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Thursday, January 26, 2012

Builders Commend White House Focus on Helping Home Owners, Seek Additional Steps to Spur Housing



WASHINGTON, Jan. 25 - The National Association of Home Builders (NAHB) commends President Obama for offering proposals in last night's State of the Union address to help families stay in their homes and stanch foreclosures, and is urging policymakers to take additional actions to mend the housing market and boost the economy.

"President Obama's refinancing plan offers an opportunity for continued exploration of ways to aid struggling home owners and tackle the foreclosure crisis," said NAHB Chairman Bob Nielsen, a home builder from Reno, Nev. "We look forward to working with the White House and Congress to tackle this issue and continue to make progress on foreclosures that are hampering the housing market."

In order to create jobs and further stabilize housing and the economy, Nielsen added that the Administration, Congress and federal regulators need to reopen the lines of credit for builders ready to embark upon viable projects in markets where new housing stock is needed and to ease overly restrictive mortgage lending requirements for qualified home buyers.

The NAHB/First American Improving Markets Index shows that scores of metro areas across the nation are beginning to see signs of recovery, but in order to meet this emerging housing demand, builders need access to credit to break ground on sound projects and generate new jobs and sorely needed tax revenues in these communities.

"President Obama was absolutely right when he said that 'there has never been a better time to build,' and the nation's home builders are eager to do their part to contribute to economic growth and job creation," said Nielsen, who noted that housing normally accounts for more than 17 percent of the nation's gross domestic product.

Building 100 single-family homes creates more than 300 full-time jobs and $8.9 million in federal, state and local tax revenues that help fund local schools, police and firefighters in markets across the land.

Sixty percent of voters say that resolving the foreclosure mess is essential to get the economy back on track and there is broad support for government policies that encourage homeownership, according to a new nationwide survey on housing commissioned by NAHB from the Republican and Democratic polling firms of Public Opinion Strategies and Lake Research Partners.

More than seven in 10 voters representing all political parties believe that tax incentives to promote homeownership are reasonable and appropriate and nearly six in 10 voters say the federal government should make it a high priority to restore the nation's housing market.

Even more telling, the majority of voters believe neither party is doing a good job on housing.

"In this election year, voters will be looking closely at President Obama, the GOP presidential contenders and congressional candidates from both political parties to determine how they plan to put housing and the economy back on track," said Nielsen. "How the candidates respond will decide not only their political fate but the economic prospects of most Americans."

Remodeling Market Index Rises to Five-Year High

WASHINGTON, Jan. 26 - Remodeling sentiment rose to the highest level in five years, according to the National Association of Home Builders' (NAHB) Remodeling Market Index (RMI) for the fourth quarter of 2011. Released today, the RMI increased to 46.6 in the fourth quarter from 41.7 in the third quarter.

In the fourth quarter, the RMI component measuring current market conditions rose to 48.4 from 43.0 in the previous quarter. The RMI component measuring future indicators of remodeling business was also positive, increasing to 44.8 from 40.4 in the previous quarter.

An RMI below 50 indicates that more remodelers report market activity is lower (compared to the prior quarter) than report it is higher. The overall RMI averages ratings of current remodeling activity with indicators of future activity.

"As more consumers remain in their homes rather than move in this economy, remodelers benefited from a gradual increase in home improvement activity, taking us to a five-year high," said NAHB Remodelers Chairman Bob Peterson, CGR, CAPS, CGP, a remodeler from Ft. Collins, Colo. "2011 ended on a strong note for the remodeling industry."

Current market conditions improved significantly in all four regions over the third quarter of 2011. The RMI reported higher market activity in two important categories: major additions 52.3 (from 45.2) and minor additions 50.1 (from 45.7).

Future market indicators in each region also experienced gains from the previous quarter. Two of the indices reported a level over 50: calls for bids at 50.7 (from 45.4) and appointments for proposals at 50.1 (from 43.3), while work committed for the next three months only rose to 31.5 (from 29.9).

