several people — not just one and not the whole room,” Hebert said.

She also suggested planning ahead to identify the best potential contacts at an event. By obtaining a guest list beforehand, networkers can do a little research to determine who they want to meet.

If a list of guests is not available, a post at the door provides a good vantage point for seeing who’s approaching and receiving an introduction from arriving attendees.

Networking events are not the appropriate place to make a sale or seal a deal, Hebert emphasized; that is best left for a follow-up meeting.

The immediate goal at the event should be to set the stage for further contact in the future.

Following up on an initial contact can be as simple as sending the person an interesting article that was a topic of discussion at the event. People who follow this tactic can establish themselves as a “resource for general knowledge,” she said, and a source of industry expertise.

Maintaining a high profile in the housing industry can also be enhanced by working with local associations and pursuing volunteer and mentoring opportunities.

Along with taking positive steps to improve the effectiveness of their efforts to establish business contacts, networkers should avoid bad habits, Hebert said.

Indiscriminately handing out business cards — or “dealing the deck” — is a poor substitute for building rapport by making the effort to get to know individuals better, she said.

Unprofessional marketing materials — such as an email address like "SpoiledBrat@email.net" — can also be detrimental and spoil the professional image the networker is hoping to cultivate.

Sponsored by the NAHB Professional Women in Building (PWB) Council, the webinar is available on the NAHB Webinar Rewinds page.

Hebert will be a panelist in an educational session at the 2012 NAHB International Builders' Show — “Marketing to the Female New Home Buyer” — which will be held on Friday, Feb.10, from 10:00-11:30 a.m.

For more information on PWB, visit www.nahb.org/WomenInBuilding; or email Lisa Leone at NAHB, or call her at 800-368-5242 x8455.

Jan. 11: Free Webinar on Housing, the Economy and NAHB Policy Initiatives for 2012

With modest, positive economic signals beginning to emerge but the economy and housing still facing challenges, NAHB is presenting a free webinar on the depth of the problems ahead and NAHB efforts to improve builder access to credit, reform the home appraisal process, keep regulatory overreach at bay and improve the housing market. 

During the webinar, “Building in 2012: Economics, Advocacy and the Year Ahead,” NAHB CEO Jerry Howard, Chief Economist David Crowe and Senior Vice President for Government Affairs Jim Tobin will discuss NAHB’s plans for 2012, the economic forecast and how the upcoming elections will shape the policies that affect homeownership and the housing industry.

The webinar will be held from 2:00-3:00 p.m. EST on Wednesday, Jan. 11.

The webinar is free, but registration is required.

To Register

To register online and learn more, visit the “Building in 2012: Economics, Advocacy and the Year Ahead” page; or call NAHB’s Office of the Registrar at 800-368-5242 x8338, or email registrar@nahb.org.

Feb. 22: Learn How to Market Effectively, Even on a Tight Budget

The National Sales and Marketing Council’s Institute of Residential Marketing and NAHB Joint Venture Education will present a webinar on how to market cost-effectively when promotional dollars are scarce, and on marketing’s role in management and business operations.

“The Basic Steps of Marketing” will explore in detail the first section of the NAHB course, “Effective Marketing on a Shoestring Budget.”

The webinar will be held from 2:00-3:00 p.m. EST on Wednesday, Feb. 22.

Attendees will learn about:

• The seven basic steps of the marketing process
• The primary expense categories in an effective marketing budget and the factors that impact allocation
• Key principles for maximizing return on marketing dollars
• The role of the marketing plan in managing and operating a business

The course will be presented by Gian Hasbrock, MIRM, MCSP, CGP, CRS, of Critical Wheel/Wowism and a new-home counselor in Durham, N.C., who helped write the “Effective Marketing on a Shoestring Budget” course.  

Webinar participants can earn one hour of continuing education credit toward their designations. They also can receive 20% off the online “Effective Marketing” course, which will be available in January.

To Register

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

To register online or for more information, visit the "The Basics Steps of Marketing" page; or call NAHB’s Office of the Registrar at 800-368-5242 x8338, or email registrar@nahb.org.

