FREDERICKSBURG - STAFFORD - SPOTSYLVANIA - CAROLINE - KING GEORGE - ORANGE - CULPEPER
BUILDERS FRAMEWORK
How can you get a rebate for your membership dues today? >
FREDERICKSBURG AREA BUILDERS ASSOCIATION
Click here to watch!
Volume 5: Issue 5 May 2021
Housing Starts Up Sharply in March
Housing production rebounded in March as buyer demand remains solid due to low mortgage interest rates. Over all all housing starts increased 19.4% to a seasonally adjusted annual rate of 1.74 million units, according to a report from HUD and the U.S. Census Bureau. This was the fastest pace for combined single-family and multifamily construction since June 2006. The March reading of 1.74 million starts is the number of housing units builders would begin if development kept this pace for the next 12 months. Within this overall number, single-family starts increased 15.3% to a 1.24 million seasonally adjusted annual rate. When comparing the first quarter of 2021 to the first quarter of 2020, single-family starts are up 19.6%. The multifamily sector, which includes apartment buildings and condos, increased 30.8% to a 501,000 pace. “Builder confidence remains strong, pointing to gains for single-family construction in 2021,” said NAHB Chairman Chuck Fowke. “However, rising costs for most kinds of building materials continue to impede positive additional momentum in the market.” On a regional basis compared to the previous month, combined single-family and multifamily starts are 64% higher in the Northeast, 122.8% higher in the Midwest, 13.5% higher in the South and 13.6% lower in the West. The gain in the Midwest is likely weather-related.
Lumber Adds $36K to Cost of New Home Soaring lumber prices that have tripled over the past 12 months has caused the price of an average new single-family home to increase by $35,872, according to new analysis by the NAHB Economics team. This lumber price hike has also added nearly $13,000 to the market value of an average new multifamily home, which translates into households paying $119 a month more to rent a new apartment. The latest Random Lengths prices as of the week ending on April 23 show the price of framing lumber near $1,200 per thousand board feet – up nearly 250% since April 2020, when the price was roughly $350 per thousand board feet.
NAHB Puts Emphasis on Mental Health NAHB has launched two new tools designed to identify and understand mental health issues before they become urgent. First is an online screening tool that enables members to take an anonymous self-assessment and, depending on the outcome, connect them with appropriate services to address mental health and/or addiction issues. Second is the JustFive NAHB portal, which helps members learn more about substance abuse disorder.
FEMA Releases Details On Risk Rating 2.0 The Federal Emergency Management Agency (FEMA) recently released new details outlining the implementation schedule for Risk Rating 2.0, an initiative to transform the National Flood Insurance Program (NFIP) to make it better reflect the actual risks properties face. The new Risk Rating 2.0 changes the way FEMA rates a property’s flood risk and prices flood insurance. NAHB Spring Meetings Will Be Done Virtually NAHB’s Spring Leadership Meetings, taking place June 14-18, will again be conducted virtually. Subcommittee sessions, and some select committees, will meet in advance of the Spring Leadership Meetings. As the housing industry continues to face unprecedented challenges, including soaring lumber prices, these meetings are an important opportunity to connect with fellow members and receive important industry updates. View a tentative schedule.
DHS Approves Additional H-2B Visas The Department of Homeland Security (DHS) has announced that it will issue an additional 22,000 H-2B guest worker visas over the coming months. Of these additional visas, 6,000 will be reserved for workers from El Salvador, Honduras and Guatemala. Given the chronic labor shortages facing the home building industry, NAHB has been urging both Congress and DHS to expand the number of H-2B visas available each year.
Who Are NAHB Builder Members? NAHB’s recently published 2020 membership census reveals that the typical builder member today is a 57-year-old small business owner with a median number of five employees, a median five housing units started in 2020 and a median gross revenue of $2.6 million. More than six out of 10 NAHB builder members are single-family builders, according to the NAHB census. Of the 37,595 builder members, 63% are single-family builders (spec/tract, custom, or general contracting), 22% are residential remodelers, 5% each are land developers and commercial builders, and 4% are multifamily builders. Fewer than 2% each are commercial remodelers and manufacturers of modular/panelized log homes.
Remodeling Confidence Strong NAHB released its Remodeling Market Index (RMI) in the first quarter of 2021, posting a reading of 86, up 38 points from the first quarter of 2020. The finding is a signal of residential remodelers’ confidence in their markets for projects of all sizes. The RMI survey asks remodelers to rate five components of the remodeling market as “good,” “fair” or “poor.” The Current Conditions Index is an average of three of these components: the current market for large remodeling projects, moderately- sized projects and small projects. The Future Indicator Index is an average of the other two components: the current rate at which leads and inquiries are coming in and the current backlog of remodeling projects. Any number over 50 indicates that more remodelers view remodeling market conditions as good than poor.