"With several key components above 50, the latest RMI provides reason for guarded optimism going forward," said NAHB Chief Economist David Crowe. "The residential remodeling market has been improving gradually, mirroring the trend in other segments of the housing market. Stringent lending requirements and economic uncertainty continue to be a drag on demand, but we expect a modest growth in remodeling activity to continue throughout 2012."

For more information about remodeling, visit
www.nahb.org/remodel.

Thursday, January 19, 2012

Single-Family Housing Starts Rise 4.4 Percent in December

WASHINGTON, Jan. 19 - Nationwide production of new single-family homes rose 4.4 percent to a seasonally adjusted annual rate of 470,000 units in December, according to newly released figures from the U.S. Commerce Department. This marked a third consecutive increase and the fastest pace of single-family housing starts since April of 2010. Meanwhile, the overall number of housing starts for the month declined 4.1 percent to a 657,000-unit rate due to a 20.4 percent dip on the more volatile multifamily side.

"Today's report adds to the growing evidence that demand for new, single-family homes is finally starting to firm up in an increasing number of markets nationwide," said Bob Nielsen, chairman of the National Association of Home Builders (NAHB) and a home builder from Reno, Nev. "This emerging trend is allowing builders to put more crews back to work, and could be even stronger if not for the overly tight credit conditions that prevail for both builders and buyers, as well as the continuing foreclosure crisis and the challenges of obtaining accurate appraisal values on new homes. Policymakers should be doing everything possible to alleviate these problems and nurture the fledgling housing recovery in order to promote job and economic growth."

"This report is in keeping with our expectations for slow but steady improvement in the single-family market, where production hit its lowest yearly rate in over 50 years in 2011," said NAHB Chief Economist David Crowe. "Meanwhile, it should be noted that the decline in multifamily starts in December was coming off a dramatic increase from the previous month and simply brought that sector back closer to trend. Apartment production generally continues to gain strength heading into 2012 after posting a more-than 50 percent gain in 2011." Looking forward, NAHB is forecasting gains of approximately 17 percent in both single- and multifamily housing production in 2012.

Combined single- and multifamily housing starts fell 4.1 percent to a 657,000-unit rate in December due to the multifamily side retreating 20.4 percent from a big gain in the previous month, to a seasonally adjusted annual rate of 187,000 units. However, for the year as a whole, overall housing production was pegged at 606,900 units, which was 3.4 percent better than the overall number of starts in 2010.

Regionally, December housing starts rose 54.8 percent in the Midwest following a big decline in the previous month. The Northeast posted a 41.2 percent decline that offset a big gain in the previous month, while the South and West also posted declines of 3.0 percent and 17.6 percent, respectively.

Permit issuance, which can be an indicator of future building activity, held virtually flat at a 679,000-unit rate in December. Single-family permits rose for a third consecutive month, by 1.8 percent to 444,000 units, while multifamily permits declined 3.7 percent to 235,000 units.

Regionally, permits rose 5.8 percent in the Midwest and held unchanged in the West, but declined 6.5 percent in the Northeast and 0.6 percent in the South in December.

HBAGTA e-News January 19, 2012

HBAGTA e-News 

Wednesday, January 18, 2012

Voters Place High Value on Homeownership, Oppose Policies That Make It More Difficult to Own a Home

January 11, 2012 - By an overwhelming margin, American voters strongly value homeownership and would oppose efforts to weaken or eliminate the mortgage interest deduction or diminish a federal role to help qualified home buyers obtain affordable 30-year mortgages, according to a new nationwide survey gauging likely voters’ attitudes towards homeownership and housing policy issues.

“The American electorate is sending a clear message that owning a home remains a cornerstone of the American Dream and preserving a federal commitment to homeownership is essential to maintain a thriving middle class and get housing and the economy back on track,” said Neil Newhouse, a partner and co-founder of Public Opinion Strategies.

Conducted on Jan. 2-5 on behalf of the National Association of Home Builders by the Republican and Democratic polling firms of Public Opinion Strategies in Alexandria, Va., and Lake Research Partners in Washington, D.C., the comprehensive survey of 1,500 likely voters includes data from key political “swing areas,” including National Journal political analyst Charlie Cook’s swing House and Senate seats and Stuart Rothenberg’s presidential swing states. The survey, which has a margin of error of ±2.5 percent, is a follow-up to a similar national poll conducted last May.

