S E P T E M B E R 2020
New THIS Month
American Homes 4 Rent
Live Oak Consultants
Port City Elevator
The Gillam Company
Johns Island Remodeling, LLC
EVENTS & EDU
Lunch & Learn: Second Chances Sep 8th | 9:00AM CHBA Office
Breakfast with the Builder Sep 15th | 8:30AM North Chs. Coliseum
Healthcare 101 Sep 17th | 9:00AM CHBA Office
IN THE NEWS
Builder Confidence in Single-Family Market at Record High
Building the Future of the Lowcountry
latest NAHB/Wells Fargo Housing Market Index (HMI). The HMI now stands at its highest reading in the 35-year history of the series, matching the record set in December 1998.
Derived from a monthly survey that NAHB has been conducting for 35 years, the NAHB NAHB NAHB/Wells Fargo Housing Market Index gauges builder perceptions of single-family home sales and sales expectations for the next six months as “good,” “fair” or “poor.” The survey also asks builders to rate traffic of prospective buyers as “high to very high,” “average” or “low to very low.” Scores for each compon- ent are then used to calculate a seasonally adjusted index where any number over 50 indicates that more builders view condi- tions as good than poor.
In a sign that housing continues to lead the economy forward, builder confidence in the market for newly-built single-family homes increased six points to 78 in August, acccording to the
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All the HMI indices posted gains in August. The HMI index gauging current sales con- ditions rose six points to 84, the compo- nent measuring sales expectations in the next six months increased three points to 78 and the measure charting traffic of prospective buyers posted an eight-point gain to reach its highest level ever at 65.
Looking at the three-month moving averages for regional HMI scores, the Northeast jumped 20 points to 65, the Midwest increased 13 points to 63, the South rose 12 points to 71 and the West increased 15 points to 78.
Builder Confidence in Single-Family Market at Record High
Register at hbacharleston.com
TUESDAY, SEPTEMBER 22ND A.M. & P.M.
KIAWAH ISLAND SPORTING CLUB
LUNCH SERVED AT 11:30AM
Team of 2: $300 | Team of 4: $500 Station Sponsorship: $500
Presented by Sherwin Williams
Clay Shoot Tournament
Lumber Prices Up 130% Since April
Lumber prices have risen more than 130% since mid-April. As a result, the average cost of lumber in a typical new single-family home has gone up by $13,500 and by
$5,100 in a typical multifamily home.
NAHB is asking Commerce Secretary Wilbur Ross and U.S. Trade Representative Robert Lighthizer to re-engage with Canadian officials to achieve a long-term agreement on softwood lumber. NAHB is also asking the U.S. Lumber Coalition to find ways to address shortages in the domestic lumber supply chain.
NAHB Again Endorsing Pro-Housing Candidates for Congress
NAHB is once again endorsing candidates for the U.S. House and Senate in the upcoming Nov. 3 elections. NAHB endorses candidates who have shown a commitment to policies that promote homeownership and rental housing opportunities for all Americans.
NAHB makes all of its endorsement decisions in concert with the state and local home builders associations (HBAs) of the lawmakers under consideration.
To date, NAHB has endorsed 82 candi- dates, including 72 in the House and 10
in the Senate. Many of the endorsements were made for primary elections. NAHB will continue to work with its state and local HBAs to announce additional endorsements and updates based on primary results.
As the nation deals with the COVID-19 pandemic, NAHB encourages all voters to prepare now to ensure your vote counts on Election Day. You can check your state’s voter registration deadlines and mail-in voting rules on vote.org. The organization also has a listing of voting changes made by each state in response to COVID-19.
Year-Over-Year Gains in Permits
Over the first six months of 2020 – and after the onset of the impact of the coronavirus – total single-family permits issued year-to-date nationwide reached 433,484. This is a 3.8% increase over the June 2019 level of 417,453.
Year-to-date ending in June, single-family permits across the four regions ranging from an increase of 6.5% in the South to a decline of 1.7% in the Northeast. In multi- family permits, the South reported a 3.1% increase while the other three regions reported declines – Northeast (-14.7%), Midwest (-6.2%), and West (-5.6%).
Between June 2019, and June 2020, 34 states saw growth in single-family permits while 16 states and the District of Colum- bia registered a decline. South Dakota recorded the highest growth rate during this time at 36.7% from 1,178 to 1,610.
Building Products in New Residential Construction
Sponsor of the 2020 High Performance Council Meetings
BIA of SC Conducts Building Materials Shortage Survey
NAHB analysis of government data indicates that new single-family and multifamily construction used about $94.9 billion in building products in 2019.
