ReNews -- Remodelors Council News - 04/29/2003 (Plain Text Version)

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May is National Remodeling Month

Beginning Thursday, the Remodelors Council renews its tradition of celebrating National Home Remodeling Month. The national office will work with media and corporations nationwide to raise awareness of the remodeling industry in general, and will focus on providing information regarding consumer protection from home repair fraud.

In addition to efforts at the national level, the success of this promotion rests in great part with the efforts of local councils and members in their own hometown markets.

Throughout May, be sure to take advantage of the opportunities surrounding National Remodeling Month to help publicize the industry and emphasize to homeowners the importance of hiring qualified, professional remodelers instead of the fly-by-night guys. Get in touch with your local council to find out about plans for the month and to join in this important campaign. You can download electronic versions of a variety of National Home Remodeling Month materials, including customizable press releases, articles, backgrounders, requests for official proclamations, and more at the Remodelors Council's members-only Web site.

Remodeling Forecast is Clearing Up

Professional remodelers are busier and have significantly improved expectations for the rest of this year, according to results of NAHB's recently released Remodeling Market Index (RMI). “Despite weakness in other business sectors and jitters about the war and economy in the first quarter, professional remodelers started the year right with plenty of demand for their services. And 2003 is already shaping up to be a very good year for our industry,” said Remodelors Council Chairman Mike Weiss, CGR, GMB, CAPS.

Remodelers surveyed for the index were asked about the number of jobs completed by their companies in the first quarter and their expectations for the rest of the year. The results were compiled into two RMI components, the current market conditions and future expectations. Although both components tracked substantial gains in the first quarter of 2003 they remain below last year's levels. The current market index rose to 46.4, up 3.2 points from the final quarter of 2002 but still off from its 52.7 reading for the first quarter of 2002. Showing even greater strength, the future expectations index rose to 50.3, up a remarkable 11.2 points from the final quarter of 2002 but shy of that year's peak 54.6 reading in the first quarter.

Every region of the country posted gains from the previous quarter, but the Northeast was the strongest, posting the highest RMI numbers in 2003's first quarter. Other results of the RMI were:

Kitchen and bathroom remodeling jobs continue to be the most common work done by professional remodelers as the new year got underway.
Room additions and whole-house remodeling were the next most requested jobs.
Granite countertops are the most popular single feature requested by clients, by a wide margin.
Commercial-grade appliances and upgraded wiring for high-speed Internet access were the second- and third-most requested jobs, respectively.

According to Kermit Baker, director of Harvard's Remodeling Futures Program, “a recovering economy has helped accelerate the annual growth rate for remodeling spending. As long as mortgage rates stay in favorable ranges, home sales and the resulting home improvement projects will remain strong.”

The Remodeling Futures Program recently released its reading of national remodeling expenditures. The Remodeling Activity Indicator (RAI) takes into account manufacturers' shipments of floor and wall tile products, sales at building materials and supply stores, sales of existing single-family homes, and the bank prime loan rate. The RAI reported that total remodeling expenditures in the first quarter of 2003 exceeded the last quarter of 2002 by 6.1 percent.

The RAI and RMI are regularly released by NAHB and Harvard's Joint Center for Housing Studies before the U.S. Commerce Department's data on residential improvements and repairs is available in order to provide the industry with an accurate and timely reading of national remodeling activity levels. The next release date is July 21, 2003. [return to top]

Upcoming Legislation Promotes Home Energy Efficiency

Comprehensive energy legislation passed this month by the U.S. House of Representatives would encourage thousands of home builders and remodelers to seek technical advances that increase energy efficiency, promote energy conservation in new and existing homes and help reduce America's dependence on oil imports.

The housing provisions in H.R. 6, the Energy Policy Act of 2003,” include key home energy efficiency tax credits that should spur builders and remodelers to invest in market- and technology-driven initiatives that promote higher levels of energy efficiency at more reasonable costs. For new home construction the legislation would provide builders with a voluntary tax credit of $2,000 for each home built to 30% above the 2000 International Energy Conservation Code (IECC). Building to 30% above the 2000 IECC is more energy efficient than the U.S. government's current energy efficiency gold standard — Energy Star.