Online ‘Basics of Building’ Introductory Class Available to Help Prepare for IBS

“Basics of Building,” the popular class that introduces industry newcomers to the business of home building and remodeling, is now available online from NAHB Education.

In prepartion for meeting customers and clients at the 2012 NAHB International Builders’ Show in Orlando, the online class enables vendors, suppliers, brokers, retailers and other service providers seeking a solid grounding in residential construction to complete the class well in advance of the show.

The “Basics of Building” course can help attendees:

• Describe product types, current trends and stakeholders in the residential construction industry
  
  
• Contrast and elaborate on the sales and marketing functions of the residential construction industry
  
  
• Be prepared to discuss the critical nature and complexity of land acquisition and development
  
  
• Understand the financial tools available to support building and remodeling projects
  
  
• Assess strategies to strengthen the relationship between suppliers and builders/remodelers
  
  
• Explain the steps involved in the residential construction process
  
  
• Describe the importance of post-construction activities — including the closing, customer care and after-the-sale service

NAHB educational designation holders can earn six hours of continuing education credit by successfully completing the “Basics of Building” online course. In addition, the credit hours can help attendees earn the Certified Graduate Associate (CGA), Certified New Home Sales Professional (CSP) and Master New Home Certified Sales Professional (Master CSP) designations.

To Register

For more information and to register, visit “Basics of Building” on the NAHB website; or email the NAHB Professional Designation Help Line, or call 800-368-5242 x8154.

Speakers Wanted for 2013 NAHB International Builders' Show in Las Vegas — Apply by Feb. 24

NAHB is now accepting program proposals for the 2013 NAHB International Builders' Show in Las Vegas.

The deadline for submitting proposals is Feb. 24, and only online proposals will be accepted.

There is a $50 non-refundable application fee for each education session proposal.

Visit Speaking Opportunities at the International Builders’ Show to view the 2013 IBS education session proposal guidelines and submission requirements.

For a list of the 2012 IBS educational seminars, visit www.buildersshow.com/education.

For more information, or to recommend a topic or speaker, email Robert Ebbin at NAHB.

Education Calendar

2012
Jan. 11	"Building in 2012: Economics, Advocacy and the Year Ahead"	Webinar
Jan. 25	"Maximize Your Time at IBS "	Webinar
Feb. 4	"Advanced Green Building: Building Science"	Orlando, Fla.
Feb. 4	"Advanced Green Building: Project Management"	Orlando, Fla.
Feb. 4	"Business Management for Building Professionals"	Orlando, Fla.
Feb. 4	"The Challenge of New Home Sales Management (IRM IV)"	Orlando, Fla.
Feb. 5	"Green Building for Building Professionals"	Orlando, Fla.
Feb. 5	"Marketing & Communication Strategies for Aging & Accessibility (CAPS I)"	Orlando, Fla.
Feb. 5	"Train the Trainer"	Orlando, Fla.
Feb. 6	"Design/Build Solutions for Aging and Accessibility (CAPS II)"	Orlando, Fla.
Feb. 6	"Lifestyle Merchandising, Advertising, and Promotion Strategies (IRM III)"	Orlando, Fla.
Feb. 6	"Project Management"	Orlando, Fla.
Feb. 7	"Builder Assessment Review (BAR)"	Orlando, Fla.
Feb. 7	"Design/Build"	Orlando, Fla.
Feb. 7	"Home Technology Integration"	Orlando, Fla.
Feb. 7	"Negotiating Skills"	Orlando, Fla.
Feb. 7	"Sales & Marketing for Remodelers"	Orlando, Fla.
Feb. 7	"Professional Remodeler Experience Profile (PREP)"	Orlando, Fla.
Feb. 7	NAHB/Builders Mutual Safety Award for Excellence (SAFE) Awards	Orlando, Fla.
Feb. 8-11	2012 NAHB International Builder's Show	Orlando, Fla.
Feb. 22	"The Basic Steps of Marketing"	Webinar
April 29-May 1	National Green Building Conference and Expo	Nashville, Tenn.
Aug. 7-12	Executive Officers Council Seminar	New Orleans, La.
Oct. 9-12	The 2012 Remodeling Show	Baltimore, Md.

