ReNews -- Remodelors Council News - March 15, 2005 (Print All Articles)Remodeling Activity Slows Slightly in Fourth QuarterRemodeling activity slowed slightly in the fourth quarter of 2004 as the year ended with unusually wet weather, according to the NAHB Remodeling Market Index (RMI). Today’s fourth quarter results fell one point behind the seasonally adjusted third quarter of 2004. Remodeling activity slowed slightly in the fourth quarter of 2004 as the year ended with unusually wet weather, according to the NAHB Remodeling Market Index (RMI). Today’s fourth quarter results fell one point behind the seasonally adjusted third quarter of 2004. “Although the RMI is seasonally adjusted, we still can’t always predict the weather,” said Remodelors Council Chairman Don Novak, CGR, CAPS, CGB, a remodeler from Cedar Rapids, Iowa. “The interest rates are still good, and remodelers are looking forward to a rebound in the spring.” The RMI is derived from a quarterly national survey of 500 remodelers and is seasonally adjusted. The current market conditions index fell one point, from 51.8 last quarter to 50.7. The future expectations index moved ahead from 52.4 to 54. Regionally, current market conditions in the South fell 1.8 points from last quarter to 52.9, and future expectations remained virtually unchanged at 57.9. The West was the only region to post gains in current market conditions, moving from 56.9 to 58.7. Conversely, the West also saw the biggest drop in future expectations, falling from 62.3 to 57.3. Once again, the Midwest posted a mixed bag as it showed a minor slowdown in current activity, dropping from 46.6 to 46.0, but saw the biggest rebound in future expectations, moving from 44.4 to 48.8. The Northeast saw the biggest fall for the second quarter in a row, with current activity dropping from 52.8 to 46.7 and future expectations fell from 56.3 to 53.8. “Despite the slowdown in the fourth quarter of 2004, the market remains positive as future expectations continues to record growth,” said NAHB Chief Economist David Seiders. “Calls for bids and appointments for proposals are still coming in, leading us to expect a healthy 2005.” The market virtually remained the same in terms of major additions and alterations, moving from 49.22 in the third quarter of 2004 to 49.88 in the fourth quarter. Minor additions and alterations slid 1.5 points to 50.15. The RMI’s maintenance and repairs component also slowed in the fourth quarter to 52.41 from 54.61 in the third quarter. Unlike other recent quarters, the strength of remodeling activity moved from an owner-occupied focus to the renter-occupied market. The biggest jump in the fourth quarter came in the form of appointments for proposals, which moved from 54.45 in the third quarter to 61.21, signaling a rebound in the spring. For the first time, the RMI “special questions” section surveyed participants about their involvement in aging-in-place home modifications. Sixty-one percent of respondents to the survey said their company was involved in home modification related to aging in place. About 71% of remodelers did aging-in-place work for homes headed by owners in the 55-64 years-old age group, and 62% did such work for clients over 65 years old. About 14% of remodelers stated that aging-in-place work requests have increased significantly over the past five years, and more than 60% reported seeing some increase. When asked if they felt that consumers knew about the concept of aging in place, 69% of respondents said some of their clients know about it, but 25% said that customers still hadn’t heard of the concept. The most typical “aging-in-place” projects were installing grab bars and higher toilets and widening doorways. Other popular jobs were building ramps and installing curbless showers. Of remodelers performing aging-in-place modifications, 23% said they have earned the Certified Aging-In-Place Specialist (CAPS) designation and another 28% said they plan on obtaining the designation in the near future. About the RMI: The RMI is based on a quarterly survey of professional remodelers, whose answers to a series of questions were assigned numerical values to calculate two separate indexes. The first index gauges current market conditions and is based on remodelers’ reports of major and minor additions and alterations, plus maintenance work and repairs, on both owner- and renter-occupied dwellings. The second index gauges expectations for the near future and is based on remodelers’ reports of their calls for bids, amount of work committed for the next three months, job backlogs and appointments for proposals. A variety of “special questions” are also asked at the end of the survey to help pinpoint market trends. If you would like to participate in the RMI, send your e-mail and mailing address information, along with telephone and fax numbers to the Remodelors Council. RC News: Make Your Plans for Spring Board, May is Remodeling MonthIn This Section: Mark Your Calendars to Attend the NAHB Spring Board MeetingThere is no better time to come to DC than in the spring. Make your plans today to visit the Capitol and attend NAHB's Spring Board Meetings. By attending the Remodelors Council meetings, you can participate in the RC on a national level. Spring Board of Directors Meeting 6:30 p.m. – 9:30 p.m. Remodelors Night Out TBD Friday, April 15 NOTE: ALL MEETING TIMES & ROOMS SUBJECT TO CHANGE WITHOUT NOTICE Visit www.nahb.org for more details.