The poll shows that three out of four voters – both owners and renters -- believe it is appropriate and reasonable for the federal government to provide tax incentives to promote homeownership. This sentiment cuts across regional and party lines, with 84 percent of Democrats, 71 percent of Republicans and 71 percent of Independents agreeing with this statement.

Also, two-thirds of respondents say that the federal government should help home buyers to afford a long-term or 30-year, fixed-rate mortgage.

Moreover, 73 percent of voters oppose eliminating the mortgage interest deduction. These figures held firm across the political spectrum, with 77 percent of Republicans, 71 percent of Democrats and 71 percent of Independents against doing away with the mortgage interest deduction.

Meanwhile, 68 percent would be less likely to vote for a congressional candidate who proposed to abolish the deduction, a figure that was virtually identical across all party affiliations (69 percent of Independents and 68 percent of Democrats and Republicans).


A majority of voters are also against proposals to reduce the mortgage interest deduction, eliminate the deduction for interest paid for a second home, limit the deduction for those earning more than $250,000 per year, scale back the deduction for home owners with mortgages above $500,000 and do away with the deduction for interest paid on home equity loans.

“With the 2012 election season in full swing, candidates running for the White House and Congress would be wise to heed the will of the American voters, who have expressed broad support for government policies that encourage homeownership and oppose efforts to make it more difficult to get a home loan and to tamper with the mortgage interest deduction,” said Celinda Lake, president of Lake Research Partners.

Among the poll’s other key findings:

  • 96 percent of home owners are happy with their decision to own and 84 percent who are “underwater,” or owe more on their mortgages than their home is worth, expressed the same sentiment.
  • 79 percent of home owners would advise a family member or close friend just starting out to buy a home, and 69 percent of those who are underwater on their mortgage would offer the same advice.
  • 74 percent said that despite the ups and downs in the housing market, owning a home is the best long-term investment they can make.
  • Homeownership and a retirement savings program are considered by voters to be their best long-term investments.
  • 78 percent of respondents said that owning their own home is very important to them.
  • Nearly seven out of 10 voters who are not currently home owners (68 percent) said it was a goal of theirs to buy a home.
  • Job uncertainty and saving for a downpayment and closing costs are the biggest barriers to buying a home.

The survey findings are consistent with the results of other public opinion surveys. In a New York Times/CBS News poll conducted in June, 89 percent said that homeownership is an important part of the American Dream and more than 90 percent indicated that it is important for the federal government to continue the mortgage interest deduction.

According to a Pew Research Study conducted last March, 81 percent of respondents agree that buying a home is the best long-term investment a person can make and 81 percent of renters surveyed said they would like to buy a house.

“Even in a down housing market, homeownership remains a core American value, with the vast majority of citizens who do not currently own a home saying they want to buy a home,” said Bob Nielsen, president of the National Association of Home Builders and a home builder from Reno, Nev. “Those running for office in November need to understand that voters will not look kindly on any candidates who seek to dismantle the nation’s long-term commitment to homeownership.”

Poll results can be downloaded at www.nahb.org/homeownershippoll.

Builder Confidence Rises Fourth Consecutive Time in January


WASHINGTON, Jan. 18 - Builder confidence in the market for newly built, single-family homes continued to climb for a fourth consecutive month in January, rising four points to 25 on the NAHB/Wells Fargo Housing Market Index (HMI), released today. This is the highest level the index has attained since June of 2007.

"Builder confidence has now risen four months in a row, with the latest uptick being universally represented across every index component and region," noted Bob Nielsen, chairman of the National Association of Home Builders (NAHB) and a home builder from Reno, Nev. "This good news comes on the heels of several months of gains in single-family housing starts and sales, and is yet another indication of the gradual but steady improvement that is beginning to take hold in an increasing number of housing markets nationwide -- and that has been shown by our Improving Markets Index. Policymakers must now take every precaution to avoid derailing this nascent recovery."

