Builder Review Daily: Home Builders Association of Greenville

Fusion Audio + Video to Host First Builder After Hours of 2012

2012-02-01T06:39:00.000-08:00

The first HBA of Greenville Builder After Hours of 2012 is at Fusion Audio + Video.

Builder After Hours
Fusion Audio + Video, 119 N. Markley Street, Greenville, SC 29601
Thursday, February 2, 5:30 p.m. until 8 p.m.
Sponsor: Fusion Audio + Video

The Builder After Hours is a strictly social gathering. No business is conducted. The host and sponsor will make a few brief remarks, as will the HBA of Greenville president.

The menu for the event is as follows:
Chicken Satay with Peanut Sauce
Miniature Cuban Sandwiches
Sweet BBQ Pork Stuffed Petite Potatoes
Mushroom Caps Stuffed with Italian Sausage and Cheese
Chipolte Beef Quesadilla with Cilantro Crème
Cheese display with Crackers
Warm Spinach Dip with Tortilla Chips
Sweet Iced tea and Lemonade

There will be various door prizes given away but you must be in attendance to win so don't miss this great evening of networking and fellowship, and a delicious meal.

To register for the Builder After Hours at Fusion Audio + Video, click here.

HBA of Greenville Shred Day is February 22, compliments of Shred360

2012-02-01T05:56:00.000-08:00

HBA of Greenville members are invited to bring confidential documents, files and other sensitive information to your HBA Office for shredding. All information will be shredded on-site and members are welcomed to witness the destruction of all materials. Lunch will be served.

WHO: HBA of Greenville members wanting to safely dispose of sensitive materials.

* limit ten (10) boxes or bags per member company – paper materials only

WHAT: “Shred Day” – Shred360 will be providing COMPLIMENTARY on-site shredding of sensitive and personal information to help protect against identity theft.

* All material collected will be recycled.

WHEN: Wednesday, February 22, 2012, 12 p.m. until 2 p.m.

WHERE: HBA of Greenville Office located at 5 Creekside Park Court, Greenville, SC 29615

LUNCH: While you are here, enjoy lunch! Pizza and soft drinks will be served, compliments of your HBA of Greenville.

Shred, eat, and network. Another benefit of membership in your HBA of Greenville.

Members are limited to ten (10) bags/boxes/bins of materials to be shredded. This allows Shred360 to service each member in a timely fashion. Depending on volume of consumer material, Shred360 may make exceptions if there is adequate time to service a member with additional material. Otherwise, members with more than ten (10) bags/boxes/bins are welcome to set up an appointment for Shred360 to service their needs at a future time.

Please, no plastic, glass, trash or other non-paper contaminants will be accepted for shredding. Paperclips, staples, binders, and notebooks may be shreded. Also, floppy and compact disks also may be shreded.
Cardboard also may be shreded, but members will be asked to take their boxes and/or bags with them after their documents have been shredded.

Shred360 is not responsible for information that is abandoned or left unattended by a member at the event prior to the shredding process.

All materials presented to Shred360 will be recycled to assure total and permanent destruction of all materials as well as to provide a benefit to the environment. Shred360 is AAA-Certified onsite shredding company through the National Association for Information Destruction (NAID).

SCHBSIF Receives NAHB SAFE Award

2012-01-30T06:45:00.000-08:00

The South Carolina Home Builders Self Insurers Fund was named the National Association of Home Builders Associate Member Safety Program of the Year. The award will be presented on February 7 at the International Builders Show in Orlando, Florida.

Your Home Builders Association of Greenville endorses the SIF and recommends it to our members as a source for your Worker's Compensation Insurance needs.

The Safety Award For Excellence (SAFE) recognizes NAHB member companies, workers, and other individuals for the excellent safety programs that make them leaders in the residential construction industry. The NAHB annually recognizes those who have worked to achieve exemplary safety and health in residential construction. There were more than 40 applicants for SAFE awards in 2011.

The SCHBSIF assists its members in providing safe work places by conducting safety training that is specific to the home building industry. It also provides on-site safety surveys for its more than eight hundred members. These surveys assist home builders and subcontractors in identifying hazards and provide them with recommendations for corrective actions that reduce the potential for injuries in the workplace.

NAHB: Remodeling Market Index Rises to Five-Year High

2012-01-30T06:16:00.000-08:00

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.”

Waldrop Announces Promotions

2012-01-26T14:36:00.000-08:00

Waldrop Inc., the holding company for member company Waldrop Heating & Air Conditioning, announced the following promotions:

Johnny Leazer, Chief Financial Officer
Dennis Pruitt, Executive Vice President over commercial and industrial construction
Jamie Poterfield, Executive Vice President over solar and residential service

Waldrop, Inc., was founded in 1970. CEO Bill Caldwell stated that the promotions are the final steps of of the company's ownership succession plan.

NAHB: Growing Optimism for Housing Rings in the New Year

2012-01-26T12:30:00.001-08:00

The new year has opened with a sense of growing optimism for housing.

Existing home sales climbed 5% in December while inventories dropped more than 9% to a 6.2 months-supply, down from 7.2 in November, which should help reduce downward pressure on home prices and increase confidence in the housing sector.

Single-family housing starts rose 4.4% in December to a seasonally-adjusted annual rate of 470,000, their fastest pace since the end of the home buyer tax credit program in 2010. This was consistent with recent improvements in builder confidence, as indicated by the NAHB/Wells Fargo Housing Market Index (HMI), which rose to 25 in January ― its highest level since the summer of 2007.

From an unsustainably high level in November, starts in buildings with five housing units or more fell 28% in December to a rate of 164,000 units, which was still 69% above the pace of a year earlier.

Although overall construction hiring slowed somewhat in December, 2011 is expected to be the first year since 2006 in which total hires exceeded total job losses in the construction sector.

Consumer prices and producer prices ― including building materials ― were both flat at the end of 2011, after increases earlier in the year.

The NAHB/First American Improving Market Index (IMI) has grown to 76 markets, many of which rely on health care and educational institutions for a solid economic base. As construction and other sectors continue to improve in 2012, the list of cities on the IMI is expected to grow.

And housing has been receiving attention from the Federal Reserve, which remains concerned over foreclosures, prices and tight credit conditions, even as improvements in multifamily building provides a boost to some areas. Examining problems in the housing market ― including an excess supply of vacant homes, reduced availability of mortgage credit and an inefficient foreclosure process ― a Fed white paper concludes that restoring health to the housing market is necessary to promote a more robust economic recovery. While suggesting possible solutions, the paper indicates that there is no one policy that will accomplish this task.

FHFA: Mortgage Rates Fall Again in December

2012-01-26T08:02:00.000-08:00

The Federal Housing Finance Agency (FHFA) today reported that the National Average Contract Mortgage Rate for the Purchase of Previously Occupied Homes by Combined Lenders, used as an index in some ARM contracts, was 4.15 percent based on loans closed in December. This is a decrease of 0.07 percent from the previous month.

The average interest rate on conventional, 30-year, fixed-rate mortgage loans of $417,000 or less decreased 8 basis points to 4.32 percent in December. These rates are calculated from the FHFA’s Monthly Interest Rate Survey of purchase-money mortgages (see technical note). These results reflect loans closed during the December 23-30 period. Typically, the interest rate is determined 30 to 45 days before the loan is closed. Thus, the reported rates depict market conditions prevailing in mid- to late-November.

The contract rate on the composite of all mortgage loans (fixed- and adjustable-rate) was 4.13 percent in December, down 7 basis points from 4.20 percent in November. The effective interest rate, which reflects the amortization of initial fees and charges, was 4.24 percent in December, down 7 basis points from 4.31 percent in November.

This report contains no data on adjustable-rate mortgages due to insufficient sample size.

Initial fees and charges were 0.83 percent of the loan balance in December, up 0.05 percent from 0.78 in November. Thirty-two percent of the purchase-money mortgage loans originated in December were "no-point" mortgages, down two percent from the share in November. The average term was 28.8 years in December, up 0.3 years from 28.5 years in November. The average loan-to-price ratio in December was 78.7 percent, up 1.6 percent from 77.1 percent in November. The average loan amount was $221,700 in December, up $1,200 from $220,500 in November.

To view the history of the mortgage interest rates at FHFA.gov, click here.

HBASC takes active role in reversing anti-economic development decision by S.C. Supreme Court

2012-01-23T06:58:00.000-08:00

by Julian Barton, Director of Government Affairs
Home Builders Association of South Carolina

Late last summer the SC Supreme Court handed down a decision that sent shock waves through the development community in the SC League of Women Voters vs. Smith Land Company case. Under the Supreme Court’s Smith Land Company opinion many citizens may be in violation of the Pollution Control Act (PCA) and now every other citizen has the right to sue them, even though the case does not directly impact them.

The decision nullified sixty years of case law with two liberal interpretations of the law:

1. Zero Tolerance: The Court ruled that any discharge into the environment must have a permit – this case involved filling in .19 acre of wetlands on a .33 acre lot that was not required by state or federal law to have a permit. Based on this decision, any emission into the environment must have a permit. To meet the courts new direction, DHEC alone will need to double or triple their permitting departments!

2. Encourages Lawsuits: The Court also ruled that anyone could have “standing” in a case, and they did not have to be directly impacted by the case. In the past the individual filing the lawsuit had to be directly impacted to file suit. This now opens the door for a flood of litigation from every activist group in the state. Don’t like a Walmart in your city, don’t like electric generation plant, don’t like a business that is building on the water, then the new strategy is to bury them in lawsuits! The SC Supreme Court has set back economic development in our state by ten years!

If this case is allowed to stand, economic development in this state could come to a grinding halt as anti-economic development groups sue every business that wants to come to the state. Companies will locate in less litigious states! The court has given a big advantage to our competitors, Georgia and North Carolina, with this decision!

Senator Harvey Peeler and Representative Nelson Hardwick are expected to introduce legislation next week to reverse the onerous and dangerous SC Supreme Court decision. Passage of this bill will be a top priority for the business community this session!

Lawler bullish on home building for 2012

2012-01-23T06:03:00.000-08:00

Writing for Calculated Risk, housing economist Tom Lawler says he has become more optimistic about home building for 2012. In fact, Lawler is more optimistic than NAHB, a revers of his position last year, when he thought all of the housing economists were overly optimistic.

Read Lawler's report at calculatedriskblog.com by clicking here.

Charles Schwab: Housing Is Becoming "Local" Again

2012-01-23T05:58:00.000-08:00

According to Liz Ann Sonders, Chief Investment Strategist for Charles Schwab & Co., Inc., housing appears to have hit bottom and there are signs that it is beginning to improve again. More importantly, Sonders says, "housing is becoming 'local' again." In addition, Sonders points out that renters are driving the recovery, not buyers.

"During the real-estate bubble's inflation and subsequent bursting, housing could be analyzed nationally and somewhat monolithically. The rising tide was lifting all (house) boats, and when the tide went out, it took everything with it. But what we're beginning to see is a broadening of conditions, with a widening spread between the have and have-not regions of the country. Another theme of the real-estate recovery is rent versus own, with a sharp bias recently toward the former."

"There are many reasons for my budding optimism about housing:

Read Sonders' entire report on housing at schwab.com by clicking here.

HBA of Greenville forms Young Professionals Group

2012-01-20T12:45:00.000-08:00

Your HBA of Greenville has formed a Young ProfessionalsGroup. The purpose of the group is to connect young professionals involved in the home building industry with one another, as well as with seasoned professionals, to discuss topics related to the housing industry and our Upstate community.

HBAYP welcomes youngprofessionals age 40 and under to join us for our first meeting:

February 1, 2012
4 p.m. until 6 p.m.
The Great Oyster Bay House, 109 East Poinsett Street, Greer

Plan to spend time in a relaxedenvironment with a group of your peers and encourage your common professionalgrowth. "This event is an outlet fornetworking with individuals who share in similar challenges and businesspractices so that we may foster discussions towards defining the current needs facingthis generation of future leaders," Matt Vaughn, Chairman of HBAYP and Sales Manager of Homeowners Mortgage, said.

As an added plus, the member company that has the most employees attendwill win a complimentary block ad for a month on www.HBAofGreenville.com. Thank you for being a member of the HomeBuilders Association of Greenville.

S.C. Rep. Tim Scott speaks out on getting home builders back to work in Nations Building News

2012-01-20T12:42:00.000-08:00

Rep. Tim Scott, a Republican member of Congress from Charleston and Chairman of the freshman caucus, penned an opinion article in this week's issue of Nation's Building News, the official publication of NAHB. His op ed is reprinted below.

Rep. Tim Scott

It’s Time to Let Home Builders Create Jobs, Innovate and Grow

For the better part of the past year, House Republicans have been fighting against the current Administration’s regulatory onslaught, which affects millions of families nationwide.

In my hometown of North Charleston, S.C., we watched firsthand as the National Labor Relations Board sued the Boeing Corporation — our nation’s top exporter — for a hypothetical loss of jobs.