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.

Take NAHB Online Courses on Your Schedule

Two popular and essential courses from NAHB Education — “Basics of Building” and “Customer Service” — are now offered online and attendees can take the courses at their convenience.

The dynamic online versions include audio and video content, on-screen text, transcripts and other downloadable resources.

Learn more about NAHB’s online courses at www.nahb.org/elearning.

Global Warming Making Its Way Into Endangered Species Listing Decisions

A Nov. 22 ruling by the Ninth Circuit Court of Appeals putting grizzly bears in the Yellowstone region back on the Endangered Species List demonstrates how global warming is increasingly becoming a factor behind listing decisions.

In its decision in Greater Yellowstone Coalition Inc. v. Servheen, the appeals court said that the U.S. Fish and Wildlife Service (FWS) had failed to consider the impact of global warming on the grizzly’s food supply when it decided to delist the bear.

The FWS removed the bear from the threatened list in 2007 as its numbers were increasing in an ecosystem that includes Yellowstone and Grand Teton national parks, managed by the Interior Department, and six national forests managed by the Department of Agriculture.

Although there is no national policy on climate change, this latest case shows that uncertainties over the impact of global warming are now having a bearing on listings and delistings under the Endangered Species Act.

For more information, email Larissa Mark at NAHB, or call her at 800-368-5242 x8157.

Army Corps of Engineers Seeks Public Comments on Improving Its Regulations

Aiming to making its existing regulations more effective and less burdensome, the U.S. Army Corps of Engineers on Nov. 16 provided notice to the public that it is seeking comments on its Clean Water Act Section 404 general wetlands permits, nationwide permits and related requirements.

The Corps’ effort to review its regulations stems from an Executive Order signed by President Obama on Jan. 18 on “Improving Regulation and Regulatory Review." 

The order directed federal agencies to review their regulations to identify any that could be modified, streamlined, expanded or repealed to make their regulatory program more effective. 

As a result of the presidential initiative and a public hearing by the Environmental Protection Agency on reviewing its regulations, NAHB in April submitted detailed suggestions on how the agency could improve its stormwater program, its lead paint remediation program and wetlands permitting, which it administers along with the Corps.

NAHB has also submitted comments to the Department of the Interior and comments to the National Oceanic and Atmospheric Administration to improve the requirements at both agencies dealing with protecting endangered species.

The Corps is asking for public comments on its regulatory programs to be sent in electronically by Jan. 17 to docket number COE-2011-0028 or by mail to the address given in the notice.

The notice contains eight general questions that are meant to guide responses from the public.

NAHB is currently in the process of writing a response and welcomes any suggestions from association members on how the Corps can improve its regulations.

To provide comments or for more information, email Glynn Rountree at NAHB, or call him at 800-368-5242 x8662.

EPA Moves Forward to Collect New Data for Stormwater Effluent Limits

The Environmental Protection Agency continues to move forward with its effort to collect data for the development of new effluent limitation guidelines (ELG) for construction and development.

On Nov. 16, the agency submitted to the White House Office of Management & Budget (OMB), the notice it expects to use to solicit data from the public on turbidity levels in stormwater — or the amount of sediment — attained through passive treatment systems.

Once the notice is approved by OMB, which may be by the end of the year, it will be published in the Federal Register.

A numeric effluent limit of 280 nephelometric turbidity units established in the EPA’s 2009 ELG was withdrawn after NAHB and the Small Business Administration showed that it was based on faulty data.

The EPA decided to gather new data and revise the guidelines.

For more information, email Ty Asfaw at NAHB, or call her at 800-368-5242 x8124.

Are You Ready for a Visit From the EPA? 

“Storm Water Permitting: A Guide for Builders and Developers,” available through BuilderBooks.com, provides a starting point for builders and developers to use in locating and understanding storm water permitting requirements.