"Builders are seeing greater interest among potential buyers as employment and consumer confidence slowly improve in a growing number of markets, and this has helped to move the confidence gauge up from near-historic lows in the first half of 2011," noted NAHB Chief Economist David Crowe. "That said, caution remains the word of the day as many builders continue to voice concerns about potential clients being unable to qualify for an affordable mortgage, appraisals coming through below construction cost, and the continuing flow of foreclosed properties hitting the market."

Derived from a monthly survey that NAHB has been conducting for more than 20 years, the NAHB/Wells Fargo Housing Market Index gauges builder perceptions of current single-family home sales and sales expectations for the next six months 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 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 fourth consecutive month of improvement in January. The component gauging current sales conditions rose three points to 25, which was its highest point since June of 2007. The component gauging sales expectations in the next six months also rose three points, to 29 -- its highest point since September 2009. And the component gauging traffic of prospective buyers rose three points to 21, its highest point since June of 2007.

The HMI also posted gains in all four regions in January, including a nine-point gain to 23 in the Northeast, a one-point gain to 24 in the Midwest, a two-point gain to 27 in the South and a five-point gain to 21 in the West.

Editor's Note: The NAHB/Wells Fargo Housing Market Index is strictly the product of NAHB Economics, and is not seen or influenced by any outside party prior to being released to the public. HMI tables can be found at
www.nahb.org/hmi. More information on housing statistics is also available at http://www.housingeconomics.com.

Wednesday, January 11, 2012

NAHB TO REVEAL NEW VOTER POLL

NAHB TO REVEAL NEW VOTER POLL; PREVIEW ECONOMIC, LEGISLATIVE OUTLOOK FOR HOUSING IN 2012

[EDITOR'S NOTE: The login information and time have been updated from a previous media advisory. Below is the correct login information and details for the webcast.]

WHEN:

Wednesday, Jan. 11, 2012

2:00 p.m. ET

WHO:

· Jerry Howard, CEO, National Association of Home Builders

· David Crowe, chief Economist, National Association of Home Builders

· Jim Tobin, Senior Vice President for Government Affairs, National Association of Home Builders

· Neil Newhouse, partner and co-founder, Public Opinion Strategies

· Celinda Lake, president, Lake Research Partners

WHAT:

On Wednesday, Jan. 11 at 2:00 p.m., the National Association of Home Builders (NAHB) will reveal the results of a new national poll of 1,500 likely voters looking at the value Americans place on homeownership, while discussing what lies ahead for housing in 2012, both economically and politically.

The poll was conducted by Neil Newhouse, partner and co-founder of Public Opinion Strategies, a leading Republican polling company, and Celinda Lake, president of Lake Research Partners, one of the Democratic Party's leading strategists.

During the teleconference, the pollsters will analyze the survey results, while NAHB CEO Jerry Howard will discuss its implications on the future of the American Dream. NAHB Chief Economist David Crowe will provide his 2012 economic forecast, while NAHB Senior Vice President for Government Affairs Jim Tobin will discuss how the upcoming elections will shape the policies that affect homeownership and the housing industry.

Members of the media will be given the opportunity to ask questions at the conclusion of the call.

TO PARTICIPATE:

1. Direct your web browser to
http://eventcenter.commpartners.com/se/NAHBLogin.

2. Under "Enter a Webinar" in the blue box, enter the meeting number 816024 and click on "Enter."

3. In the "Display Name" box, type in your first and last name and click on "Enter Meeting."

4. The primary means of listening to this webinar is via audio streaming (your computer speakers).

Slides will also be posted following the presentation at:
www.nahb.org/homeownershippoll.

Please contact Liz Thompson at ethompson@nahb.org with any questions.

New Poll Finds That Voters Still Value Homeownership

New Poll Finds That Voters Still Value Homeownership, and Want Policymakers to Support Housing NAHB to Release Results in Media Teleconference on Wednesday.