This bold attempt to protect the President’s union allies at the expense of American jobs was galling, especially at a time when unemployment in South Carolina was more than 10%.

While the NLRB case has been one of the most publicized examples of government overreach, the housing industry also knows all too well the power of burdensome and unnecessary government regulations.

The hard work put in by home builders not only allows many families the opportunity to realize the dream of owning a home, but is also an extremely important economic driver for our nation.

To emphasize that point, NAHB estimates three jobs are created for each new single-family home that is built.

Unfortunately, as a result of Dodd-Frank, multiple new burdensome regulations have been placed on the home building and mortgage industries.

Consequently, developers and builders are unable to complete projects because they can’t get a loan, and potential home buyers are not able to get a mortgage to purchase one.

To help shed light on this, the first stop on my regulations tour this past fall — designed to highlight how an overreaching federal government can affect every aspect of our lives — was an unfinished home.

When a developer can’t receive a loan because of unrealistic capital requirements now imposed on new acquisition, development and construction (AD&C) loans, they lose their ability not only to build, but to pay their workers.

I talked with one local home builder in my district who was turned down for a loan by 25 banks because of these new AD&C requirements.

This, in turn, leads to startling numbers — more than 1.4 million construction workers have been idled since 2006 in the housing industry alone, and 42% of the builders in the industry have gone out of business.

This is unacceptable — the government should be creating an environment conducive to growth, not one that kills jobs and small businesses.

Additionally, new mortgage requirements have made it harder for potential home buyers to buy.

One new requirement will force home buyers to make a downpayment equal to 20% of the selling price. If this regulation had been in effect in 2010, only 14% of home owners would have made enough of a downpayment to purchase their home.

While we all agree something needs to be done to safeguard against another housing bubble, creating mortgage limits so high that they are unattainable for many Americans is not the way do so.

My colleagues and I in the House have pushed to undo these harmful regulations. I have cosponsored two important pieces of legislation that will do so.

The Home Construction Lending Regulatory Improvement Act (HR 1755) eliminates the 100% capital requirement and uses market-based appraisals, rather than only “as completed” values.

HR 3461, the Financial Institutions Examination Fairness and Reform Act, addresses commercial loan concerns by restricting their ability to be classified as nonaccrual solely because the collateral value has deteriorated.

As we continue fighting against government overreach, the examples shown above are some of the key points to be made as to how harmful burdensome regulations can truly be.

We must give home builders, and all of our job creators, the stability and confidence to do what they do best — innovate and grow.

NAHB: Builder Confidence Rises for the Fourth Consecutive Month in January

2012-01-20T06:30:00.000-08:00

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/.

NAHB: Single-Family Housing Starts Rise 4.4 Percent in December

2012-01-20T06:00:00.000-08:00

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.

NAHB: Updated Publication Helps Builders Develop Powerful, Well-Organized Schedules

2012-01-20T05:30:00.000-08:00

A detailed, well-planned schedule is a builder’s best tool. Without one, a building project can end up in disarray and over budget. In Scheduling for Home Builders with Microsoft® Project, Third Edition, the latest release from BuilderBooks, the publishing arm of the National Association of Home Builders (NAHB), builders will benefit from expert advice on how to master this powerful scheduling program.

Written as an easy step-by-step guide to help builders navigate the scheduling process, the book demonstrates the methods for keeping projects on schedule and budget while coordinating resources, staff and materials. This updated edition includes a companion web page that offers practice materials and sample schedules to encourage readers to perform the skills presented in each chapter.

“Successful scheduling is a critical component of any home building process,” said NAHB Chairman Bob Nielsen, a home builder from Reno, Nev. “This new resource walks builders through the steps and provides them with helpful tips and examples of how to use Microsoft® Project to keep projects running smoothly.”

Authors David Marchman and Tulio Sulbaran, Ph.D. teach builders how to use Microsoft® Project 2010 to:

Record and communicate progress
Control financial, human and physical resources
Record expenditures and analyze cost details
Manage cash flow and tasks
Create a baseline schedule and updates

David Marchman is a retired professor of Construction Engineering Technology at the University of Southern Mississippi. Co-author Tulio Sulbaran, Ph.D. teaches estimating, scheduling project management and other construction courses at the School of Construction at the University of Southern Mississippi.

Scheduling for Home Builders with Microsoft® Project, Third Edition is available for purchase at www.BuilderBooks.com or by calling 800-223-2665. (ISBN 978-0-86718-678-9; Retail $39.95/NAHB Member $35.95).

NAHB: Effective Marketing on a Shoestring Budget Course is Now Online

2012-01-20T04:30:00.000-08:00

EDUCATION

“Effective Marketing on a Shoestring Budget” — one of the most popular Institute of Residential Marketing courses — is now available online from NAHB Education.

A hit among new home marketing professionals, the course can also benefit builders who have found themselves taking on more roles in their companies and in need of cost-effective marketing strategies.

Effective marketing can make the difference between an average sales year and a successful one. However, planning a marketing campaign can be daunting, especially when promotional dollars are scarce.

The course provides planning tools that work on anyone’s budget. Participants learn how to analyze target markets, identify competitive advantages, create accurate pro formas and monitor outcomes.

The course helps participants:

Understand the purpose and importance of cost-effective marketing and its role in the management and operation of the business
Explain their companies’ current market position, capabilities and goals
Match the appropriate product to a viable segment in the market
Determine how to cost effectively get ready for business
Select cost-effective Internet, marketing, advertising and public relations tactics for their target buyers
Choose from manageable and cost-effective alternatives for organizing and training a profitable sales team
Look for key success indicators and ways to quickly respond to common off-plan results

NAHB educational designation holders can earn six hours of continuing education credit by successfully completing “Effective Marketing on a Shoestring Budget” online.

In addition, the credit hours can help attendees earn the Master New Home Certified Sales Professional (Master CSP) designation.

To Register

For more information and to register, visit “Effective Marketing on a Shoestring Budget” on the NAHB website; or email the NAHB Professional Designation Help Line, or call 800-368-5242 x8154.

NAHB: Majority of OSHA's Most Frequently Cited Standards in 2011 Apply to Home Building

2012-01-20T04:00:00.000-08:00

SAFETY:

Each year, the Occupational Safety and Health Administration compiles an annual list of the top 10 most frequently cited standards across all industries. The majority of standards that OSHA has identified as the most frequently cited are directly applicable to the construction and residential home building industries.

Employers who were cited for violations in 2011 may have noticed that the penalties were higher than in the past. The average serious violation penalty for 2011 was $2,132 — more than double the average of $1,053 for 2010.

OSHA last year also issued 215 citations totaling at least $100,000 — up from the 164 in 2010.

OSHA’s top 10 most frequently cited standards across all industries in FY 2011 were:

Scaffolding, general requirements (29 CFR 1926.451)
Fall protection (29 CFR 1926.501)
Hazard communication standard (29 CFR 1910.1200)
Respiratory protection (29 CFR 1910.134)
Control of hazardous energy (lockout/tagout) (29 CFR 1910.147)
Electrical, wiring methods, components and equipment (29 CFR 1910.305)
Powered industrial trucks (29 CFR 1910.178)
Ladders (29 CFR 1926.1053)
Electrical systems design, general requirements (29 CFR 1910.303)
Machines, general requirements (29 CFR 1910.212)

Residential builders can take a few easy steps to reduce or eliminate the chance of being cited by OSHA.

During a Sept. 16, 2010 webinar on preparing for OSHA inspections, Brad Hammock of Jackson Lewis LLP reminded builders that they can take the following steps before a compliance safety and health officer (CSHO) ever sets foot on the job site.

Review their safety program
Understand any national and local emphasis programs
Develop procedures for an OSHA visit and train their employees in those procedures
Have records (300 Logs, training records, etc.) readily available and up-to-date
Make sure their workers are properly trained on the safety requirements of the job site

For more information on complying with OSHA regulations, visit www.nahb.org/SAFETY; or email Marcus Odorizzi at NAHB, or call him at 800-368-5242 x8590.

Homeowners avoid expense of remodeling under lead paint rule

2012-01-20T03:30:00.001-08:00

The costs of remodeling a home built before 1978 can increase by as much as 24 percent, the result of the U.S. Environmental Protection Agency's Lead: Renovation, Repair, and Painting rule, according to the NAHB.

"Remodelers are finding that conducting renovation work in older homes has become more expensive under the lead regulation and that homeowners are reluctant to pay the increased cots," said NAHB Remodelers Chairman Bob Peterson, CGR, CAPS, CGP, a remodeler from Fort Collins, Colo.

Responding to special questions in NAHB's quarterly Remodeling Market Index (RMI) survey, many remodelers said they had estimated the price of remodeling projects with and without the lead rule requirements. The percentage of price difference depended on the size of the remodeling project, with the smallest projects - less than $5,000 - experiencing the greatest cost increase at 24 percent. As the project sizes increased, the overall costs of applying the lead rule fell. At the high end, projects costing more than $100,000 had a 9 percent increase for lead rule requirements.

At least 65 percent of the remodeler respondents to the RMI survey reported that homeowners are taking actions to avoid the costs of the lead rule by attempting do-it-yourself work, looking for an uncertified contractor who would not comply with the lead rule, scaling back the size of planned remodeling projects, or deciding not to remodel at all.

"Remodelers want to protect vulnerable children from lead exposure, but we're seeing that homeowners do not want to pay the costs for complying with the lead regulation," said Peterson. "A huge part of the problem is that homeowners with no children do not see the need to pay this expense.

Under the lead paint regulation, contractors disturbing painted surfaces in pre-1978 homes must obtain training and certification, distribute the Renovate Right pamphlet to homeowners, contain dust during the renovation, use lead-safe work practices, clean up after the project, and maintain detailed records.

According to the American Housing Survey, from the Department of Housing and Urban Development and the Census Bureau, professional remodelers are hired to perform about 16.6 million projects per year in housing built before 1980. The vast majority of these projects - nearly 13 million - are small, priced under $5,000. This means that homeowners with small remodeling projects will experience the majority of lead rule expenses.

The total estimated costs for remodeling under the lead rule, including training, equipment, materials, and work hours, would reach as high as $10.5 billion per year if homeowners did not change their remodeling plans.

For more information on the lead rule, visit www.nahb.org/leadpaint or call NAHB at 800-368-5242.

NAHB: Housing Sector Finally Gaining Some Momentum

2012-01-20T03:30:00.000-08:00

EYE ON THE ECONOMY

2011 ended on a positive note with economic activity continuing to expand at a moderate rate and the housing sector finally gaining some positive momentum after bouncing along the bottom for most of the year.

Real growth of the gross domestic product was adjusted down to 1.8% for the third quarter, but it remained an improvement over growth of 0.4% in the first quarter and 1.3% in the second. Expectations are that statistics for the fourth quarter will show GDP growth strengthening further as businesses replenished inventories and the holidays boosted retail spending.

Despite concerns over the sovereign debt crisis in the Euro zone and slowing growth in emerging markets, particularly China, domestic conditions have shown improvement and the Federal Open Market Committee decided at its Dec. 13 meeting to maintain its current course.

After a mid-year slump, employment growth began to regain some momentum with the addition of 200,000 jobs and a decline in the unemployment rate to 8.5% in December, down 0.6 percentage points since August.

Employment growth is being supported by a steadily improving rate of job openings, which remained steady at 2.4% in October. The hiring rate in the construction sector was at a relatively high level of 5.8% in October, with construction job openings on pace to exceed total separations for the first time since 2006.

Largely positive housing news over the past few months suggests the recovery may finally be underway.

The number of metropolitan areas on the NAHB/First American Improving Market Index expanded to 76 in January, a net increase of 35, following similarly solid gains in November and December.

The NAHB/Wells Fargo Housing Market Index of builder confidence in the single-family market has also made steady gains over the past three months, rising seven points since September to a level of 21 in December. With the exception of a reading of 22 at the height of home buyer tax credit sales in the spring of 2010, the December level was the highest since August 2007.

Despite a dismal year for housing production — which is likely to prove to be the worst in the 52 years that similar data has been gathered — there was a solid increase in housing starts and building permits in November.

The gains were led by the multifamily sector, driven by rising demand for rental housing as recession-nipped household formation rates begin to show signs of recovery. With rents increasing and rental vacancy rates falling in recent months, starts in buildings with five or more apartments have grown strongly, recovering to nearly two-thirds of more normal levels.

Single-family production, on the other hand, saw little improvement through 2011 and remains at roughly one-third of more normal levels.

HBA of Greenville Announces Builder, Associate of the Year

2012-01-19T13:48:00.000-08:00

Builder of the Year Tom Dillard with President Robert Markel

GREENVILLE, SC – The Home Builders Association of Greenville has named Tom Dillard, CGP, president of Dillard-Jones Builders, its 2011 Builder of the Year, and Jason Freeman, CEO of J. Freeman & Associates, its Associate of the Year.