The publication has been prepared to help builders comply with the U.S. Environmental Protection Agency's stormwater requirements, and includes information on state permitting programs and more than 50 of the most commonly used Best Management Practices.

Also included are tips on compliance, including how to handle visits from inspectors.

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

EPA Memo Encourages Integrated Planning to Improve Water Quality

An Oct. 27 memorandum from the Environmental Protection Agency recommends an integrated, comprehensive approach with states and municipalities to achieve the objectives of the Clean Water Act (CWA).

At a time when state and local governments face difficult financial constraints, an integrated approach to meeting local wastewater and stormwater requirements under the CWA “offers the greatest opportunity for identifying cost-effective and protective solutions and implementing the most important projects first,” the memo says.

Focusing on each water-protection requirement individually and solving one problem at a time, “may have the unintended consequence of constraining a municipality from implementing the most cost-effective solutions in a sequence that addresses the most serious water quality issues first,” the memo says.

An integrated planning approach, the memo suggests, could put localities on the path to implementing sustainable and comprehensive solutions such as green infrastructure.

Green infrastructure can include stormwater control measures — or SCMs — to improve water quality through storing, infiltration and evapotranspiration.

Green infrastructure is being used in the Northeast Ohio Regional Sewer District to address a Combined Sewer Overflow problem in which stormwater and sewage are mixing and being released during heavy rains.

In a consent decree with the federal government, and at a cost of $3 billion over 25 years, a Project Clean Lake green infrastructure program will reduce and treat stormwater before it enters the combined sewer system.

Additionally, the sewer district will work with the city of Cleveland to assess the use of vacant lots for green infrastructure projects, which could reduce the long-term cost of the program while addressing other problems such as flooding and erosion.

In its memo, the EPA emphasizes that integrated planning is not about lowering existing regulatory or permitting standards or delaying necessary improvements.

Instead, it is intended to provide an option to help municipalities meet their CWA obligations by optimizing their infrastructure improvement investments through cost-effective sequencing of work.

To follow up on the memorandum, the EPA's Office of Water and Office of Enforcement and Compliance Assurance will need to work with state and local governments to develop components of the integrated plan and find ways to implement it through existing permitting and enforcement programs.

For more information, email Ty Asfaw at NAHB, or call her at 800-368-5242 x8124.

OSHA Animated Educational Videos Designed to Protect Workers

Potential hazards on residential and other construction job sites are reviewed in 12 educational animated videos recently released by the Occupational Health and Safety Administration.

Depicting safe work practices that can eliminate common hazards during construction, the videos were produced as short segments that are easily understood and geared towards employers and workers alike.

Nearly 800 construction workers die on the job each year, according to OSHA.

“I urge anyone who works in the construction industry or who operates a construction business to watch the videos,” said Dr. David Michaels, assistant secretary of labor for occupational health and safety.

“Share them with your co-workers and friends in the construction industry, organize screenings for your workers and post them on your webpages,” he said.

Showing just how quickly workers can be injured or killed on the job site, the videos are intended to help employers and workers to identify, reduce and eliminate construction-related hazards.

Topics covered include:

• Falls:
  
  
  • Floor Openings
  • Fixed Scaffolds
  • Reroofing Operations
  • Leading Edge Work
    
    
• Struck-by Accidents:
  
  
  • Vehicle Back-over
  • Swinging Cranes
    
    
• Excavations in Construction:
  
  
  • Trenching
  • Soil Classification

Most of the videos are two to four minutes in length, and they are available in both English and Spanish.

For more information on complying with OSHA regulations, visit www.osha.gov or www.nahb.org/SAFETY.

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.

Safety Alert: Exposures to Bathtub Refinishing Chemical Result in Worker Fatalities

The Michigan Occupational Safety and Health Administration recently released a hazard alert designed to warn and protect workers from methylene chloride (MC) exposure when refinishing bathtubs.