May is National Home Remodeling MonthSpring is the most popular time to remodel one’s own castle. What better time of the year for National Home Remodeling Month. Many home owners want to try their hand at remodeling their home themselves; this May help educate consumers on the importance of hiring a professional remodeler to safely make their house a home for a lifetime. The Remodelors Council has created a consumer campaign on How and When to Hire a Professional Remodeler. 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. Contact your local council to find out about plans for the month and join this important campaign. The National Remodelors Council will have downloadable material to help promote National Remodeling Month including proclamations, public service announcements, press releases and articles , visit www.nahb.org/remodelingmonth to view materials. RC Awards: Bryan Patchan Scholarship Brings Remodelers to DCIn This Section
Patchan Scholarship Brings Members to Washington, DCCongratulations to the 2005 Bryan Patchan Scholarship winners Sharon Roberts-Meyer of the HBA of Northern Colorado; Jonathan Levy, CGR, CAPS of the Collier Building Industry Association; and Rick Snyder of the HBA of Livingston County. All three winners are invited to attend NAHB Spring Board meeting in Washington, DC, April 13-17 at the Marriott Wardman Park Hotel to learn about the National Remodelors Council and attend Remodelors Council meetings throughout the week. Roberts-Meyer, the $1,000 scholarship winner, is the vice chairman of Northern Colorado Remodelors Council and plans to use this experience to “promote visibility in her community through education and public ‘give-back’ program such as the Council’s Ramp Up program.” “This is a great opportunity because knowledge is power,” said Roberts-Meyer of Linden, Bartels & Noe in Fort Collins, CO. “This experience will help me work to enhance relationships with the media and our elected officials.” Because the Council received a number of deserving applicants, Council leadership granted two additional scholarships this year in the form of $500 stipends for the winners to attend Spring Board. Levy of Builders Integrity Group in Naples, FL, plans to use this experience to help him create a partnership with strategic partners to provide more education programs for multiple designation and industry-related classes. Snyder of Care Crafted – Cabinetry by Design in Brighton, MI, says that he looks forward to the opportunity to speak with other Remodelors Council members to hear about more ways to involve members in their community and promote using the Remodelors Council logo to create brand recognition. “By promoting the use of the Remodelors Council logo with members, consumers will begin to see it as a stamp of a professional and reinforce the fact that our membership is a group of skilled and educated professionals in the field of the remodeling.” Who will be the 2006 Bryan Patchan Scholarship recipient? Stay tuned for more information on how to apply.
Calling All Buckeyes, Keystones, Mountaineers and Blue Hens for May's Remodelor of the MonthDo you live in Delaware, Pennsylvania, Ohio or West Virginia? If so, don't miss your opportunity to the be May Remodelor of the Month. Get your Remodelor of the Month application in by April 5. NAHB News: Give to NAHB's Tsunami Relief FundMany NAHB members have responded to the devastating earthquake and tsunami disaster in Over the years, NAHB and its members have united to help those in need, demonstrating time and again that Home Builders Care, a philosophy as well as a call to action that is emblematic of the industry's commitment to community service and charitable causes. In response to what will be an overwhelming need for permanent shelter, NAHB and the National Housing Endowment have established the Home Builders Care/National Housing Endowment-Tsunami Shelter Fund to raise desperately needed funds.