WHEN:

Wednesday, Jan. 11, 2012

1:00 p.m. ET

WHO:

· Jerry Howard, CEO, National Association of Home Builders

· Neil Newhouse, partner and co-founder, Public Opinion Strategies

· Alex Bratty, partner, Public Opinion Strategies

· Celinda Lake, president, Lake Research Partners

· Jonathan Voss, senior analyst, Lake Research Partners

WHAT:

On Wednesday, Jan. 11 at 1:00 p.m., the National Association of Home Builders (NAHB) will host a media teleconference to reveal the results of a national poll of 1,500 likely voters looking at the value Americans place on homeownership. The poll indicates that, despite the economic downturn and housing crisis, respondents still consider owning a home an integral part of the American Dream and feel that policymakers need to take active steps to promote homeownership. Results reveal voter attitudes towards key housing issues including the mortgage interest deduction, and how those feelings would translate at the voting booth.

The survey was conducted by Neil Newhouse, partner and co-founder of Public Opinion Strategies, a leading Republican polling company, and Celinda Lake, president of Lake Research Partners, one of the Democratic Party's leading strategists. During the teleconference, the pollsters will analyze the survey results, while NAHB CEO Jerry Howard will discuss its implications on the future of the American Dream.

Members of the media will be given the opportunity to ask questions at the conclusion of the call.

TO PARTICIPATE:

1. Direct your web browser to
http://eventcenter.commpartners.com/se/NAHBLogin

2. Under "Enter a Webinar" in the blue box, enter the meeting number 416543 and click on "Enter."

3. In the "Display Name" box, type in your first and last name and click on "Enter Meeting."

4. The primary means of listening to this Webinar is via audio streaming (your computer speakers). If your computer does not support audio streaming, please dial the following 1-888-364-3107 or 1-719-325-2309 (International Participants) and when prompted by the operator state the name of the meeting you want to join and this code 6374149.

If you have technical difficulties please e-mail nahb@commpartners.com.

Slides and instructions will also be posted at:
www.nahb.org/homeownershippoll. Please contact Liz Thompson at ethompson@nahb.org with any questions.

**************************************************************

Home Builders, Former NFL Players Strengthen Communities with Touchdown for Homes


WASHINGTON, Jan. 10 - Up until now, one of the few things home builders had in common with football players was that builders constructed the houses where millions of families watched their favorite NFL teams compete each week. But with Touchdown for Homes, a charitable outreach program of the National Association of Home Builders and the NFL Players Association, home builders and former NFL players are teaming up around the country to build or renovate homes for children or families in need and veterans.

"NAHB's home builder members are honored to partner with former NFL players to provide children, families and veterans with safe, comfortable housing opportunities," said Jerry Howard, NAHB's president and CEO. "Even though the home building industry has been devastated by the economic downturn, our commitment to community philanthropy remains as strong as ever."

"Giving back to the communities that gave them so much support during their playing careers is a primary objective of our former player chapters," said DeMaurice Smith, executive director of the NFLPA. "Working together as a team with local home builders to make a significant and lasting contribution to these communities is an incredibly rewarding experience."

The projects are being conducted in communities that have former NFL players chapters and NAHB-affiliated local home builders' associations with community outreach programs. Recently completed projects include renovating a section of the St. Ann's Infant and Maternity home in Washington, D.C., updating the AMIKids Infinity School in Chicago, and repairing a transitional home for homeless families for the Decatur Cooperative Ministry near Atlanta.

In Dallas, former NFL players including six-time Pro Bowl player Isiah Robertson and five-time Pro Bowl player Jerry Norton helped build a home for an elderly woman and her family in November, just in time for the holidays. It is the thirteenth home constructed through the efforts of the Dallas former NFL players chapter, which was the inspiration for the nationwide Touchdown for Homes program.

Home building industry companies including Lowe's, Mohawk Flooring and Mid-South Building Supply donated materials and volunteer workers to some of the projects, which range in value from $1,000 to nearly $100,000.

For 2012, the groups in Washington, D.C. and Chicago are working on new projects focused on providing homes for wounded or homeless veterans. Other Touchdown for Homes projects are in the planning stages for 2012 in communities including Philadelphia, Los Angeles, Seattle, and Knoxville, Tenn.

For more information on Touchdown for Homes, go to
www.nahb.org/touchdownforhomes.