The alert resulted from a Fatality Assessment and Control Evaluation (FACE) conducted by the agency on circumstances surrounding the deaths of three bathtub refinishers in 2006.

Methylene chloride is a cancer-causing chemical that can be inhaled or absorbed through the skin. The chemical can be lethal because it is converted by the body into carbon monoxide.

The U.S. OSHA has identified at least 13 workplace fatalities related to bathtub refinishing with stripping agents containing methylene chloride.

The majority of the cases involved workers who were alone, in poorly ventilated bathrooms, with inadequate respiratory protection and little or no training on the hazards of the chemical.

Most recently, a worker in Ohio was found dead, slumped over a bathtub wearing a half-mask, tight-fitting respirator. When working with methylene chloride, workers must use a tight-fitting, air-supplied respirator.

In order to prevent overexposure and death from using MC-based strippers, the following safe work practices should be followed:

• Substitute MC-based strippers by using an alternative stripping method, such as sanding or using a non-MC-based stripper.
  
  
• Establish fresh makeup air and local exhaust ventilation. Exposure to MC can be greatly reduced by placing a fan in a window or doorway to ventilate the area.
  
  
• Workers should wear a tight-fitting, pressure-demand, full-face, air-supplied respirator. Dust masks and cartridge respirators do not provide protection from MC vapors.
  
  
• Workers should leave the room after MC stripper application. Fresh air and fans should be kept running and doors and windows should be open.
  
  
• Butyl rubber or polyvinyl alcohol (PVA) gloves should be used. Latex or nitrile gloves do not provide protection.

It is important to train workers on the hazards of chemicals being used and implement safe work practices to eliminate or reduce their exposure to them.

Employers should consult a Material Safety Data Sheet (MSDS) or Safety Data Sheet (SDS) to understand the hazards and prescribed protective equipment that should be used when handling any hazardous chemicals.

OSHA is collaborating with the National Institute for Occupational Safety and Health (NIOSH) to develop further guidance for employers and workers in the bathtub refinishing industry.

For more information on methylene chloride, visit OSHA’s Safety and Health Topics page.

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.

Apply for NAHB Legal Action Fund Assistance by Jan. 18

Applications for NAHB Legal Action Fund grants — which can provide valuable assistance to members and associations involved in litigation that is either of national significance or deals with a common problem among builders and developers — are due by Wednesday, Jan. 18.

Funding assistance generally ranges from $5,000 to $50,000, depending on the type of case.   

Decisions on funding or friend-of-the-court assistance will be determined during the upcoming NAHB board of directors meeting on Feb. 7 at the 2012 NAHB International Builders’ Show in Orlando. 

For information and an application, email Christopher Whitcomb, or call him at 800-368-5242 x8329.

Woodstock Job Corps Students Earn Safety Certifications During Week-Long Safety Rodeo

The Home Builders Institute (HBI) Job Corps program at the Woodstock Job Corps Center near Baltimore certified 135 students in multiple safety programs as part of a week-long Safety Rodeo held earlier this year.

The students participated in certification training for a variety of skills — including an aerial lift, bobcat training, confined space, CPR, fall arrest systems, first aid, forklift and powder-actuated tools.

“Safety is a way of life,” said HBI electrical wiring instructor Robert Ponzo. “The goal of the Safety Rodeo is to ensure that, when students graduate from the program, they have adequate knowledge of safety work practices to continue their career and return home safely every day.”

Representatives from 13 companies — including Hubbell, Square D, General Electric, Ideal, Rab Lighting and Hilti — met with students during the rodeo and provided information on their businesses and potential employment opportunities.

Representatives from the HBI Health & Safety Board also visited during the week.

“Getting safety certifications and learning skills helps us prepare to join the workforce,” said HBI student Patrick Brewer. “We need this knowledge about OSHA, aerial safety and other topics to have a successful career.”

Ponzo organized the week’s event, held in October, to share information about HBI Job Corps training and highlight the student’s skills and successes. Students ended the week by participating in a competition that showcased their safety skills and demonstrated their knowledge of safety. 