With an initial donation of $250,000, designated by the NAHB Board of Directors at the International Builders’ Show, the fund will be directed to rebuilding efforts that provide temporary and permanent shelter for survivors. Please help by making a tax-deductible donation to the Home Builders Care/National Housing Endowment-Tsunami Shelter Fund. Money raised by the National Housing Endowment will be granted to one or more Please direct your donation check to: National Housing Endowment Checks should be made payable to the National Housing Endowment and, in the memo section, please note the Tsunami Shelter Fund. The NAHB Senior Officers have asked Past President Bob Mitchell to guide this fundraising effort. Bob is working with a staff team that already has begun meeting with organizations that have established relief efforts in the affected nations to determine how the money raised can best be distributed to provide for temporary and permanent shelter. Money raised by the National Housing Endowment will be granted to one or more For more information, contact Troy Patterson at the National Housing Endowment at 800-368-5242 x8483 or Kym Kilbourne in NAHB Public Affairs, x8447. NAHB Political Watch: President Bush Signs Class Action Tort Reform BillIn This Section:
President Bush Signs Class Action Tort Reform BillIn a big win for the nation's home builders and other businesses, President George W. Bush recently signed into law important legislation that will help rein-in frivolous class action lawsuits in state courts, thereby saving millions of dollars in excessive business costs that can drive up the cost of housing. "President Bush has followed up on his promise to make class action reform a priority in this Congress," said NAHB President David Wilson, a custom home builder from Ketchum, Idaho. "This is common-sense legislation that’s good for small business and good for America." The bill should help curb such abusive practices as "forum shopping," where lawyers seek out local judges and juries based on their track record of awarding huge damage awards for plaintiffs. S. 5, the "Class Action Fairness Act of 2005," was easily approved by the House of Representatives with bipartisan support. The legislation is identical to the Senate version passed earlier, and was immediately sent to the President’s desk for his signature. The legislation moves class action lawsuits into federal court when the total amount in dispute exceeds $5 million, and when any plaintiff and the defendant live in different states. Home Builders Pitch Housing Ad CampaignSpring training starts early this year for the housing industry as NAHB announced its launch of a major advertising campaign aimed at drawing congressional attention to housing’s contributions to the nation’s economic recovery and the robust demand for housing being projected for the next 10 years. “It’s time to play ball with the 109th Congress,” said Jerry Howard, NAHB Executive Vice President and CEO, in announcing the ad campaign that will culminate on April 13 with a one-day blitz on Capitol Hill by more than 700 builders attending the association’s Legislative Conference here in Washington. “After back-to-back record-breaking years for homeownership rates, new housing production and home sales, it is understandable why housing is not at the top of the agenda for some members of Congress,” Howard added. “But the job of housing America is far from over. We will need to build 18 million new homes and apartment units to meet the housing demands of a growing population over the next decade. Meeting that challenge will require strong support from Congress on a wide range of federal policies.” Bill Killmer, head of NAHB’s advocacy efforts, said that NAHB asks lawmakers to “step up to the plate” and take a pro-housing stance on legislation that could expand homeownership opportunities for working Americans and increase the supply of affordable rental housing. Full-page advertisements will appear in Roll Call, the National Journal, The Hill and Congressional Quarterly. Radio spots will be played on NPR, WTOP, WMAL and WBIG in the Washington, DC area. To view a full copy of the ads and a fact sheet on how housing spurs local and national economic growth, click on www.nahb.org/Congress.