People View Housing as a Better Investment than Stocks
A recent study by the Federal Reserve Bank of New York found that most households view housing as a good investment compared to the stock market. Asked to choose between investing in a rental property or the overall stock market, more than 50% of households recocom- mended housing in all three administra- tions of the New York Fed survey, which was run in February 2020 (largely before the COVID-19 outbreak in the United States), October 2020 and February 2021. Another question asks whether a young couple should buy a primary residence or invest in the stock market and the preference for housing is much stronger in this response with more than 90% of the survey respondents choosing to buy a home. In selecting housing as a better investment over stocks, most survey respondents cited “desired living environment and provides stability” and “housing prices less volatile” as their primary reasons.
Northwestern Wins 2021 Solar Decathlon Residential Contest
a remarkable EUI rating of 12 and a HERS score of -22. As a proud sponsor of the Solar Decathlon, NAHB congratulates all the student teams and faculty for their hard work, innovative solutions, outstanding projects and, most of all, for leading the charge in the next generation of housing. See DOE’s press release for a full list of winners from this year’s competition.
The 2021 Solar Decathlon Design Challenge – a U.S. Department of Energy (DOE) collegiate competition that tasks students with designing low-carbon, high-perform- ance buildings powered by renewable energy – marked the competition’s 19th year, with the first ever Virtual Village on the National Mall featuring nine builds with 3D renderings, diagrams and videos for each university’s project. Of the 72 competing teams, representing 12 countries, Northwestern University was named the grand winner for the Residential Divisions and the University of Oregon was named the grand winner of the Commercial Divisions. Northwestern University’s NuHome is a delicately balanced design that accounts for site challenges such as harsh winters and humid summers in Chicago, and a narrow footprint shaded by three-story buildings on both sides (making solar access more difficult for residential solar photovoltaics). Despite these constraints, the student team was able to incorporate high-performance features such as a tight thermal envelope, highly efficient HVAC system, natural lighting and graywater reuse system. The design strategically reduces thermal bridging and effectively manages moisture (preventing mold and improving indoor air quality), and achieves a remarkable EUI rating of 12 and a HERS score of -22. As a proud sponsor of the Solar Decathlon, NAHB congratulates all the student teams and faculty for their hard work, innovative solutions, outstanding projects and, most of all, for leading the charge in the next generation of housing. See DOE’s press release for a full list of winners from this year’s competition.
Upcoming Meetings & Events
June 2nd, 8:00-4:00PM Sporting Clay Event, Remington, VA June 9th, 9:00AM Associates Committee Hybrid Meeting (Zoom link) June 9th, 10:30AM Membership Committee Hybrid Meeting (Zoom link) June 17th, 5:00PM Hard Hat sponsored by Pest Solutions June 17th, 8:30AM Legislative Committee (Zoom Link) June 23rd, 2:00PM Community Service Committee Hybrid Meeting (Zoom Link)
TICKETS ON SALE June 2, 2021 Sporting Clay Event Remington, VA
FABA's first priority has been, and will continue to be, the safety of our members. Both on the job site, at the work place and at social events.
Calendar at a Glance
Reserve your spot here
Membership Committee
The Membership Committee brings builder and associate members together to focus on recruitment of new members and retention of current members. This committee hold a hybrid meeting (in-person or zoom) every 2nd Wednesday at 10:30AM.
Chair - Marc Simes, msimes@tricordinc-va.com
We are updating our membership directory this month
Thank you! In case you missed it, FABA won the state membership derby and we could not have do it without each of you! We want to say thank you to all our loyal members and welcome our new members to the FABA family!
Verfiy your contact information here
The Associates Committee plans member events to promote doing business with members. These volunteers coordinate networking and social events for business connections. This committee has a hybrid meeting (in-person or zoom) every 2nd Wednesday at 9:00AM.
Chair - Mike King, rayssidingcompany@gmail.com
Associates Committee
2021 Events FABA Awards Spring Golf Clay Shoot President's PAC Reception Disc Golf Bingo Crab Feast and Auction Twilight Golf Legislative Fall Golf Holiday Party Dates and details to comply with COVID regulations
Associates Committee Hybrid Meeting Zoom Link: June 9th, 9:00 AM
Fredericksburg City Bi-Monthly Zoom Meeting June 4nd, 9:00AM King George County Quarterly Zoom Meeting July 16th, 9:00 AM Orange County Quarterly Zoom Meeting July, 2nd, 3:00 PM Spotsylvania County Bi-Monthly Zoom Meeting June 1st, 3:00PM Stafford County Bi-Monthly Zoom Meeting June 14th, 9:00AM Caroline County Quarterly Meeting Zoom July 27th, 11:00AM Culpeper County Quarterly Meeting Zoom August 5th, 9:00AM
Legislative Committee
Upcoming County Zoom Meetings
April 2019, the Virginia Board of Housing and Community Development (BHCD) initiated the 2018 Code Development Cycle to consider amendments to the Virginia Uniform Statewide Building Code (USBC), Statewide Fire Prevention Code (SFPC), and other codes. Clickhere for an overview of the significant changesto the Virginia Construction Code, Virginia Existing Building Code, Virginia Maintenance Code, Virginia Statewide Fire Prevention Code, Manufactured Housing Safety Regulations, and Virginia Certification Standards.