Ponzo, who said establishing similar rodeos at Job Corps centers across the country can reinforce safety throughout the Job Corps program, is working with one center to launch its own safety rodeo.

For more information on the Safety Rodeo, call Robert Ponzo at 410-696-9236.

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

HBI Students Learning Weatherization Skills to Help Companies Compete in Retrofit Market

With about half of the 130 million homes in the U.S. built before 1973 and many of them in need of energy-efficiency upgrades, according to the Remodeling Futures Program at Harvard University’s Joint Center for Housing Studies, employees with weatherization skills will be a big help to companies seeking to tap into the retrofitting market.  

“Weatherization is one of the fastest growing sectors of the residential construction industry,” said Home Builders Institute (HBI) Job Corps electrical instructor Elliott “Butch” Nadeau from the Grafton Job Corps Center in Massachusetts.

“Companies are now looking for workers with established weatherization skills because they know they can save money on future employee weatherization training,” Nadeau added. “A fundamental understanding of a building’s overall systems and the energy implications is beneficial to the construction firm as well as employees.”

Nadeau helps train students in weatherization at Grafton. Depending on a their knowledge of the initial core trade skills, students can become proficient in the skills within three of four months.

During the training, students learn about:

• Building envelopes and their importance in energy efficiency
• Home ventilation, insulation and vapor barriers
• How to detect air leakage
• How to seal air leaks to improve energy efficiency

As part of the curriculum, students practice:

• Installing venting
• Upgrading insulation
• Adding vapor barriers
• Sealing around lights, fixtures, outlets and switches.

“Students entering the construction field with an understanding of green technology and energy efficiency will be a step ahead when entering the job market,” said Nadeau. “This is an area that is growing and getting a job in this field can lead to a long and prosperous career.”

Students are guided, in part, by the textbook, “Methods of Residential Energy Conservation: Energy Efficiency for Existing Homes,” which covers energy building science, energy analysis and the weatherization process. HBI published the textbook in collaboration with Michigan’s Ferris State University,

“This textbook is a critical resource for students to gain a better understanding of energy efficiency and weatherization,” said Steve Kramer, vice president for the HBI Residential Construction Academy. “Residential construction students can use it as a guide to deepen their understanding of a home’s energy efficiency capacities.”

For more information on HBI’s weatherization curriculum, email Keith Albright or call him at 800-795-7955 x8911; or visit the HBI website at www.hbi.org.

Therma-Tru to Follow Up in 2012 on This Year’s Best-Selling Fiberglass Doors

At the end of another year of challenging economic conditions for the housing industry, Therma-Tru — the nation’s leading manufacturer of fiberglass and steel exterior door systems — has positioned itself to meet market demand in 2012 with the introduction of new products and continuation of consumer-driven innovation.

David Randich, president of Therma-Tru, said that the company will be following up on this year’s trend toward more contemporary and craftsman-style door glass packages featuring simple styles.

“We believe this trend of “less busy” glass designs will continue to accelerate in 2012,” he said. “To meet consumer demand, we plan to offer more craftsman-style products and simple glass packages.”

Among other market trends, Randich said that home owners have been seeking entryway systems in richer colors and darker stains, as well as glass entryways that provide privacy.

“Overall, we believe builders and consumers will become more interested in glass within entry door systems in 2012 as they continue to differentiate their entryways and add to the curb appeal of their homes,” he said.

One of Therma-Tru’s best sellers in 2011 has been its Smooth-Star product line.

“The affordable nature of this fiberglass door, coupled with its look of fine painted wood and the strength of steel, all lend themselves to making this a desirable entry door selection,” he said.

The doors are low-maintenance and feature Fypon trim pieces.

Therma-Tru also garnered success with the 2011 launch of its Stone and Timber Collection.

Randich said his company would be expanding selections in the collection next year to meet the design requests of architects, builders, remodelers and home owners.

“These pieces have nationwide appeal,” he said. “The urethane products so authentically replicate precast concrete and timber woodgrain products that it’s difficult to determine that they’re an alternative synthetic product.”