Sponsored by BB&T bank, the HBA Builder of the Year award recognizes a builder member who makes a commitment of time and talent through committee and program participation that helps strengthen the association for all its members, and represents the highest level of integrity and honesty in the home building industry. The Associate of the Year award recognizes an associate member who has made a significant contribution to the local home building industry through volunteerism, member recruitment, and sponsorships.

Tom Dillard founded Dillard-Jones Builders, LLC in 2004. A member of the Southern Living Custom Builder Program representing the national magazine in Greenville, SC and Asheville, NC, Dillard-Jones was named the Southern Living Custom Builder of the Year in 2011 and 2009 – the first homebuilder to win the prestigious national award twice. Dillard is a past president of the Home Builders Association of Greenville.

Jason Freemen is CEO of J. Freeman & Associates, an independent broker firm established in1999. A graduate of East Carolina University, Freeman is a member of the advisory boards of Bank of Travelers Rest, Fidelity, United Healthcare, and the Estate Planning Council of Greenville. He is an advisor to the board of the Home Builders Association of Greenville.

Other 2011 awards winners are: Committee Chairman of the Year, Richard Powers of Piedmont Natural Gas; Membership Award, Howard Cox of Home Builders Insurance LLC; Rookie of the Year, Matt Vaughn of Homeowners Mortgage; Spirit of the HBA, Deana Long of Builders First Source; and President’s Citations, Elizabeth Stronkowsy of North Main Building & Design, and Richard Powers of Piedmont Natural Gas.

The Home Builders Association of Greenville is a professional trade association of 400-member companies representing the home building and light commercial construction industry in Greenville and Pickens counties. For more information, call (864) 254-0133 or visit www.HBAofGreenville.com.

HBA of Spartanburg extends Invitation to HBA of Greenville Members for Three Continuing Education Courses.

2012-01-19T12:56:00.000-08:00

The HBA of Spartanburg has extended an invitation to the HBA of Greenville membership to participate in three continuing education courses to be held on Wednesday, February 1, 2012 for a reduced price. Continuing education credits for numerous designations are available.

These three classes are ALL NEW to the Spartanburg HBA:

Designing Dedicated Home Theatres
Media and Game Room Design
Income Tax Update/Employee vs. Independent Contractor Status.

For more information or to register for any of these classes, please email jenniferbradey@hbaspartanburg.com or call 864-583-5471.

All classes will be held at the HBA of Spartanburg office, located at 341 East Kennedy Street, Spartanburg, SC 29302.

Course descriptions:

“Designing Dedicated Home Theatres”
Instructor: Greg Olle of Digital Home Tech, LLC
8:00 AM – 9:00 AM
Cost: FREE to HBAGS members
$10 to other NAHB members
$25 to non-NAHB members

**1 hour Certified Master Builder/NAHB continuing ed credit, 1.0 AIA CEH, 1.0 CEU AIBD, 0.1 IDCEC CEU, 0.1 NARI CEU

What is a home theater? This may sound like a simple question, but is it? Participants in this course will come away with a very distinct definition of what a home theater is—and what it isn’t! Discussions will also include basic acoustical physics, common mistakes in design and construction, “points to remember” to achieve a solid, repeatable process, and spatial and usage considerations. This course will provide guidance related to what goes in the room—from equipment, to wall treatments, to lights—and how to analyze common problems associated with home theater design and construction. Additionally, attendees will learn how, when, and why to engage a trained electronic systems contractor (ESC) early in the design and build process.

“Media and Game Room Design”
Instructor: Greg Olle of Digital Home Tech, LLC
9:00 AM – 10:00 AM
Cost: FREE to HBAGS members
$10 to other NAHB members
$25 to non-NAHB members

**1 hour Certified Master Builder/NAHB continuing ed credit, 1.0 AIA CEH, 1.0 CEU AIBD, 0.1 IDCEC CEU, 0.1 NARI CEU

The demand for home entertainment spaces is growing at a rapid pace—don’t be uninformed and left behind! Participants in this course will be educated on the differences between media rooms and game rooms from a usage standpoint as well as specific design characteristics relative to equipment, furnishings, power requirements, ventilation, lighting, and acoustics. Attendees will also walk away with the knowledge of how and when to engage an electronics systems professional in the design and build process, assess common issues related to occupant comfort in media and game rooms and recognize essential timeline for engaging an electronic systems professional in the design and build process.

“Income Tax Update and Independent Contractor vs. Employee Status”
Instructors: Bruce Whelchel and Larry Finney of Greene Finney and Horton, CPAs
10:30 AM - 12:30 PM
Cost: $25 to HBAGS and other NAHB members
$50 to non-NAHB members

**Pending Certified Master Builder accreditation

Be prepared as you head into tax season. Learn tax changes for 2011 and items that are set to expire for 2011, and how they relate to your business. The CPA instructors will review tax best practices including not neglecting Choice of Entity, high audit areas such as your home office, and record keeping. Additionally, they’ll cover the hot button issue of employee status versus independent contractor. You’ll review a case study from the construction industry, common pitfalls, consequences, and when and how to correct the situation in your business.

NAHB Associate Vice Chairman Urges Associate Members to Weigh in on Bank Credit Tightening

2012-01-18T06:29:00.000-08:00

By Michael Kurpie, CGA, CGP
Director Trade Association Relations, ProBuild
Associate Vice Chairman, NAHB

As most, if not all, of you know NAHB has been working tirelessly with concerned lawmakers to address the AD&C lending crisis. Below is a summary of NAHB’s 3rd Q survey on AD&C financing. Associates, reach out and ask your Congressman to support improving lending conditions for home builders today!

Builders Report Banks Still Tightening Stance on AD&C Credit
A recent Fed survey of senior loan officers indicated that credit conditions in the real estate sector eased slightly in the third quarter -- but builders and developers aren't buying it. To the contrary, in NAHB's newly published survey for the third quarter of 2011, more of our builder/developer members reported that new AD&C loan availability is getting worse than reported it is getting better, and over half of them said they were putting land acquisition, development and single-family projects on hold until the financing climate improves. The most common ways that banks are tightening, according to builder/developers, are by reducing the amount they are willing to lend (cited by 77% of those who said credit availability had declined), lowering the allowable LTV ratio (cited by 75%), not making new AD&C loans (66%), and requiring personal guarantees or collateral not related to the project (63%).

Depending on the category (land acquisition, land development, single-family construction, and multifamily construction), between 20% and 33% of respondents to our survey reported that lenders were also tightening terms and conditions on outstanding production loans, with such action being most common on outstanding loans for single-family construction and least common on outstanding loans for multifamily condo and rental construction. Importantly, in at least 84% of the cases, the AD&C loans in question were performing before the lender's tightening action. NAHB's survey found that the most common ways lenders are tightening conditions on outstanding production loans are by requiring a partial down payment based on re-appraisal (as reported by 66% of respondents) and demanding additional assets as collateral (reported by 64%). Asked about the reasons lenders are citing for their tightening on both new and outstanding loans, builders were most often told that regulators are forcing this to happen. In fact, lenders gave this as a reason 68% of the time when tightening the availability of new AD&C credit, and half the time when tightening terms on outstanding AD&C loans.

Such results put a spotlight on the ongoing problems that home builders are confronting in obtaining and maintaining construction credit, and the alarming degree to which these obstacles are hampering a housing and economic recovery.

Buyer Beware: Companies that claim a partnership with the HBA may have deceptive intent

2012-01-17T13:52:00.000-08:00

From time-to-time, companies may contact you and tell you that are endorsed or affiliated in some way with your Home Builders Association. This may be true, but do not take a cold caller at their word. Check up on them before your do business with them.

You can see the companies that your HBA of Greenville endorses, as well as those that are endorsed by NAHB, by clicking on the links below.

HBA of Greenville member benefit programs
NAHB Members Advantage programs

Gingrich, Clyburn homeownership rally speeches posted

2012-01-17T11:37:00.000-08:00

Did you miss the Homeownership Works Rally? Wish you had been there to hear Speaker Newt Gingrich and Congressman Jim Clyburn talk about their positions on homeownership?

Both are now available for viewing thanks to the South Carolina REALTORS® association.

Click here to view Congressman Jim Clyburn.

Click here to view Speaker Newt Gingrich.

Harold Moore Builder Selected For Pavilion Project by Greenville Recreation District

2012-01-17T05:46:00.000-08:00

GREENVILLE, SC – Harold Moore Builder Inc. has been selected by the Greenville County Recreation District for additions and improvements to The Pavilion recreation complex in Taylors. The project includes installation of a vertical platform lift to assist disabled patrons in reaching the facility’s second floor.

“The Pavilion is a great venue for children and adults, and we’re delighted to be given the opportunity to give the facility greater accessibility for all visitors,” said Wayne Moore, president of Harold Moore Builder Inc.

Established in 1971, Harold Moore Builder, Inc. is a licensed General Contractor serving residential and commercial clients in the Upstate region of South Carolina. Services include all phases of residential and commercial construction, maintenance and repair from permitting to overall project management.For more information, contact Harold Moore Builder Inc. at (864) 269-4761 or online at www.haroldmoorebuilder.com.

Statewide poll shows overwhelming support for homeownership in South Carolina

2012-01-16T01:00:00.000-08:00

With the South Carolina GOP presidential primary less than two weeks away, presidential contenders should heed a new statewide poll showing that voters in the Palmetto State believe that owning a home remains an integral part of the American Dream and that policymakers need to take active steps to protect homeownership.

“The survey underscores that South Carolina voters believe homeownership is a core value that anchors the middle class and they oppose efforts to eliminate or reduce the mortgage interest deduction and to make it more difficult for creditworthy home buyers to obtain affordable financing,” said Hal Dillard, president of the Home Builders Association of Greenville and a home builder in Greenville County.

“South Carolina’s voters are sending a clear message that the opportunity to own a home remains a cherished ideal and the government has an important role to play to keep homeownership affordable for hard-working American families,” added Dillard. “That’s a message we hope candidates running at all levels of government this November will heed.”

The polling found that 98 percent of South Carolina home owners are happy with their decision to purchase a home and 79 percent of all voters believe that despite the risk of ups and downs in the housing market, owning a home is one of the best long-term investments they can make.

Moreover, 65 percent of the respondents said they would be less likely to vote for a candidate for Congress who proposed eliminating the mortgage interest deduction and 73 percent believe it is appropriate and reasonable for the federal government to provide tax incentives to promote homeownership.

These are among the key findings of a survey of likely South Carolina voters that was conducted on behalf of the National Association of Home Builders by Public Opinion Strategies of Alexandria, Va., and Lake Research Partners of Washington, D.C.

Among the other survey results:

99 percent of home owners said that it is important that they own their own home.
Homeownership and a retirement savings program are considered by voters to be their best investments.
Nearly three out of four voters who are not currently home owners (73 percent) said it was a goal of theirs to buy a home.
64 percent believe it is appropriate and reasonable for the federal government to help home buyers afford a long-term or 30-year fixed-rate mortgage.
68 percent of voters would oppose eliminating or reducing tax deductions such as the mortgage interest deduction in exchange for a lower federal income tax rate if it meant that their final tax bill would be higher.

South Carolina’s home builders, Realtors, business leaders and elected officials held a rally on the steps of the statehouse in Columbia on Jan. 12 to show their support for homeownership. More than 800 people came out. In addition, the rally was an opportunity for presidential hopefuls to voice their support for a continued federal role for housing and to offer their views on how to help prospective home buyers and boost the housing market and overall economy.

This statewide survey of 500 likely 2012 voters was conducted Jan. 2-5 by Public Opinion Strategies of Alexandria, Va., and Lake Research Partners of Washington, D.C. It has a margin of error of ±4.4 percent.

Read the complete results of the survey at HBAofGreenville.com by clicking here.

HBA program offers rebates to members when they buy building materials

2012-01-16T00:00:00.001-08:00

Did you know that 64 HBA builder members across the state received rebate checks from the HBA of South Carolina Rebate Program just for buying materials and equipment for the houses they build? Those 64 members received a total of $75,784.95 since the program was initiated? Four builders in Greenville have received $11,343 since the program's inception. One builder in the state has cashed checks for more than $17,000. Why aren't you taking advantage of this program? It is easy, and simply pays you back for buying specific products.

The take advantage of this great program, simply visit HBArebates.com by clicking here.

American Lumber Standard Committee Takes No Action on Proposed New Lumber Design Values

2012-01-16T00:00:00.000-08:00

According to NAHB, the American Lumber Standard Committee Board of Review did not take action on a proposal to reduce the design value of Southern Yellow Pine by as much as 30 percent. NAHB Chairman-Elect Barry Rutenberg testified on behalf of home builders and opposed the change in design values. However, reduction in the design values is still possible in the future and NAHB will continue to work on the issue.