Builders Support OSHA Reform PackageFour bills introduced on Feb. 10 by Rep. Charlie Norwood (R-Ga.) would improve the enforcement of the Occupational Safety and Health Administration's many rules and regulations among small business owners, according to NAHB. “The vast majority of NAHB’s members own small businesses and often find themselves unequipped to negotiate OSHA’s reams of regulations and requirements,” said NAHB President David Wilson. “This legislative package will help reduce some of the regulatory burdens faced by our members when they try to work within OSHA’s complicated system of due process, and will provide OSHA with greater flexibility to respond to small businesses without sacrificing workplace safety.” Of particular note to home builders are H.R. 739, the “Occupational Safety and Health Small Business Day in Court Act,” and H.R. 742, the “Occupational Safety and Health Small Employer Access to Justice Act.” The first bill would allow OSHA to give businesses more than 15 days to respond to a citation; the second would make it easier for companies to recover attorneys’ fees when they successfully defend themselves against a citation. H.R. 740, the “Occupational Safety and Health Review Commission Efficiency Act,” would add two more administrative law judges to the three-member Occupational Safety and Health Review Commission (OSHRC), which hears appeals of violations. At its current size, the commission frequently has to delay hearings because it does not have a quorum. The measure is designed to address this problem. H.R. 741, the “Occupational Safety and Health Independent Review of OSHA Citations Act,” would require judges to defer to the OSHRC when OSHA cases are appealed to the courts. “These bills would improve workplace safety and help to level the playing field for small businesses that seek to defend themselves in OSHA actions that are brought against them,” said Wilson. “We urge the House to approve these measures and call on the Senate to introduce similar legislation.” To read the legislation, click here, and enter the bill numbers in the box at the upper left. For more information, contact Jenna Hamilton Morgan 800-368-5242 x8407.
NAHB Supports House Bill Calling for the Repeal of Death TaxNoting that it will help small family-owned businesses to create more jobs and continue to prosper, NAHB strongly supported bipartisan legislation introduced by Reps. Kenny Hulshof (R-MO) and Robert E. “Bud” Cramer (D-AL)to enact the permanent repeal of the estate tax late February. “By placing a substantial burden on the heirs who potentially could be forced to liquidate assets, the estate tax represents one of the greatest threats to the future viability and growth of family-owned businesses,” said NAHB President David Wilson. “Hard-working Americans should not have to pay the federal government more than 50 percent of their estate at death. NAHB is pleased to support this important measure rescinding the death tax.” H.R. 8, the “Death Tax Repeal Permanency Act,” is identical to legislation that passed the House in the 108th Congress by a wide 264-163 margin. Under the current law, which was enacted in 2001, the estate tax is being gradually phased out until it disappears entirely in 2010. But it roars back to life in 2011, when the entire estate tax cut sunsets. While reductions in the tax are welcome, builders would prefer no death tax at all and many are saying that the scheduled cuts in the tax over this decade make planning their estates more difficult. If they don't keep up with changes in the schedule, nearly half of their estates can be lost to federal taxes after they die. Wilson said that the estate tax “has placed a burden on the heirs of family-run home building companies,” and he added that some business heirs even have to liquidate company assets to pay for the tax. “The death tax is a threat to the future viability and growth of family-owned businesses,” Wilson said. He said that the issue is of particular importance to the housing industry, which is comprised largely of small businesses, and that NAHB urges the House to act swiftly on this measure. The Senate is expected to introduce similar legislation shortly. Education News: Local Councils Take Advantage of National Designation MonthDuring the National Designation Month, locals across the country held education courses for their members to promote the CAPS and CGR designations. The word from the local Remodelors Council across the country was that once again February is National Designation Month was a success: The Greater Birmingham Association of Home Builders Remodelors Council held a number of classes during designation month. The council scheduled “Working With and Marketing to Older Adults” and “Home Modification” courses during February. Also, at the Council’s February meeting, it recognized members who had earned their designations in 2004. Across the country, the Wisconsin Builders Association’s Remodelors Council and Education Committee held two CAPS classes on Feb. 3-4 with 12 attendees at the “Working with and Marketing to Older Adults” and 16 attendees at its “Home Modifications” class. WBA