Therma-Tru will be celebrating its 50th anniversary in 2012.

Headquartered in Maumee, Ohio, Therma-Tru Corporation is a member of NAHB’s Leading Suppliers Council.

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.

Endowment Awards $70,000 in Scholarships to 437 Students to Attend IBS

The National Housing Endowment has awarded approximately $70,000 in travel scholarships to more than 437 students from 52 colleges and technical schools across the country that have students attending the 2012 NAHB International Builders’ Show in Orlando in February.

In addition, 10 home builders associations have committed more than $16,500 in matching funds to help support students whom they sponsored to attend.

Most of the students attending IBS are between two and four years away from beginning careers in the home building industry.

The scholarships ― in conjunction with the Home Builders Institute ― enable NAHB Student Chapter members to offset some or all of their travel and attendance expenses at IBS. Providing funding to students has proven to be instrumental in helping them learn outside the classroom and prepare for careers in the home building industry.

The IBS scholarship program, now in its fifth year, also helps give young NAHB members the tools to enter into the association as graduates and to become future leaders.

“The board of trustees of the National Housing Endowment felt this program was too valuable and that is why they made the decision to continue funding this program,” said Bob Mitchell, endowment chairman and 2000 NAHB president. “Even in these difficult times for housing and the economy, we still must invest in the future of our industry.”

Ever since Student Chapter activities and competitions have been held at IBS, students and faculty have been challenged to raise enough funds to attend the show. The endowment scholarship program helps them defray some of their expenses.

“Attending the show with my student chapter was a great way to bond and learn more about home building,” said Andrew Schellpeper, 2010 NAHB Student Chapter president at the University of Nebraska-Lincoln. “Even though I will be graduating, I plan on attending the show in the future.”

“The endowment is working to increase the number of professionals entering residential construction and this scholarship, along with other programs we sponsor, is leading the effort to encourage the best and brightest to choose this rewarding career,” said Mitchell. “We are so appreciative of our partnership with the Home Builders Institute and the NAHB Student Chapters, without whose support this program would not be such a success.”

For more information, visit the endowment website at www.nationalhousingendowment.org.

GM Helps Businesses Take Their Offices on the Road With In-Vehicle WiFi

Gneral Motors is committed to providing customers the tools to get the job done while on the go with in-vehicle WiFi, powered by Autonet Mobile.

The in-vehicle WiFi delivers high-speed Internet service to more than 15 GM vehicles, creating an on-demand mobile office for small business owners, contractors and travelers. 

"We know business doesn't stop when people are out of the office," said Dan Tigges, GM product manager for full-size trucks and utility vehicles. "Autonet allows them to enhance productivity by seamlessly and conveniently continuing to do business at the jobsite."

In-vehicle WiFi provides workers with the access and ability to immediately connect with colleagues and customers online. It can be used at a jobsite to access municipal websites for permit and building code information, as well as complete administrative tasks such as printing invoices from the vehicle.

Additionally, by using WiFi on laptop computers, Web layouts and images are larger and more readable than on hand-held devices. The 2012 Chevrolet Silverado offers WiFi and meets customers' needs at a jobsite.

Members can visit www.nahb.org/ma and click on the GM logo to get  their NAHB Proof of Membership Form.

Lowe’s Increased Member Discount to Continue Through 2012

NAHB members can continue to enroll to receive the increased Lowe’s discount through December 2012 and save 5% every day when they use their Lowe's Account Receivable.* 

Plus, members who visit LowesForPros.com/NAHB and register can save 2% on their Lowe's Accounts Receivable purchases made now through Dec. 12, 2012.** 

Plus, receive free delivery on purchases of $500 or more through Dec. 7, 2012.

* Exclusions apply, discount taken at time of purchase, see store for details.
**Exclusions apply, discount taken at time of statement, see LowesForPros.com/NAHB,  or call 877-435-2440 for details.

Avis Offers Savings on Winter-Ready Rental Vehicles

NAHB members always save up to 20% when they use AWD code G572900 when renting vehicles from Avis.  