UPDATE:
In minutes released on Jan. 11, the American Lumber Standard Committee (ALSC) announced its Board of Review's decision NOT to approve reductions in the design values for all grades and sizes of visually-inspected Southern Pine lumber as proposed by the Southern Pine Inspection Bureau (SPIB) and based solely on the testing of 2x4, No. 2 lumber. As previously reported, NAHB Chairman-Elect Barry Rutenberg requested that the ALSC Board not approve any change to the existing design values until SPIB has completed testing of additional grades and sizes of Southern Pine lumber as required by ASTM D1990, the industry standard for establishing design values for visually graded lumber.

The ALSC Board agreed that the proposed changes to the full spectrum of Southern Pine grades and sizes were not technically justified based on the limited testing that had been performed to date. Instead, the Board approved the proposed new values for only 2x4, No. 2 lumber and, in a supplemental ruling on Jan. 12, expanded that ruling to include all lower grades of that size. The Board also urged SPIB “to proceed with all deliberate haste” to complete the testing and analysis of additional grades and sizes of Southern Pine as required by ASTM D1990. Additionally, the Board recommended an effective date of June 1, 2012, for the new design values to “allow for their orderly implementation.” This recommendation was a direct response to concerns voiced by NAHB that immediate approval and implementation of the proposed changes would cause chaos in the marketplace and result in an unjustified spike in lumber prices.

In all, the ALSC's decision is good news for NAHB members, who might otherwise be facing immediate implementation of a full range of new design values 25%-30% lower than the existing ones. Instead, the full matrix of In-Grade tests can be expected to take place this summer, after which changes to the other grades and sizes of Southern Pine lumber may once again be proposed by SPIB.

NAHB has created a special page that's dedicated to providing our members with needed information and resources regarding this issue at www.nahb.org/spdv.

Housing takes the national stage at rally in Columbia today

2012-01-12T14:36:00.000-08:00

Newt Gingrich speaking at housing rally on State House steps

Housing took the national stage at the Homeownership Works Rally on the steps of the State House in Columbia today. Featured speakers included former U.S. Speaker of the House and Presidential candidate Newt Gingrich and U.S. Representative Jim Clyburn (D-SC) and former Congressman J.C. Watts (R-OK).

Speaker Gingrich "stole the show" by committing to protect the mortgage interest deduction and repeal Dodd-Frank, Sarbanes-Oxley, and "Obamacare." He also pledged to make tax exempt investments made by home builders and other businesses in equipment for their businesses. Gingrich, Clyburn, and Watts all signed NAHB's housing petition. You can read and sign the housing petition at rallyforhomeownership.com by clicking here.

Newt Gingrich signing the housing pledge.

Newt Gingrich greets a future Home Builder and voter.

Newt Gingrich leaves the rally with the national press in tow.

Update: NAHB's press release on the rally.

With the South Carolina GOP presidential primary just around the corner, the National Association of Home Builders (NAHB) and its local affiliates joined with politicians, consumer advocates, the Urban League, the NAACP, Realtors, the local Chamber of Commerce and others to elevate housing issues in the current election cycle held a special Rally for Homeownership today at the statehouse in Columbia, S.C.

Headliners at the event included former House Speaker Newt Gingrich, South Carolina State Treasurer Curtis Loftis and Rep. James Clyburn (D-S.C.), which demonstrates that support for homeownership extends across the political spectrum and is a true American ideal.

“At a time when homeownership is under attack, the rally will help draw public and media attention to the need to maintain homeownership as a national priority through federal policies that keep the mortgage interest deduction intact, ensure that affordable home mortgages and low downpayment options remain readily available, open the flow of credit to home buyers and small businesses and resolve the ongoing foreclosure crisis,” said NAHB Chairman-elect Barry Rutenberg, a home builder from Gainesville, Fla., who will also address rally participants.

South Carolina voters strongly support homeownership and oppose any efforts to undermine the mortgage interest deduction and to make it more difficult for qualified borrowers to obtain affordable home loans, according to a new statewide poll conducted on behalf of NAHB by Public Opinion Strategies of Alexandria, Va., and Lake Research Partners of Washington, D.C.

“In South Carolina, the Mortgage Interest Deduction and the ability to have access to affordable home loans are major drivers of our economy,” said Loftis. “As state treasurer, I am committed to ensuring that our tax code continues to support homeownership.”

“Homeownership provides the foundation for peace of mind, financial security and jobs in our community,” added Rep. Clyburn. “We cannot let the American Dream die.”

Concerned citizens who believe that homeownership must remain an important national policy are encouraged to turn out and take part in a petition drive that asks them to signify their support for keeping the mortgage interest deduction intact, increasing access to credit and mitigating the flow of foreclosures.

“Homeownership builds strong communities and home building creates jobs and provides a tax base that supports our local schools, police and firefighters,” said David Gully, president of the Home Builders Association of South Carolina. “We are here today to send a loud and clear message on the importance that South Carolina voters place on homeownership and to call on federal policymakers to refrain from taking steps that would weaken or eliminate our nation’s long-standing commitment to homeownership.”

The Rally for Homeownership in Columbia was sponsored by the National Association of Home Builders, the Home Builders Association of South Carolina and the Greater Columbia Home Builders Association; and co-sponsored by Central Carolina Realtors Association, Greater Columbia Chamber of Commerce, Greater Lexington Chamber of Commerce, Manufactured Housing Institute of South Carolina, Mortgage Lenders Association of Greater Columbia, Municipal Association of South Carolina, Small Business Chamber of Columbia, South Carolina Realtors and the South Carolina State Housing Finance & Development Authority.

Dillard-Jones Builders Announces 2012 Southern Living Showcase Home

2012-01-12T14:23:00.000-08:00

Dillard-Jones Builders has announced its 2012 Southern Living Showcase Home now under construction in The River Reserve Phase Four. Presented by River Reserve Holdings LLC and Builders First Source, the 2012 Showcase Home will open to the public for four weekends in May.

The 2012 Southern Living Showcase Home will be the fourth Southern Living tour home presented by Dillard-Jones Builders. The company’s 2008 Showcase Home in Tuscany Falls and the 2010 Showcase Home in Claremont won the Upstate homebuilder 2009 and 2011 Southern Living Builder of the Year honors. The 2009 award marked the first time a South Carolina builder had won the prestigious national award, and in 2011 Dillard-Jones became the first two-time winner in the 18-year history of the Southern Living Custom Builder Program. The company has a full-page Builder of the Year feature in the Dec. 2011 issue of Southern Living magazine, which is now on newsstands.

A Dillard-Jones custom design, the 2012 Southern Living Showcase Home is a basement plan featuring approximately 5,000 heated square feet and more than 1,200 square feet of outdoor living space that takes advantage of the river front lot. House features include a wine cellar with tasting room, indoor/outdoor bar with seating, master suite with coffee bar, sleeping porch, grilling deck, and outdoor living area with fireplace. Click here to follow the progress.

NAHB Analysis Debunks Misleading Stereotype of the Large Suburban Home

2012-01-12T12:13:00.000-08:00

A new research study from NAHB Economics finds there is considerably more to the story of the stereotypical large home in the suburbs than what appears in the misleading and misguided criticism often leveled against it.

The authors of the study, “The Geography of Home Size and Occupancy,” concede that there is an element of truth in the observation that owner-occupied homes are smaller in downtown areas and inner suburbs and larger in the outer suburbs.

But this characterization “overlooks how many people actually reside in these homes,” write NAHB economists Robert Dietz and Natalia Siniavskaia.

“That is, it is incorrect to claim that those larger homes mean more ‘housing space’ for people who live outside central cities,” they say, because those homes in outlying areas tend to be occupied by larger households.

Data from the biennial American Housing Survey for 2009 show that roughly three-fourths of the nation’s 76 million owner-occupied homes are located inside metropolitan areas.

Of the homes in metro areas, those in central cities account for a 22% share of the nation’s owned homes, or 17.2 million; those in urban or “inner” suburbs have a 36% share, or 27 mllion; and the homes in further out, less dense suburbs are 17% of the owned housing stock, or 13 million.

The remaining one-quarter of owner-occupied homes — or 18.9 million — are located outside metro areas.

Survey results also confirm, in part, the stereotype that owner-occupied homes grow in size as they push out from the central city to the suburbs and rural parts of metro areas.

Nationwide, the median square footage of an owner-occupied home is 1,800 square feet.

Homes in the central city are about 7% smaller on average, at 1,678 square feet.

The median size climbs to 1,800 square feet in urban suburbs and 1,900 square feet in the rural reaches of metro areas.

However, not only do homes grow in size when one moves away from the central city to suburbs, the NAHB economists say, “but households grow in size as well.”

The average number of people per home increases from 2.6 in central cities to 2.7 in urban and rural metro areas, the report finds.

“Furthermore, metropolitan families choosing larger houses outside of central cities are more likely to have school-age children,” the study says.

Families in the urban or rural suburbs of metro areas are likely to have more children than households in other areas.

Of the 26 million households nationwide with children under the age of 18, more than half reside in metropolitan suburbs — 39% in inner suburbs and 18% in rural suburbs. Only 22% of home owners with children live in the central cities.

Looking at the locations of homes as they are related to household size “challenges the stereotyped view of large homes in the suburbs," the study concludes.

Nationally, the median square footage per person in owner-occupied homes is 800 square feet, which is exactly the same size as for the urban and rural suburbs in metropolitan areas and areas outside metro areas.

Median square footage per person is somewhat smaller for central cities, but only by 4%.

Among other findings presented in the study:

A household with two persons is the most common household, accounting for 36%, or 27.6 million, of home owners. But its share of home owners is only 34% in central cities and urban suburbs.
The combination of larger household types — of three, four or more persons — adds up to a 42% share of home owners, or 32 million.
In metro areas, these larger households are much more commonly found outside of central cities.
For example, four-person households account for almost 18% and 17% of home owners in urban and rural suburbs of metro areas, respectively, while their share in central cities is only 14%.
Single-person households are more densely concentrated in central cities. They account for 22% of all home owners in the U.S., but their share in central city locations is close to 26%.
In rural parts of metro areas, single-persons are less than 18% of home owners.
In the Northeast, homes tend to be smaller and homes in the South tend to be larger than the national median.

In the Northeast, homes in central city areas have a median of 667 square feet per person, 15% below the national median of 767 square feet. Central city homes in the South have a median of 850 square feet per person, which is 27% higher than the national median.

These regional differences are partly explained by the age of the housing stock. The median age of an owner-occupied home in the Northeast is 51 years, compared to 31 years in the South. Newer homes are larger on average.

Builder: Greenville New Home Sales Continue to Rise, but More Slowly

2012-01-12T10:27:00.000-08:00

According to Builder magazine, new home sales continued to rise, but the pace of growth is slowing a bit. According to Builder's data, new home sales grew 21.3 percent in October, compared to the same month in 2010. That growth follows a 48.6 percent increase the month before.

New home sales made up 15.7 percent of all home sales in October, up 12.5 percent in October 2010.

You can review Builder's report for Greenville at builderonline.com by clicking here.

NAHB: NLRB right to unionize poster rule delayed until April 30

2012-01-12T07:20:00.000-08:00

The National Labor Relations Board has agreed to postpone the effective implementation date of its employee collective bargaining rights poster requirement — which includes a right to unionize notice — to April 30, 2012, depending upon the outcome of several legal challenges.

The requirement was to go in effect on Jan. 31, 2012, but at least three lawsuits have been filed seeking to block the posting requirement — including one by the U.S. Chamber of Commerce. A federal court in Washington, D.C., has delayed its implementation until after hearing legal challenges to the new rule.

The collective bargaining rights poster is available free for download on the NLRB website. If the rule is implemented, the poster must be hung in a conspicuous place with other workplace rights notices.

The rule will apply to all employers with a gross annual business volume of $500,000 or more, whether or not the employer operates a non-union shop or conducts business in a “right to work” state.

The NLRB has indicated that it will not conduct inspections to determine if the poster is in place, but it may take action if an unfair labor practices complaint is filed. The NLRB states on its website that it expects such complaints to be resolved if the employer subsequently agrees to hang the poster, but the agency could take further action if the employer refuses to hang the poster.

For more information, please visit https://www.nlrb.gov/faq/poster.

National Poll highlights importance of homeownership

2012-01-12T07:00:00.000-08:00

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.

Realtytrac: Foreclosures down 20 percent in Greenville

2012-01-12T06:08:00.000-08:00

According to Realtytrac, foreclosures fell in Greenville by 20 percent in 2011 compared with 2010. For the state, foreclosures were down 9 percent. Nationally, foreclosures fell 34 percent.

Realtytrac is a national real estate firm that specializes in data analysis on real estate transactions, including foreclsoures.

View statewide foreclosure activity in South Carolina at Realtytrac.com by clicking here.

South Carolina ranked third as a leading destination to relocate

2012-01-11T12:10:00.000-08:00

According to a report by Allied Van Lines, South Carolina is ranked third in the nation in net relocation gain. The state followed Texas and Florida in the study.