Latest updates from your three in one membership hard at work for BUSINESS
Developers Council The working mission of the Council is to stay on top of land development issues affecting local builders and developers in our region and work together to advocate for our positions as needed. The Council is open to Builder and Developer members of FABA. Jeh Hicks, Jarrell Properties , Inc., is the chairman of the Developers Council. This group meets every other month. For more information contact Chrissy Urian at c.urian@fabava.com
Chair - Bruce Reese, bruce@legacy-eng.com
The Legislative Committee meets monthly to discuss the status of local and state level legislation that affects the building industry. For more information from each county, plan to attend the Legislative Committee meeting. This committee meets virtually every third Thursday at 8:30AM. Next Meeting: Thursday, 6/17/21, 8:30 AM - Zoom Link
Chair - Greg Schmidt, greg@pestsolutionsva.com
Community Service Committee
The Community Service committee seeks to increase civic engagement among the members of FABA and utilize professional skills to actively benefit the Fredericksburg area. This committee holds a hybrid meeting (in-person and virtual/zoom) every 4th Wednesday at 2:00PM. The next hybrid meeting is May 26th at 2:00PM. Zoom link
Your Picture Here
Chair - TBD
The Education Committee coordinates workshops and virtual learning opportunities focused on industry safety, marketing, and personal growth.
CAPS I, II and III that will be held on May 24-26th
Education Committee
For more information on NAHB Young Professionals click here
Young Professionals Committee
Young Professionals committee is for individuals in the 21-40 age group to connect, and provides opportunities for professional development, social networking, mentoring, and personal growth for our members.
Register here
Cornerstone 2021
FABA works to educate, promote and represent the building industry while enhancing the region’s quality of life.
FAB Foundation provides grants to students pursuing careers in the home building trades. Now offering internships and apprenticeships to gain real world experiences in the building industry. If you are interested in making a donation to FAB Foundation please contact Maria at mmoore@fabava.com. If you know of a student pursuing a career in the building trades, please have them visit our FAB webpage to fill out a FAB Join FABA for our BINGO event to benefit the FAB Foundation on July 23rd. Register at FABAVA.com/events . Register Foundation Workforce Grant application.
Student, John Boutchyard, and his tools thanks to FAB Workforce Grant
FAB Foundation Workforce Grants
FABA Student Chapters Spotsylvania Career and Technical Center Stafford High School Spotsylvania High School Gladys H Oberle School Caroline High School James Monroe High School James Monroe HS
FAB Foundation
FAB Board of Directors Glen Raymond Eddie Payne Guy Miller-Richards Emily Hall Christine Singhass Mike King Ricky Robinson Tim Thompson Gary Parker Scottie Davis
The FAB Foundation board of directors meets monthly to discuss ways to involve the association with local workforce educators and help promote workforce development in our area. If you would like to be involved with these students, contact FABA for more information.
2021 FABA Board of Directors
President Scott Hine Assurance Financial Group 1st Vice President Marc Simes Tricord Companies 2nd Vice President Jeh Hicks Jarrell Properties Secretary Michelle Hall J. Hall Homes Treasurer Jeremiah Horstick CORELOT Immediate Past President Stacey Lampman Spaces Design Studio Associate Vice President Michael King Ray's Siding Executive Officer Maria Moore FABA Legal Counsel Charlie Payne Hirschler NAHB State Representative Shawn Callahan Metwood Building Solutions Builder Director Tim Hall Tricord Companies Builder Director Sean Halsey Halsey Homes Builder Director Allen Harrison Battlefield Homes Builder Director Pete McGuire Triple Crown Homes Builder Director Dan Sandoval Republic Home Builders Builder Director Teressa Taylor-Griffis Foundation Homes Associate Director Sara Fila Legacy Engineering Associate Director Rick Furnival Sullivan, Donahoe & Ingalls, PC Associate Director Emily Hall Spotsylvania Career & Tech Center Associate Director Bruce Reese Legacy Engineering, PC Associate Director Greg Schmidt Pest Solutions
Register Now June 2, 2021 Sporting Clay Event Remington, VA