Whether planning a ski trip or in need of an all-wheel or front-wheel drive vehicle to get through the winter weather, Avis Rent A Car can help. Avis has money-saving offers for members on fully equipped, winter-ready vehicles with unlimited mileage. 

The followng special coupon offers are in addition to the standard Avis discount:

• $15 savings on a three-day weekend rental. This offer is valid on three-day rentals of the following car classes — compact, intermediate, standard, premium and luxury vehicles as well as minivans and SUVS (intermediate, standard, premium and full-size). Use coupon number MUFA048.
  
  
• $25 savings on a weekly rental. This coupon offer is valid on rentals of five days or more from the following car classes — compact through full-size, premium, luxury, intermediate SUV, minivan and 12-passenger vans. Use coupon number MUFA049.
  
  
• $50 savings on a weekly SUV rental. This offer is valid for full-size SUV, standard SUV, premium SUV and standard elite SUV rentals only. Customers must rent for a minimum of five days and use coupon number MUFA050.

To reserve a vehicle and take advantage of the coupon savings, visit www.avis.com/nahb, or call 800-695-8133 and mention AWD G572900 and the relevant coupon code. 

The winter savings offers are valid through April 30 at participating locations in California, Colorado, Connecticut, Idaho, Maine, Massachusetts, Montana, Nevada, New Jersey, New Mexico, New York, Oregon, Pennsylvania, Rhode Island, Utah, Vermont, Washington and Wyoming; and participating Avis locations in Canada. 

View complete Avis ski details, terms, conditions and participating locations.

Keep the Holiday Festive With FTD

NAHB Calendar of Events

2012
Jan. 11	"Building in 2012: Economics, Advocacy and the Year Ahead"	Webinar
Jan. 25	"Maximize Your Time at IBS "	Webinar
Feb. 4	"Advanced Green Building: Building Science"	Orlando, Fla.
Feb. 4	"Advanced Green Building: Project Management"	Orlando, Fla.
Feb. 4	"Business Management for Building Professionals"	Orlando, Fla.
Feb. 4	"The Challenge of New Home Sales Management (IRM IV)"	Orlando, Fla.
Feb. 5	"Green Building for Building Professionals"	Orlando, Fla.
Feb. 5	"Marketing & Communication Strategies for Aging & Accessibility (CAPS I)"	Orlando, Fla.
Feb. 5	"Train the Trainer"	Orlando, Fla.
Feb. 6	"Design/Build Solutions for Aging and Accessibility (CAPS II)"	Orlando, Fla.
Feb. 6	"Lifestyle Merchandising, Advertising, and Promotion Strategies (IRM III)"	Orlando, Fla.
Feb. 6	"Project Management"	Orlando, Fla.
Feb. 7	"Builder Assessment Review (BAR)"	Orlando, Fla.
Feb. 7	"Design/Build"	Orlando, Fla.
Feb. 7	"Home Technology Integration"	Orlando, Fla.
Feb. 7	"Negotiating Skills"	Orlando, Fla.
Feb. 7	"Sales & Marketing for Remodelers"	Orlando, Fla.
Feb. 7	"Professional Remodeler Experience Profile (PREP)"	Orlando, Fla.
Feb. 7	NAHB/Builders Mutual Safety Award for Excellence (SAFE) Awards	Orlando, Fla.
Feb. 8-11	2012 NAHB International Builder's Show	Orlando, Fla.
Feb. 9	2012 Best of 50+ Housing Awards	Orlando, Fla.
Feb. 9	Best in American Living Awards	Orlando, Fla.
Feb. 22	"The Basic Steps of Marketing"	Webinar
April 29-May 1	National Green Building Conference and Expo	Nashville, Tenn.
Aug. 7-12	Executive Officers Council Seminar	New Orleans, La.
Aug. 9	EOC Association Excellence Awards	New Orleans, La.
Oct. 9-12	The 2012 Remodeling Show	Baltimore, Md.

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.