According to the report, South Carolina had a net gain of 489 families in 2011.

Read the full report at Allied.com by clicking here.

GSA Business: South Carolina Home Prices Up 2.8 Percent, Second Highest in Nation

2012-01-11T07:00:00.000-08:00

According to GSA Business, home prices rose in South Carolina in 2011 at the second highest rate in the nation. Including distressed sales, home prices rose 2.8 percent. Excluding distressed sales, home prices rose 4.9 percent.

Read the entire report at GSABusiness.com by clicking here.

Heirloom Stair and Iron Selected For City of Greenville Brown Street Project

2012-01-10T14:44:00.000-08:00

CAMPOBELLO, SC – The City of Greenville has selected Heirloom Stair & Iron for the design and fabrication of an archway structure for the Brown Street District in downtown Greenville. Installation of the structure, entitled ‘The Fabric of Hope’, will begin this week.

The archway will feature four distinct elements that capture the history and future of Greenville: the pedestals, the stanchions, the frame, and the banner. The pedestals, banner, and the core of the stanchions will be hand-forged steel. The brick-like texture on the stanchions will be a faux texture finish.

The structure’s smokestack stanchions were inspired by the textile mills of Greenville’s past, in particular the twin spires that stood watch over F.W. Poe Manufacturing for many decades. The archway’s pedestals will depict panels of woven metal that is reminiscent of a healthy textile industry that started Greenville’s economic engine and symbolic of the strong fabric of a community that continues to grow with a diversified economy.

The archway’s Art Nouveau style frame features ribbons of hope rising and waving from the stanchions, like the smoke that once billowed from the smokestacks they depict. The archway’s banner that announces the entrance to Brown Street was inspired by the sandstone sign that adorned the old Textile Hall on West Washington Street in downtown Greenville.

Heirloom Stair and Iron is a second-generation stair and iron manufacturer dedicated to creating fine, furniture-quality staircases and ironwork that will endure for a lifetime. Established in 1994, the Campobello-based company has won numerous international awards for outstanding craftsmanship from the National Ornamental & Miscellaneous Metals Association (NOMMA). For more information, call (864) 468-4940 or visit www.heirloomstairandiron.com.

NAHB: Federal Legislative Priorities for 2012

2012-01-10T11:19:00.000-08:00

You are a member of your Home Builders Association. Do you wonder what your association is doing for you in the Federal arena. 2012 is a critical year on the government scene for home builders. Your National Association of Home Builders has published is priorities for the year and they are listed and detailed below.

Summary

End the Housing Production Credit Crisis
Resolve the Faulty Appraisal Process
Protect the Mortgage Interest Deduction
Maintain Federal Support for Housing Finance System
Preserve Affordable Downpayments and Mortgages
Recognize Housing’s Important Role to the Economy
Defend the Low Income Housing Tax Credit

Read details about each issue below.

1. End the Housing Production Credit Crisis

It is absolutely vital to get credit flowing to the housing sector again. In the current regulatory climate, lenders have basically stopped making acquisition, development and construction (AD&C) loans that are necessary to allow builders to construct new homes. Credit is the lifeblood of housing. Home builders cannot keep their doors open and create jobs in their communities if they cannot get credit to build even pre-sold homes. And when lenders call in performing loans, everyone suffers. Workers get laid off, sound projects go uncompleted and banks take possession of unfinished property.

Federal bank regulators maintain that they are not encouraging institutions to stop making loans or to indiscriminately liquidate outstanding loans. However, NAHB members who are dealing with banks all across the country suggest that bank examiners in the field are adopting a significantly more aggressive stance on AD&C loans out of fear of the regulators coming into the banks and targeting them.

With inventories of new homes nearly depleted in many markets, builders should be gearing up to meet demand, create new jobs and keep the economic expansion moving forward. The only thing holding builders back in these locations are traditional lenders, who still aren’t providing the credit needed to renew the production process.

NAHB is urging Congress to support legislation introduced on May 5 by Reps. Gary Miller (R-Calif.) and Brad Miller (D-Calif.) that would help restore the flow of credit to the housing sector. H.R. 1755, the Home Construction Lending Regulatory Improvement Act of 2011, offers a legislative solution aimed at ending the freeze in housing production credit that has forced countless home building firms across the nation to shutter their doors, resulting in grave repercussions for job growth and the overall economy.

For more information, see the text of the legislation or read NAHB’s press release.

2. Resolve the Faulty Appraisal Process

Appraisals remain a major problem for the housing industry. The process has gone seriously wrong because some appraisers are using distressed properties – many of which have been neglected and are in poor physical condition – as comparables in assessing the value of brand new homes without accounting for major differences in condition and quality. Without such adjustments, the two are not comparable. Appraisers don’t typically enter these fixer-up homes; if they did, they would likely recognize the substantial differences between a foreclosure that lacks working appliances and a new home fitted with state-of-the-art appliances.

Too often, due to faulty appraisal practices, the builder’s house winds up getting appraised at less than the cost of construction. This is not only unfair and unreasonable, but it perpetuates the cycle of declining home values, drives more home owners underwater, negatively affects housing demand and acts as an obstacle to the recovery of the housing market. Major reforms in appraisal practices and oversight are needed to ensure that appraisals accurately reflect true market values and don’t contribute to price volatility.

For more information on the appraisal issue, see the Nov. 7 special edition of Nation's Building News .

3. Protect the Mortgage Interest Deduction

Americans overwhelmingly oppose any action by Congress to tamper with the mortgage interest deduction, but it could be eliminated or scaled back as federal lawmakers and the Administration are looking at tax increases in light of deficit concerns.

The consequences would be devastating for home owners, the housing market and the nation’s economy. Any attempts to tamper with the mortgage interest deduction would raise taxes on millions of home buyers and home owners and further depress home values, leaving more home owners with mortgages larger than the value of their property (“underwater”) and fueling even more foreclosures.

This cornerstone of American housing policy has been in place since the inception of the tax code nearly 100 years ago and supports the aspirations of families at all income levels to become home buyers. Nearly 37 million home owners directly benefit from the mortgage interest deduction and 70 percent of the benefit goes to middle-class home owners who make less than $200,000.

Many in Congress agree that tampering with the mortgage interest deduction would harm consumers and the economy. House resolution H. Res. 25 expresses a "sense of Congress that the current federal income tax deduction for interest paid on debt secured by a first or second home should not be further restricted.” The resolution, which has more than 180 cosponsors, shows that lawmakers are aware of the critical role that the MID plays in supporting homeownership in this country. NAHB is encouraging supporters to call the Capitol Switchboard at 202-224-3121 and urge their representatives to co-sponsor H. Res. 25.

To educate the public on the importance of preserving the mortgage interest deduction as a cornerstone of American housing policy, NAHB has created a consumer-oriented website, SaveMyMortgageInterestDeduction.com. The website contains fact sheets, frequently asked questions, statistics, and other important information to allow consumers to stay informed as debate on the mortgage interest deduction moves forward.

Most importantly, SaveMyMortgageInterestDeduction.com tells visitors how to remain engaged and make sure their opinions are heard on this important issue by connecting through NAHB’s Facebook and Twitter mortgage interest deduction communities and Eye on Housing blog.

4. Maintain Federal Support for Housing Finance System

Some members of Congress are actively pushing to abolish Fannie Mae and Freddie Mac and end the federal backstop for housing. Absent a federal role to help reassure mortgage market investors, the 30-year, fixed rate mortgage, the major housing finance tool for most Americans, would become increasingly scarce and much more costly, pricing many creditworthy borrowers out of the marketplace. Similarly, the availability of financing for multifamily housing would fall woefully short of the growing need.

In the wake of the financial crisis, the Federal Housing Administration, Fannie Mae and Freddie Mac have become the primary sources of financing for residential housing.

Even with the current high level of federal support, fewer mortgage products are available now than in the past, and these loans are being underwritten on much more stringent terms. As the private market assumes a greater role in the mortgage marketplace, maintaining an appropriate level of government support is essential to preserve financial stability, promote investor confidence and ensure liquidity and stability for homeownership and rental housing.

Complicating the situation, the federal government is looking to trim back the Federal Housing Administration’s participation in the market, which would further limit the availability of low downpayment mortgages.

Reps. Gary Miller (R-Calif.) and Carolyn McCarthy (D-N.Y.) on July 7 introduced H.R. 2413, the Secondary Market Facility for Residential Mortgages Act of 2011. The bill would stabilize housing and ensure liquidity in the mortgage market by maintaining a federal role in the U.S. housing finance system.
Similar bipartisan legislation (H.R. 1859) introduced this spring by Reps. John Campbell (R-Calif.) and Gary Peters (D-Mich.) would replace Fannie Mae and Freddie Mac with five private companies that would issue mortgage-backed securities and have government backing.

NAHB has presented lawmakers with a detailed proposal on restructuring the housing finance system to provide a consistent supply of mortgage liquidity and retain a federal backstop while limiting taxpayer exposure. Actively involved in this issue, the association continues to encourage all congressional efforts that seek an appropriate federal role to ensure a reliable and adequate flow of affordable housing credit.

Meanwhile, in an important victory for consumers, President Obama on Nov. 18 signed into law legislation passed by Congress to restore higher loan limits through 2013 for mortgages backed by the Federal Housing Administration. Restoring the higher FHA loan limits will help to stabilize home values, provide constancy while private investors re-enter the market and enable millions of creditworthy consumers to get home loans with the best mortgage rates and lowest fees and downpayment requirements.

For more information, click on the links below:

5. Preserve Affordable Downpayments and Mortgages

Six federal agencies are proposing a national Qualified Residential Mortgage (QRM) standard that would require a minimum 20 percent downpayment, which would keep homeownership out of reach of most first-time home buyers and middle-class households.

In addition, the QRM plan includes several other bad ideas that would seriously impact the average family’s ability to affordably obtain a home of their own. It would mandate restrictive debt-to-income ratios to qualify for a home loan and prevent 25 million current home owners from refinancing to lower mortgage rates because they lack the required 25 percent equity in their homes.

High downpayment and equity rules along with excessive underwriting requirements will not have a meaningful impact on default rates but it will tighten lending rules to the point where millions of creditworthy home buyers won’t be able to qualify for a mortgage. Responsible consumers who maintain good credit and seek safe loan products will be forced into more expensive mortgages under the terms of the proposed rule simply because they do not have 20 percent or more in downpayment or equity. In other words, the proposal unfortunately penalizes qualified, low-risk borrowers.

About 62 percent of first mortgages taken out to purchase a home last year would not have qualified under the proposed QRM standard because they had downpayments of less than 20 percent, according to LPS Applied Analytics, a mortgage data firm.

NAHB estimates that it would take 12 years for a typical family to save enough money for a 20 percent downpayment on a median-priced single-family home and other research has found it would take even longer. Borrowers unable to make a 20 percentdownpayment or to obtain FHA financing would be expected to pay a premium of up to two percentage points for a loan in the private market to offset the increased risk to lenders, according to NAHB economists. This would annually disqualify about 5 million potential home buyers, resulting in 250,000 fewer home purchases each year.

If buyers are denied access to affordable housing credit, the shadow inventory of foreclosed homes will not be drawn down, a housing recovery will not take hold and economic growth will stall.

Low-downpayment home loans have been originated safely for decades and did not cause the housing lending crisis. Subprime, no-documentation loans and other alternative mortgage products crashed the economy. The Administration and regulators must acknowledge this fact and offer a new plan that ensures a safe and healthy mortgage market and keeps homeownership affordable for working American families.

For more information on this topic, click on the links below:

6. Recognize Housing’s Important Role to the Economy
As policymakers begin debate on housing finance and budget issues that will impact job creation and future growth, they must understand the important role that housing plays in the U.S. economy. Considering the enormity of the total number of jobs attached to housing, a sector that accounts for 15 percent of the nation’s Gross Domestic Product, now is hardly the time to step back from the nation’s long-standing commitment to homeownership.

Building 100 average single-family homes generates more than 300 jobs and nearly $9 million in taxes and revenue for state, local and federal governments. Perhaps more than any other consumer product, housing is “Made in America.” New homes and apartments don’t arrive in this country on container ships from Europe or Asia, and most of the products used in home construction and remodeling are manufactured here in the United States.

More than 1.4 million residential construction jobs have been lost since April 2006. The pace of recovery is debatable, but based purely on population growth and demographics, the U.S. will need to build 17 million additional homes over the next decade.

The gap between current production and potential housing production is more than 1 million homes. That represents more than 3 million untapped American jobs. This gap is a result of multiple factors, including deferred household formations, a lack of construction financing and flawed appraisal practices under which new homes get compared to distressed and foreclosed properties, thereby distorting true market values.

There can be no economic recovery without a housing recovery. The path forward is perfectly clear: Congress needs to take actions to restore the health of the housing industry to put America back to work.