“This will motivate builders to take on the challenges of building higher energy efficiency into new homes. In turn, builders will have an incentive to market their energy efficient homes to consumers, spurring demand for higher energy efficiency homes in the market at an affordable price,” said Jerry Howard, executive vice president and CEO of NAHB.

H.R. 6 also provides consumers a tax credit of up to $2,000 on the cost of qualified home remodeling projects that improve energy efficiency. “This provision encourages individual households to upgrade the energy efficiency of their homes, helping families shave hundreds of dollars off of their annual heating and cooling bills,” said Howard, who noted that reduced energy consumption eases America's reliance on imported oil.

The Senate energy tax package, which includes home energy efficiency tax credits at levels slightly lower than those in the House bill, is making its way through committee and is not expected to be ready for a vote on the full Senate floor until later this spring. [return to top]

Spring Board is Around the Corner

NAHB's 2003 Spring Board meeting is coming up in two weeks. The Remodelors Council will conduct its committee meetings on May 7-9 at the Marriott Wardman Park and at NAHB's National Housing Center. Members are invited to get involved with a committee and take an active role in the Council. The complete Spring Board schedule of Remodelors Council meetings is now available online.

The Council will be hosting Remodelors Night Out at 6:30 p.m. Thursday, May 8, at Buffalo Billiards. The price of admission is $40 and includes two drink tickets, an assortment of muchies, and all the pool and darts you can play. Please contact Karen Miller at 800-368-5242 x8323 by Friday, May 2, to make your reservation. Tickets will not be sold at the door for this event.

Also, the BUILD-PAC Gold Key Club Spring Dinner Dance is on Saturday, May 10 at the Omni Shoreham Hotel. The Remodelers have reserved a table at this event. If you are interested in sitting at the table, please call Francie Burkhart at 800-368-5242 x8114 or indicate your preference on the RSVP form you received with the invitation. Be sure to RSVP soon since the table will fill up quickly! [return to top]

Showcase Your Kidspace Ideas

Wendy Jordan, the author of The Kidspace Idea Book, has just started writing a sequel and she is looking for projects and photos to include in the new book. Jordan's next book will cover the full range of spaces for children (infants to teens), including bedrooms, playrooms, bathrooms, study areas, storage spaces and backyard play areas. She's looking for creative, easy-to-implement, and affordable ideas to include in the book. Any Remodelors Council member that is interested in contributing photos, projects, or ideas for the book should contact Wendy Jordan as soon as possible. [return to top]

PREP is Just a Mouse Click Away

Taking the Professional Remodelers Experience Profile (PREP) is the first step to becoming a Certified Graduate Remodelor. Even though PREP is offered throughout the year through state and local home builder associations, as well as trade shows such as JLC Live, the Remodelers' Show, and the International Builders' Show, it still can be difficult to fit the test into a busy schedule. Now the PREP is available nationwide through the University of Housing's distribution partner, LaserGrade. With LaserGrade's national network of more than 600 computer based testing centers you should be able to schedule a testing time that fits your schedule. The fee for the PREP is $175. For information on locations in your area visit LaserGrade's Web site or call 800-211-2753. [return to top]

New CAPS Consumer Brochure Available to Graduates

The CAPS Board of Governors has approved a new consumer brochure. This brochure is designed to help CAPS promote themselves and their credential to potential clients. New graduates receive a limited supply of these brochures as part of their graduation package. Additional brochures are available for-sale from the University of Housing. For more information, please contact Tara Occhipinti. [return to top]

Member Advantage: Save 5% with AT&T Wireless

NAHB members can take advantage of a 5% discount on monthly cellular services available in all AT&T Wireless markets. Qualified charges for discounts include one-time charges for wireless service activation, conversion and rate plan changes, monthly wireless access, home wireless airtime charges, roaming airtime charges in AT&T Wireless markets, charges for billing detail, and charges for additional features such as voice mail.

For details on activating new AT&T Wireless Services, call 888-444-4410. Be sure to mention code 50001515 and your NAHB membership. If you currently have AT&T Wireless Services and want to receive the 5% discount, call 800-459-6524 and mention the same code and your NAHB membership. Or visit AT&T Wireless' Web site at www.attws.com/specials/wap.

Click here for details on more than a dozen other money-saving Member Advantage discount programs or visit www.nahb.org to explore the numerous advantages associated with membership in your local, state, and national home builders association. [return to top]