also partnered with the Better Buildings Better Business Conference held on Feb. 1-2 to bring in Remodelors Council member and education instructor Jud Motsenbocker, CGR, CAPS to Wisconsin to teach classes. WBA established an agreement with Associated Builders and Contractors (ABC) for use of its training room in Madison for the classes. This is the second year WBA has sponsored CAPS classes in the month of February. Industry Trends: Are You Ready for the 'Smart Kitchen'?Proponents of smart kitchens that use a broadband-equipped home network to connect appliances with cell phones, pagers, office computers, laptops and other remote devices are targeting new home builders who are pre-wiring their kitchens to accommodate the new technology. Smart kitchens are included in “5 Technologies to Watch,” a recent report from the Consumer Electronics Association. “The American kitchen is about to take another step in its evolution,” the report says. “The need for speed control coupled with the desire for old fashioned ‘home cookin’ has led to the invention of several products that could make the kitchen the center of the home.” Referred to as hybrid white goods, the products include refrigerators with cable-ready television screens; refrigerators that can monitor the shelf life of in-box items using barcodes; ovens that can download and execute recipes via the Internet; and ovens that can store and cook food via a cell phone. “The rapid expansion of high-speed home networks and the rollout of smart kitchen appliances looks like a marriage destined for success,” the report says, projecting that the number of homes worldwide with home networks will jump from 35 million at the end of last year to 98 million by 2008. Whirlpool, IBM, Sears and Hewlett-Packard are among the companies that have been leading the effort through participation in the Internet Home Alliance, whose mission is to help build a market for products and services that require a broadband or persistent Internet connection. The companies have been collaborating to resolve basic design issues so there won’t be conflicts over standards and proprietary software and consumers won’t be confused about which device works with another. A recent survey by the group found that 42% of the nation’s single-family home owners — or 26.1 million households — are interested in new technology in a connected home, the report says. “Our research shows that busy consumers still blame themselves when they cannot provide their families with home-cooked meals,” said Henry Marcy, V, Whirlpool’s vice president for corporate technology and electronics. “Solving the food preparation dilemma would dramatically open up the market possibilities for us, especially because the kitchen is the command center of the home.” While industry’s goal is to connect all kitchen appliances so that they can be accessed by remote devices, there are some kitchen appliances that do not require broadband for basic service, the report says. One of them is Whirlpool’s Polara oven, which keeps raw food at the correct temperature during the day so that it can be cooked after work right away. Expand Company Horizons at Upcoming NAHB ConferencesIn This Section:
Attend the Spring Construction Forecast to Stay On Top of Housing Economic TrendsAre housing prices about to collapse? Be the first to know….register today for the Spring Construction Forecast Conference See what's on the horizon for the housing industry at NAHB's Spring Construction Forecast Conference on May 5 in Washington, D.C. Get the latest forecasts on housing starts, project budgets and other economic bellwethers and developments in the housing industry from some of the country's premier economists and finance experts. For more information, click here.
Find Out How to Get Started in the Active Adult MarketThinking about getting involved in the active adult market? You’ll find the answers at Building for Boomers & Beyond: Seniors Housing Symposium 2005, the nation’s premier educational and networking conference for builders, developers and other industry professionals who serve the 50+ market. Sign up for this year’s event on May 16-18 in the Washington, DC, metro area (Chantilly, VA). Presented by the NAHB Seniors Housing Council, Building for Boomers & Beyond will feature more than 20 educational sessions on topics such as design, amenities, marketing and sales, multi-family, and research and trends. Courses include:
“How to Get Started in Active Adult Housing,” a pre-conference course on how to break into the fastest-growing segment of the housing industry, and “Designing for the Active Adult,” the first course in the Seniors Housing Council’s new Professional Development Series have been added to this year's event. By taking these courses, remodelers can earn continuing education credit toward their CAPS, CGR and other NAHB designations. Check out the complete Building for Boomers & Beyond brochure or register online. E-mail NAHB University of Housing, Office of the Registrar, or call 800-368-5242 x8338 or visit www.nahb.org/build4boomers for more details.
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