This is a sentiment shared by American voters as well. A recent NAHB survey of likely 2012 voters conducted by Public Opinion Strategies and Lake Research Partners found that despite the ups and downs of the housing market, home owners and non-owners alike consider owning a home essential to the American Dream and support politicians who embrace pro-housing policies and the mortgage interest deduction.

An overwhelming 75 percent of the respondents said that owning a home is worth the risk of the fluctuations in the market and 73 percent of those who do not own a home say it is a goal of theirs to eventually buy one. Equally telling, more than 70 percent of voters believe the federal government should provide tax incentives to promote homeownership and oppose proposals to eliminate the mortgage interest deduction -- a sentiment that cuts across party lines.

For more information on this topic, click on the following links:

7. Defend the Low Income Housing Tax Credit

As Congress looks at tax expenditures and all programs come under review, it is important to protect the Low Income Housing Tax Credit (LIHTC), the most successful affordable rental housing production program in U.S. history. Eliminating the LIHTC would bring production and rehabilitation of affordable rental housing to a standstill.

Since its inception, the program has made possible the production of more than 2 million affordable apartments. It creates approximately 95,000 new full-time jobs, adds $7.1 billion in income to the economy and generates approximately $2.8 billion in federal, state and local taxes each year. In recent years, the LIHTC has produced about 75,000 new apartment homes annually.

The demand for affordable housing is acute and far exceeds the ability of LIHTC projects to keep pace. The program is essential to address the shortage of affordable housing options in our cities and towns.

Setting the Record Straight About Housing

2012-01-10T11:08:00.000-08:00

By Earl McLeod

As the debate over tax reform and the regulatory structure of the housing finance system intensifies, misconceptions about housing and finance are proliferating. Following is the truth about some of the most widespread inaccuracies.

Misconception: Only the wealthy benefit from the mortgage interest deduction.

This pervasive fiction is a commonly cited reason for justifying elimination of the mortgage interest deduction.

Income tax deductions for mortgage interest and real estate taxes primarily benefit middle-class taxpayers with incomes between $50,000 and $200,000. And among first-time home buyers, 68 percent of households earn less than $80,000. First-time home buyers benefit most from the mortgage interest deduction because more of their mortgage payment is applied to interest.

Misconception: In the wake of the recession and housing market downturn, Americans have become disenchanted with homeownership and it is no longer a part of the American Dream.

Not so, according to a March 2011 study by the Pew Research Center. Among the more than 2,100 people surveyed, 81 percent agreed that homeownership is the best long-term investment a person can make. That sentiment even held true among those who said their homes lost value during the recession; 82 percent of that group indicated that homeownership is the best long-term investment a person can make.

Misconception: Eliminating government sponsored enterprises like Fannie Mae and Freddie Mac would have no effect on rental housing.

Investing in new and existing rental housing requires access to affordable financing. In the wake of the financial crisis, Fannie Mae and Freddie Mac, along with the Federal Housing Administration (FHA), have become the primary sources of financing for rental properties of all types. In considering whether the government should continue to guarantee mortgages through Fannie Mae and Freddie Mac or some other mechanism, policymakers should keep in mind their importance as a stable, long-term source of financing for rental as well as owner-occupied housing, according to the Joint Center for Housing Studies of Harvard University.

Misconception: Homeownership advocates say everyone should own a home.

Homeownership isn’t for everyone, but everyone should be able to choose a home that meets their needs, whether they rent or buy. And government policies, such as the proposed Qualified Residential Mortgage standard, should not limit homeownership opportunities unnecessarily.

Earl McLeod is Executive Director of the Greater Columbia Home Builders Association and a member of the South Carolina Home Builders Housing Hall of Fame.

Ten At the Top: Local Transportation Organizations Approve Collaboration Agreement

2012-01-10T10:43:00.000-08:00

Illustrating the importance of collaboration, partnerships and planning as we look toward future transportation needs in the Upstate, the two largest federally mandated transportation planning organizations in the region - the Greenville Pickens Area Transportation Study (GPATS) and the Spartanburg Area Transportation Study (SPATS) - in partnership with the Appalachian Council of Governments, have approved a Memorandum of Understanding that will allow staffs from these organizations to formally collaborate on planning and implementation of transportation projects.

The agreement is also expected to help entice the region for economic development, reduce costs while improving efficiencies, improve communications regarding plans, projects and programs and better position the region for being awarded regional transportation grants.

While agreements of this nature are common among neighboring transportation planning entities across the nation, this is the first such agreement in the Upstate.

"There are many commonalities between what we are doing and what is being done at GPATS," said Jim D'Amato, Transportation Planning Manager for SPATS. "This agreement will allow us to formally identify where we can work together and increase efficiencies across the Upstate."

The agreement was approved by the SPATS policy board at their meeting on November 14th and by the GPATS policy board during their meeting on January 9th. The Appalachian Council of Governments agreed to serve as a third partner because they serve as the transportation planning organization for the non-urban areas in Greenville, Spartanburg and Pickens counties as well as for Cherokee, Oconee and Anderson. The hope is that this agreement will eventually also include the Anderson transportation planning agency as well as the other councils of governments that support the transportation needs in the non-urban areas within Abbeville, Greenwood, Laurens and Union counties.

"By approving this MOU we have now sent a message that we are taking collaboration and regional planning for future transportation needs seriously here in the Upstate," said Rick Danner, Mayor of the City of Greer and a member of the GPATS Policy Board. "Hopefully this will help trigger greater coordination with state and federal authorities to ensure that they understand and support fulfilling the long-term transportation needs within this region."

In addition to the three partners, local cities and counties other organizations involved in the discussions that led to the Memorandum of Understanding include Greenlink, GSP Airport, SPARTA, Ten at the Top and Upstate Forever.

Addison Homes Earns A+ Rating from Better Business Bureau

2012-01-10T06:53:00.000-08:00

Addison Homes has earned an A+ rating from the Better Business Bureau.

The Greenville-based homebuilder, which has received BBB accreditation since March 2004, follows a strong code of ethics that’s easily in accordance with the Better Business Bureau’s vision to ensure an ethical marketplace founded on mutual trust between companies and consumers.

“We at Addison Homes are diligent in our efforts to build not only high-performance homes but also ethical relationships with each and every client, vendor and trade partner,” says Todd Usher, president of Addison Homes. “Our company is committed to following the Golden Rule, and the BBB’s A+ ranking confirms our business philosophy.”

BBB’s standards for accreditation require a company to build trust, advertise honestly, tell the truth, be transparent, honor promises, be responsive, safeguard privacy and embody integrity—all of which are standard operational procedures at Addison Homes.

“We are proud of our positive track record,” Usher says.

Todd Usher, President of Addison Homes, is Past President and 2009 Builder of the Year of the Home Builders Association of Greenville. Addison Homes builds all of its homes to rigorous ENERGY STAR® and EarthCraft House™ standards. As a leader in sustainable, high-performance building, Addison Homes has received numerous awards and recognition including the 2011 Green Building Advocate of the Year Award from the National Association of Home Builders; 2011 Certified Graduate Builder of the Year Award from NAHB; 2010 Safety Award for Excellence from NAHB/Builders Mutual Insurance Company; 2010 Finalist, America’s Best Builder Award from BUILDER magazine; 2008 Individual Environmental Stewardship Award from the Upstate Chapter of the US Green Building Council; Upstate Forever’s 2008 Sustainable Communities Champion; and 2007 EarthCraft House™ Regional Builder of the Year Award.

For more information, visit www.addison-homes.com.

IBHS Rates South Carolina Fifth Among Hurricane-Prone States

2012-01-10T06:31:00.000-08:00

The Insurance Institute for Business & Home Safety, a research arm of the insurance industry with a testing facility near Chester, SC, released its ratings for 18 hurricane-prone states along the Atlantic coast. The ratings evaluate the state's building code and its enforcement, code official certification and training, and contractor licensing. South Carolina had the fifth highest rating, behind Florida, Virginia, New Jersey, and Massachusetts.

View the ratings for each state at disastersafety.org by clicking here.

From the IBHS press release, the report is the first of its kind, state-by-state assessment of individual state performance in developing and promulgating a residential building code system, which uses modern building codes, coupled with strong enforcement related activities to enhance the protection of homes and families.

“The report goes beyond just evaluating each state’s code system,” said Julie Rochman, IBHS president and CEO. “The report offers each state the detailed information and tools it needs to improve its building code process to better protect its citizens. It also gives interested citizens useful information so that they can understand the need for, and demand, better building codes.”

The report combines IBHS’ engineering expertise and regulatory research to examine the three main elements of a state’s building code system:

Code adoption and enforcement – Statewide mandatory code adoption and enforcement are the primary elements to require that the minimum standards of codes are utilized.
Code official training and certification - Code official training and certification are part of the regulatory scheme to ensure that code officials are properly educated, trained and tested in order to correctly enforce building codes.
Licensing requirements for construction trades - Licensing requirements for construction trades ensure that contractors and subcontractors are familiar with the sections of code that impact them, that they demonstrate minimum competency in their trade, and stay current with code requirements.

“IBHS hopes to work with all of the states included in this report – as well as the other jurisdictions across the country – to improve building code regulatory systems. Strong, well enforced codes are essential to effectively strengthening homes, businesses and communities against hurricanes and many other hazards that threaten the U.S.,” Rochman said.

Residential Construction Employment Rose in 2011

2012-01-10T06:03:00.000-08:00

Source: Bureau of Labor and Statistics

For the first time since 2006, residential construction rose. Employment in residential construction rose 46,000 jobs in 2011, and currently stands at 2.18 million jobs lower than its peak in 2006. According to Calculated Risk, construction employment is still "mostly moving sideways, but at least it was not a drag on employment and GDP in 2011."

Read the full report at calcualtedriskblog.com by clicking here.

National Public Radio also provided good news about construction employment in a report they aired on January 6.

To read the report at NPR.org, click here.

Speaker Newt Gingrich will speak at the Homeownership Works Rally

2012-01-09T14:57:00.000-08:00

Speaker Newt Gingrich

Former Speaker and Presidential candidate Newt Gingrich will speak at the Homeownership Works Rally in Columbia this week. The rally is being planning by the National Association of Home Builders.

Homeownership Works Rally
Thursday, January 12, 12 noon
South Carolina State House, Columbia, SC
Presented by the National Association of Home Builders

The National Association of Home Builders is planning a rally at the South Carolina State House in January in to support the housing industry and homeownership in America—The American Dream. Every member of the Home Builders Association of Greenville is encouraged to travel to the State House in Columbia to participate.

The goal of this event is to publicize the state and national impact of homeownership and the housing industry. The Republican Presidential Preference Primary will take place less than two weeks after the rally. Numerous Republican candidates for President of the United States will be in South Carolina campaigning the week of the rally, and one or more are expected to attend the rally. They will be followed closely by the national media. This rally is an opportunity for Home Builders to help their National Association of Home Builders to showcase the importance of homeownership and new home construction to America.

The rally, which starts at 1 p.m., is preceded by lunch on the State House grounds at 12 noon.

Please let your HBA of Greenville know your intentions about attending this rally by registering. We will plan to arrange transportation either by bus or carpool, depending on the level of participation. Please register as early as possible so we can plan accordingly. Click here to register at HBAofGreenville.com to participate in the Homeownership Works Rally at the South Carolina State House.

C. Dan Joyner Passes Away

2012-01-08T17:03:00.000-08:00

It is with deep sadness that we report that C. Dan Joyner died Sunday, January 8. He had been hospitalized for about a week with heart complications. Please keep the Joyner family and the Prudential C. Dan Joyner team in your thoughts and prayers. We will post information about funeral arrangements when we know them.

UPDATE: Visitation will be held Tuesday, January 10, 2012, from 3:00 p.m. until 5:00 p.m. in the fellowship hall of First Baptist Church, Greenville. The funeral service will be held Thursday, January 12, 2012, at 3:00 p.m. in the church sanctuary. A private committal will be held following the service.

Memorials may be made to First Baptist Church - C. Dan Joyner Memorial Fund, 847 Cleveland Street, Greenville, SC 29601; or Furman University - C. Dan Joyner Athletic Scholarship Fund, 3300 Poinsett Highway, Greenville, SC 29613.

Online condolences: http://www.thomasmcafee.com/

HBASC: Update on the latest on the new South Carolina immigration law

2012-01-04T14:01:00.000-08:00

by Julian Barton, Government Affairs Director
Home Builders Association of South Carolina

Although a federal judge has blocked parts of South Carolina’s new immigration law, sections affecting businesses will still go into effect Jan. 1, 2012. U.S. District Judge Richard Gergel left intact a provision requiring employers to use the federal electronic database E-Verify to check workers’ eligibility.

Gergel’s ruling, though, barred the state from enforcing key parts of the law, including: having police check the immigration status of person stopped for even minor traffic offenses if they have “reasonable suspicion” the person is in the country illegally; arresting people on charges of harboring or transporting illegal immigrants; and requiring people to carry immigration documents.