Although the vast majority of that amount was produced domestically, supporting jobs in the U.S. manufacturing sector, roughly $6.1 billion was imported from other countries.
Among the major product categories, new residential construction in 2019 used more than $11 billion each of cement and concrete products and architectural and structural metals.
Other products toward the top of the list were plastic products, household furniture and kitchen cabinets, paints, plywood and engineered wood products, household appliances, HVAC and refrigeration equipment, and electrical equipment.
Fannie, Freddie to Delay Finance Charge
After strong opposition from NAHB and many other housing, consumer advocacy, and banking groups, the Federal Housing Finance Agency (FHFA) announced Aug. 25 that it has ordered Fannie Mae and Freddie Mac to delay until Dec. 1, 2020, the implementation of a new 0.5% surcharge on mortgage refinances.
The government-backed mortgage guarantors on Aug. 13 announced they would charge an additional 0.5% fee on refinanced mortgages they purchase beginning Sept. 1 due to “market and economic uncertainty” caused by the COVID-19 pandemic.
Who are NAHB's Associate Members?
NAHB’s 80,000 Associate members are an important part of membership. The largest share of Associate members, 43%, are subcontractors or specialty trade contractors. Roughly 13% work in professional fields such as accounting and engineering, and 11% work in retail dealerships. About 8% are employed in financial services, 4% work in wholesale distributorships, and 20% listed “other associate” as their primary activity.
NAHB Education An Online Success
NAHB Education has adapted quickly to COVID-19's effects on the classroom, and is now offering its intensive, full-day designation courses – such as those for the Certified Aging in Place Specialist (CAPS) professional designation – on a virtual platform.
The designation courses are commonly offered through HBAs. The transition has been a success for students, instructors and HBAs offering the courses, because more people can attend from their home or office.
For a full list of life board members, visit our website hbacharleston.com
L&L: SECOND CHANCE JOBS CHBA Office Sept. 8th, 11:30AM
RESIDENTIAL BUILDERS LICENSE PREP COURSE CHBA Office Sept. 9th - 11th
BREAKFAST WITH THE BUILDER North Charleston Coliseum Sept. 15th, 8:30AM
BUILDER/INSPECTOR MTG. North Charleston Coliseum Sept. 16th, 8:30AM
HEALTHCARE 101 CHBA Office Sept. 17th, 9:00AM
CLAY SHOOT TOURNAMENT Kiawah Island Sporting Club Sept. 22nd, 9:00AM
BREWERY MIXER Tradesman Brewery Sept. 24th, 4:30AM
If you have any questions, contact Ashley at email@example.com
President Trump Signs USMCA Trade Pact
In a positive development for the housing industry, President Trump on Jan. 29 signed the U.S.-Mexico- Canada Agreement (USMCA).
The U.S. residential construction and remodeling industries rely on tens of billions of dollars in building materials sourced from Mexico and Canada each year. By modernizing and strengthening free trade with our largest trade partners, the USMCA will boost U.S. economic growth and help keep the price of homes and home improvements low.
New App Offers Accessibility Guidance
NAHB unveiled the "Pocket Guide to the Fair Housing Act," a free app to help home builders, contractors and designers meet the accessibility requirements of the act, during the Builders' Show in Las Vegas.
“HUD welcomes the efforts of this important housing industry partner in working to meet the needs of persons with disabilities,” HUD Secretary Ben Carson told NAHB's Leadership Council.
EPA Announces Water Rule at IBS
EPA Administrator Andrew Wheeler announced a final “waters of the United States” (WOTUS) rule during the International Builders’ Show in Las Vegas.
“The Navigable Waters Protection Rule is a big win for states, municipalities, builders and developers, landowners and the American public,” Wheeler said in remarks to NAHB’s Leadership Council. “It will make it easier to understand where the Clean Water Act applies and, as importantly, where it does not.”
The EPA administrator noted the new water rule is good for the economy and the environment.
To better serve the needs of its members, industry partners and other key stakeholders, NAHB recently unveiled an all-new nahb.org website.
The site not only features a much more modern look, but also greatly improved search performance, enhanced content functionality and improved navigation for a better user experience.
Joint Employer Rule
In a win for NAHB, the Labor Department in January announced a final rule to provide a clearer method for determining joint employer status.
The rule will provide clarity and certainty regarding employers' responsibility to pay federal minimum wage and overtime for all hours worked over 40 in a week.
The new rule will take effect March 16. It includes a set of joint employment examples to further assist in clarifying joint employer status.