Gergel also let stand provisions authorizing the Department of Public Safety to form a 10-officer immigration enforcement unit, and making it a crime for illegal immigrants to sell fake IDs.

Under the new law, businesses are required to enroll in the U.S. Department of Homeland Security’s E-Verify system “and to verify the legal status of all new employees through E-Verify within three business days.”

Failure to enroll in and use E-Verify to check out new hires will result in probation for the employer, either with suspension or revocation of the firm’s business licenses, according to the state Department of Labor, Licensing and Regulation. However, LLR has promised to work with employers the first six months of the year to help them in the transition to e-verify without fines.

In addition to completing and maintaining the federal employment eligibility verification form — commonly known as the Form I-9 — all employers must within three business days after hiring a new employee verify the individual’s work authorization through the E-Verify, a free Internet-based system maintained by the federal government. Employers may no longer confirm a new employee’s employment authorization with a driver’s license or state identification card!

The database generally provides results in three to five seconds, officials say. If the information matches, the employee is eligible to work in the United States. If there's a mismatch, E-Verify will alert the employer and the employee will be allowed to work while he or she resolves the problem. If no resolution results, the employer must rescind the job offer.

To enroll in E-Verify, go to www.dhs.gov/e-verify.

Fannie, Freddie to raise mortgage guarantee fees to fund payroll tax break

2012-01-03T07:31:00.000-08:00

Included in the two-month extension of the payroll tax break passed by Congress was an additional fee on mortgages guaranteed by agencies under the supervision of the Federal Housing Finance Agency.

The additional .1 percent fee will be added to the existing average .26 percent fee already collected on all new mortgages guaranteed by Fannie Mae and Freddie Mac. The new fee will take effect on April 1.

The fee increase is expected to add $15 to the monthly mortgage payment of a new $200,000 30-year mortgage, or $5,400 over the life of the loan. The new fee was part of a package that lowers the payroll tax on wage earners by 2 percentage points through February 28. The payroll tax break has been in effect since January 1, 2011. Congress is expected to further extend the payroll tax break through December 31, 2012.

LA Times: Record low mortgage rates have not rescued housing

2012-01-03T07:00:00.000-08:00

Real estate experts commenting for an article in the Los Angeles Times, including Freddie Mac and Mortgage Bankers Association executives, commented that historically low interest rates are not enough and that mortgage applications fell in 2011. Could it be the problem is in the big housing markets like Los Angeles?

Read the entire article in the LA Times by clicking here.

South Carolina Department of Commerce To 11 Accomplishments in 2011

2012-01-03T06:55:00.000-08:00

South Carolina Department of Commerce released its list of top 11 accomplishments for 2011:

Continental Tire the Americas - $500 million investment to generate 1,700 new jobs over the next 10 years.
TD Bank - $17 million investment creating 1,400 new jobs.
5-STAR USA - investing $25 million and creating more than 1,000 jobs over the next five years.
Bridgestone - $1.2 billion investment, which will result in more than 850 new jobs.
Amazon - investing $25 million and creating 750 jobs.
Nephron Pharmaceuticals Corporation’s - $313 million investment to generate 707 new jobs.
TIGHITCO Inc.- $30 million investment that will generate 350 new jobs.
ZF Group - investing an additional $80 million and adding 300 new jobs.
Bosch Rexroth Corporation - $80 million investment and creating 160 new jobs over the next five years.
Gestamp South Carolina - investing $51 million and creating 100 new jobs.
BMW added a $100 million investment and committed to create 100 new jobs.

Note that half of these announcements are in the Upstate.

HBA of Greenville Announces New President and Board of Directors

2011-12-29T13:00:00.000-08:00

HBA of Greenville Announces New President and Board of Directors

Greenville, SC – The Home Builders Association of Greenville announces the election of the Association’s 2012 Board of Directors and President, Hal Dillard of H. Dillard Company. All will be sworn in on January 19, 2012, at the association's Membership Meeting and Awards Luncheon.

“Our local association is committed to assisting the community in finding businesses that are reputable, local, and qualified to service all of their home-related needs in upstate South Carolina,” said Dillard.

Newly Elected 2012 Board of Director:

President, Hal Dillard, H. Dillard Co., Inc.

President Elect, Robert Markel, CGR, Hadrian Construction Company

Vice President, Rick Quinn, Quinn-Satterfield

President’s Appointee, Lou Hutchings, GBS Building Supply

Director, Bob Barreto, GBS Building Supply

Director, Susan Vernon, Dillard-Jones Builders

Director, Seabrook Marchant, The Marchant Company

Director, Deana Long, Builders First Source

Director, Indu Vakharia, Unique Builders

Director, Joe Hoover, Ryan Homes

Continuing members of the 2012 Board of Director:

Associate Vice-President, Scott Presley, Greer State Bank

Past President, Wayne Moore, Harold Moore Builder

Treasurer, Chuck Childress, BB&T

Secretary, Scott Lynch, Hollison Custom Homes

Director, Chris Bailey, Stoneledge Properties

Director, Michael Cox, Home Builders Insurance

Director, Jim Blume, First Savers Bank

Director, Alan Boone, Advanced Renovations

Director, Mike Freeman, GMB, Freewood Builders

Director, Larry Hazenfield, ProBuild

“We are excited to end 2011 on a high note and begin gearing up for a successful new year,” said Michael Dey, Executive Vice President of the HBA of Greenville. “I am confident that our Board of Directors, with the leadership of Hal Dillard, will lead our organization toward achieving our goals.”

Dillard begins his term as President after a successful year as President-Elect and several years of serving diligently on the Board of Directors.

Click here for a complete list of all HBA approved companies.

The Home Builders Association of Greenville is a professional trade association of 400-member companies representing the home building and light commercial construction industry in Greenville and Pickens counties.

Click here to read the press release on the HBA's new leadership team at GSABusiness.com.
Click here to read the press release on the HBA's new leadership team at SwampFox.ws.

Rethink Real Estate: 4 predictions about 2012 real estate market

2011-12-29T12:32:00.000-08:00

On the "mood of the market," Tara Nicholle-Nelson, a real estate author, analyst, and commentator, recently offered four predictions for the 2012 real estate market. Remember, real estate is local, and these predictions have a national perspective.

Even more foreclosures
REOs and short sales will become the new normal
So-called "smart cities" will do well (could Greenville be one of these?)
Consumers will get hopeless (a good thing?)

Read the details on Nelson's predictions at rethinkrealestate.com by clicking here.

NAHB: EPA will step up inspections, enforcement of Lead Paint Rule in 2012

2011-12-29T12:05:00.000-08:00

The Environmental Protection Agency is relying on tips and has begun stepping up its inspections and enforcement of the Lead: Renovation, Repair & Painting (RRP) rule, an associate director with the EPA’s Office of Enforcement and Compliance Assurance said at a free webinar hosted by the NAHB Remodelers on Dec. 14.

While only three lead-paint rule enforcement actions were taken during fiscal 2011, the EPA’s Don Lott said 2012 will be much busier. He noted that the agency already has conducted 1,000 compliance inspections, with more to follow.

Read the entire article at Nations Building News by clicking here.

Builder: Mungo Company named America's Best Builder

2011-12-29T01:00:00.000-08:00

The Mungo Company has been named 2012 America's Best Builder in the category with the highest number of closings. Four categories are honored in the America's Best Builder program.

Read the entire release on the America's Best Builder honor of the Mungo Company at mungo.com by clicking here.

Greenville News: Gordon Seay feature

2011-12-28T06:17:00.000-08:00

The Greenville News featured HBA member Gordon Seay in its Christmas Eve edition last week. Seay is the new president of the South Carolina Realtors Association. Gordon has held various posts with the HBA of Greenville, including service as an ex officio advisory member of the HBA Board of Directors. He currently serves on the HBA Legislative Committee.

Read the entire Greenville News article about Gordon Seay at SCRealtors.org by clicking here.

BuilderOnline: 81 percent of Americans Say Homeownership is Still Part of the American Dream

2011-12-28T06:09:00.000-08:00

A recent survey by Yahoo! Real Estate found that 81 percent of American still consider homeownership art of the American Dream. In addition , 74 percent consider buying a home a good investment.

Read the results of the Yahoo! survey at BuilderOnline.com by clicking here.

NewGeography: South Dominates U.S. Population Growth

2011-12-27T12:03:00.000-08:00

Population estimates released by the U.S. Census Bureau show that Southern states continue to dominate the country in terms of population and growth during the last year. According to New Geography, Southern states accounted for more than half of the population growth from 2000 to 2011 while having just one third of the country's total population. In fact, 95 percent of all migration between states resulted in migration to Southern states.

Read the entire report a NewGeography.com by clicking here.

ABC: Slow Growth in Commercial Construction in 2012

2011-12-27T11:48:00.000-08:00

Associated Builders and Contractors, a trade group representing commercial construction interests, predicts slow growth in commercial construction activity in 2012. Nonresidential construction spending is expect to increase 2.4 percent in 2012 following a decline of 2.4 percent in 2011.

Read the entire report at GSABusiness.com by clicking here.

Federal Reserve: South Carolina and Michigan have the best economic outlooks

2011-12-27T08:51:00.000-08:00

According to a report by the Federal Reserve Bank of Philadelphia, South Carolina is one of two states that are expected to a growth rate of 4.5 percent or better in the Fed's coincident index, or gross state product, in the first six months of 2012.

Both South Carolina and Michigan top the Fed's list of prospects for rapid growth in the next few months. Both state's have experienced significant improvements in employment.

The Greenville News reported on this story over the weekend. Read their report at greenvilleonline.com by clicking here.

NPR's Planet Money: 2 million construction jobs lost in recession; only 1 million coming back

2011-12-27T08:33:00.000-08:00

NPR's Planet Money, with the assistance of Economist Heidi Shierholz of the Economic Policy Institute, recently looked at the construction jobs lost over the last 4 years and estimated the number that will likely come back when the economy improves. Their finds are striking: 2 million jobs were lost, or a quarter of all construction jobs, and only half will come back. What is even more striking is that while construction makes up just 5.6 percent of total jobs in America, they make up more than 30 percent of the jobs lost.

Read the entire report at NPR.org's Planet Money blog by clicking here.

FHFA: house price index drops slightly; Greenville fairing better than state, nation

2011-12-22T14:58:00.000-08:00

U.S. house prices fell 0.2 percent on a seasonally adjusted basis from September to October of this year according to the Federal Housing Finance Agency’s monthly House Price Index. For the 12 months ending in October, U.S. prices fell 2.8 percent. The U.S. index is 19.2 percent below its April 2007 peak and roughly the same as the February 2004 index level.

The FHFA monthly index is calculated using purchase prices of houses backing mortgages that have been sold to or guaranteed by Fannie Mae or Freddie Mac.

Greenville Area Fairs Better Than State, Nation

For South Carolina, houses prices peaked in the first quarter of 2008 and have fallen 14.8 percent, dropping from 201.64 to 172.03. For the Greenville-Mauldin-Easley MSA, house prices peaked in the first quarter of 2009 and have fallen 6.8 percent, dropping from 171.41 to 159.8. Greenville house prices are at roughly the the fourth quarter 2006 level.

Below is the data for all MSAs in South Carolina from the peak in each market until the third quarter of 2011:

Anderson: down 14.5 percent
Charleston: down 18.6 percent
Columbia: down 7.2 percent
Greenville: down 6.8 percent
Myrtle Beach/Conway: down 28.5 percent
Rock Hill: down 13.1 percent
Spartanburg: down 10.2 percent
SC: down 14.8 percent
U.S.: down 19.2 percent

Click here to view the historical data for the U.S. House Price Index at FHFA.gov.

FHFA: mortgage rates rose slightly in November

2011-12-22T06:31:00.000-08:00

The Federal Housing Finance Agency (FHFA) this week reported that the National Average Contract Mortgage Rate for the Purchase of Previously Occupied Homes by Combined Lenders, used as an index in some ARM contracts, was 4.22 percent based on loans closed in November. This is an increase of 0.03 percent from the previous month.

The average interest rate on conventional, 30-year, fixed-rate mortgage loans of $417,000 or less increased 4 basis points to 4.40 percent in November. These rates are calculated from the FHFA’s Monthly Interest Rate Survey of purchase-money mortgages (see technical note). These results reflect loans closed during the November 23-30 period.

Typically, the interest rate is determined 30 to 45 days before the loan is closed. Thus, the reported rates depict market conditions prevailing in mid- to late-October. The contract rate on the composite of all mortgage loans (fixed- and adjustable-rate) was 4.20 percent in November, up 3 basis points from 4.17 percent in October. The effective interest rate, which reflects the amortization of initial fees and charges, was 4.31 percent in November, up 2 basis points from 4.29 percent in October.

This report contains no data on adjustable-rate mortgages due to insufficient sample size. Initial fees and charges were 0.78 percent of the loan balance in November, down 0.05 percent from 0.83 in October. Thirty-four percent of the purchase-money mortgage loans originated in November were "no-point" mortgages, up six percent from the share in October. The average term was 28.5 years in November, down 0.2 years from 28.7 years in October. The average loan-to-price ratio in November was 77.1 percent, down 1.3 percent from 78.4 percent in October. The average loan amount was $220,500 in November, up $2,000 from $218,500 in October.

SC jobless rate falls to 9.9%

2011-12-21T07:06:00.000-08:00

South Carolina’s jobless rate in November dropped to 9.9% as the number of workers grew by nearly 10,000, the S.C. Department of Employment and Workforce reported on Monday. Employment gains were led by the trade, transportation and utilities sector with an increase of more 8,800 workers during the month. About 7,100 of those workers were hired in retail trade, the agency said. Read the entire article from the Columbia Regional Business Report.

SC ranks 37th in quarterly growth

2011-12-21T06:59:00.000-08:00

The state of South Carolina showed relatively no change in average personal income growth for the third quarter of 2011 and ranked 37th in growth in the United States, according to estimates released by the U.S. Bureau of Economic Analysis on Monday. However, South Carolina exceeded the national average growth in seven of 24 business sectors that were analyzed. The largest growth was seen in health care and social assistance, where the state realized a 1.6% increase compared with the previous quarter. The national average is 1.4%. The state’s increase represents $158 million above second quarter earnings. Read the entire article from GSA Business.

HBA of Greenville Office Schedule for the Holidays

2011-12-20T11:52:00.000-08:00

Your HBA of Greenville staff and Board of Directors wishes each of our members and customers a happy Hanukkah, a merry Christmas, and a joyful and prosperous new year.

The HBA of Greenville office will be closed for the Christmas holiday:

Friday, December 23
Monday, December 26

The HBA of Greenville office will be closed for the New Years holiday:

Friday, December 30
Monday, January 2

If there is an emergency and you need to reach a member of our staff while the office is closed, please dial 864-735-7698.

NAHB: Homeownership Works Rally at the S.C. State House on January 12

2011-12-15T11:38:00.000-08:00

UPDATE: Speaker Newt Gingrich will appear at the Homeownership Works Rally.

The National Association of Home Builders is planning a rally at the South Carolina State House in January in to support the housing industry and homeownership in America—The American Dream. Every member of the Home Builders Association of Greenville is encouraged to travel to the State House in Columbia to participate.

Homeownership Works Rally
Thursday, January 12, 12 noon
South Carolina State House, Columbia, SC
Presented by the National Association of Home Builders

Federal Home Loan Bank Chief Business Officer will Speak at January Membership Meeting

2011-12-15T11:09:00.000-08:00

Make plans to attend the January Membership Meeting and Awards Luncheon. Our speaker will be Robert F. Dozier, Jr., Executive Vice President and Chief Business Officer of the Federal Home Loan Bank Atlanta.

Membership Meeting and Awards Luncheon
Thursday, January 19, 11:30 a.m.
TD Convention Center
Sponsor: Piedmont Natural Gas
Speaker: Robert F. Dozier, Jr., Federal Home Loan Bank Atlanta

Dozier will discuss trends in banking, particularly as they impact residential construction and development. Also on the agenda will be the installation of our 2012 Board of Directors and announcement and recognition of our 2011 Builder of the Year and Associate of the Year.

Click here to register for the January Membership Meeting and Awards Luncheon at HBAofGreenville.com.

Robert Dozier oversees FHLBank Atlanta’s Member Sales and Trading, Community Investment Services, Corporate Communications, and Government and Industry Relations functions. Prior to joining FHLBank Atlanta in 2011, Dozier was president and chief operating officer for Homeowners Mortgage Enterprises (HME), a subsidiary of CoastalStates Bank, where he began as a loan officer in 1992. Dozier also served on the board of directors for CoastalSouth Bancshares, the holding company of CoastalStates Bank, and the board of directors for FHLBank Atlanta from 2002 to 2004. He earned a Bachelor of Arts degree in political science from the University of South Carolina.

Girder Span Review is Creating Confusion in South Carolina

2011-12-13T08:01:00.000-08:00

The load-carry capacity of Southern Yellow Pine has come into question in recent weeks, and a regulatory body is currently reviewing a proposal to reduce the spanning capacity of Southern Yellow Pine by up to 39 percent.

Late last week the Chairman of the South Carolina Building Codes Council, Greg Parsons, PE, sent out an email that prematurely states that the spanning capacity of Southern Yellow Pine has already been reduced.

The Southern Pine Inspection Bureau is currently reviewing is 1991-published design values for Southern Yellow Pine and is expected to issue a ruling on January 5, 2012, as to the load carrying capacity of Southern Yellow Pine. However, no change in the rule will be valid in South Carolina until the South Carolina Building Code Council takes action.

Currently in South Carolina, the span tables that are approved and in force include those in the 2006 International Residential Code and as an alternative, an "Altnernative to IRC Table R503.5 (1)." Scroll to Page 14 for the table.

Wall Street Journal: Realtors to Restate Home Sale Estimates

2011-12-13T07:35:00.000-08:00

The National Association of Realtors announced this week that it will restate its estimates of existing home sales for the past four years. The group said its overstated estimate of existing home sales was caused by reliance on inaccurate data from local multiple listing services, and some sales being counted more than once.

Read the full report at the Wall Street Journal by clicking here.

UPDATE: CNBC weighs in, says numbers may be 20 percent high. Click here to read the CNBC.com report.
UPDATE: Fox Business News weighs. Click here to read the foxbusiness.com report.

Federal Reserve: Speculative Investors Played a Larger Role in Housing Bubble than Previously Thought

2011-12-13T07:25:00.000-08:00

A new federal report shows that speculative real estate investors played a larger role than originally thought in driving the housing bubble that led to record foreclosures and sent economies plummeting in Nevada, California, Arizona, Florida and other states. Researchers with the Federal Reserve Bank of New York found that investors who used low-down-payment, subprime credit to purchase multiple residential properties helped inflate home prices and are largely to blame for the recession.

Read the full report at the Huffington Post by clicking here.

NAHB: Flawed Appraisals Killing Home Sales, Hampering Housing Recovery

2011-12-09T07:22:00.001-08:00

One out of three builders are reporting losing signed sales contracts during the preceding six months because appraisals on their homes are less than the contract sales price, according to a recent nationwide survey conducted by the National Association of Home Builders (NAHB).

“The inappropriate use of distressed and foreclosed sales as comparables in determining new home values is needlessly driving down home prices, killing home sales, causing more workers to lose their jobs and delaying a housing and economic recovery,” said NAHB Chairman Bob Nielsen, a home builder from Reno, Nev.

Too often, due to faulty appraisal practices, brand new homes with sparkling appliances and interior upgrades get compared to a distressed property that has been sitting vacant and in disrepair. The result, in many cases has been that the new house winds up getting appraised at less than the cost of construction.

That is precisely what is occurring in today’s marketplace, according to the NAHB survey, where a full 60 percent of respondents reported they were experiencing appraisals coming in below their contract sales price.

Of those reporting that they had encountered this problem, 53 percent said the appraisal amount was actually less than the cost of building the home.

“This is not only unfair and unreasonable, but it perpetuates the cycle of declining home values, drives more home owners underwater, harms local economic activity and acts as an obstacle to the recovery of the housing market,” said Nielsen.

These appraisal practices are a major contributing factor to the current acquisition, development and construction (AD&C) lending crisis that has choked off credit for home builders and threatens to prolong the current housing downturn.

Falling appraised values for land and subdivisions under development have led some financial institutions to stop lending to developers and builders, to demand additional equity and even to call performing loans.

Since Sept. 2009, NAHB has held four appraisal summits in Washington with representatives of federal banking regulators, the appraisal industry, the housing finance industry, the real estate and housing sectors and others to find solutions that will allow appraisers to develop realistic valuations based on sales that are truly comparable.

The need to give top priority to addressing the complexity of property valuations in distressed markets and impediments to the flow of appropriate information on homes between appraisers and interested parties was discussed during the most recent summit, which occurred on Oct. 19.

“Major reforms in appraisal practices and oversight are needed to ensure that appraisals accurately reflect true market values and don’t contribute to price volatility or harm aspiring home owners and move-up buyers,” said Nielsen. “We will continue to work with all stakeholders in this debate to find solutions.”

With the decline in home prices appearing to have ended or be coming to an end in most parts of the country, resolving the appraisal and credit crunch issues remain a top priority for the association.

NAHB’s latest Improving Markets Index has shown modest signs of improvement in scattered housing markets where employment is gaining and distressed properties are not as numerous.

New-home construction stands ready to serve as an engine for economic recovery. Building 100 single-family homes creates more than 300 full-time jobs and provides $8.9 million in federal, state and local tax revenues.

“Resolving inappropriate appraisal practices and restoring the flow of credit to home builders will not only help to put America back to work, it will provide badly needed tax revenues that is essential for local governments to support schools, police and firefighters in communities across the land,” said Nielsen.

NAHB: Index Shows Continued Improvement for Apartment and Condominium Market

2011-12-09T07:21:00.001-08:00

The Multifamily Production Index (MPI), a leading indicator for the multifamily market, released by the National Association of Home Builders (NAHB) today showed continued improvement for the fifth consecutive quarter for the apartment and condominium housing market.

The MPI, which tracks the sentiment of builders and developers about the conditions of the multifamily market on a scale of 0 to 100, increased from 44.4 in the second quarter to 47.3 in the third quarter—the highest reading since the fourth quarter of 2005.

The index provides a composite measure of three key elements of the multifamily housing market: construction of low-rent units, market-rate rental units and “for-sale" units, or condominiums. The index and all of its components are scaled so that any number over 50 indicates that more respondents report conditions are improving than report conditions are getting worse. In the third quarter of 2011, the MPI component tracking builder and developer perceptions of market-rate rental properties recorded an all-time high of 63.8, while low-rent units remained steady at 50.1. For-sale units rose to 31.9, the highest recording since the second quarter of 2006.

“Multifamily construction continues to be the bright spot in the overall housing market,” said NAHB Chief Economist David Crowe. “While household formations have been below trend, those who are forming new households are becoming renters and this trend is likely to continue until consumers’ confidence returns.”

“Apartments and condominiums play an integral role in the overall housing market, now more than ever,” said Stillman Knight, chairman of NAHB’s Multifamily Council Board of Trustees and president and CEO of the Knight Company of Alexandria, Va. “The construction of these units not only brings jobs to local communities, but also provides an adequate stock of housing for areas with rapid population growth.”

Looking forward to the next six months, builder and developer expectations improved in the third quarter for market-rate rental properties and for-sale properties, up to 67.2 and 37.3, respectively. Expectations for low-rent units decreased slightly, to 50.2.

The Multifamily Vacancy Index (MVI), which measures the multifamily housing industry's perception of vacancies, decreased from 36.1 in the second quarter to 35.1 in the third quarter. With the MVI, lower numbers indicate fewer vacancies. The MVI has improved considerably since reaching a peak of 70.2 in the second quarter of 2009.

“NAHB’s Multifamily Production Index and Multifamily Vacancy Index have emerged as leading indicators for the multifamily market,” Crowe said. “For example, the MVI began to improve strongly in the third quarter of 2009, one quarter before a similar trend emerged in the Census Bureau’s rental vacancy rate for buildings with at least five apartments. Although the Census shows a slight surge in rental vacancy rates in the latest quarter, our survey suggests that this will only be a temporary setback.”

For data tables on the MPI and MVI, visit www.nahb.org/mms.

IBS: Special Session with Fed Chairman Ben Bernake Planned

2011-12-09T07:19:00.001-08:00

Attendees of the 2012 International Builders Show (IBS) will have the exclusive opportunity to hear Federal Reserve Chairman Ben Bernanke deliver remarks during a special session at the National Association of Home Builders’ (NAHB) board of directors meeting on Friday, February 10 at 12:30 pm.

The event, held in the Valencia Ballroom of the Orange County Convention Center, will have limited general seating available on a first-come, first-served basis.

WHEN:
Friday, Feb. 10, 2012
2:30 p.m. ET

WHERE:
Orange County Convention Center
Valencia Ballroom
Orlando, Fla.

TO ATTEND:
The special session with Chairman Bernanke is open to all registered attendees of the 2012 International Builders Show; however seating is limited and available on a first-come, first-served basis. To register for IBS, please visit www.BuildersShow.com/Register.

NAHB: Persistent Tight Lending Conditions for Home Builders Threaten Economic Recovery

2011-12-09T07:17:00.001-08:00

The commercial banks on which home builders and developers largely rely to finance their projects continued in this year’s third quarter to hold tight reins on acquisition, development and construction loans (AD&C), according to the most recent quarterly survey by NAHB’s Economics and Housing Policy Group on the availability of credit to the housing industry.

“Restoring the flow of credit to housing is critical for the industry to rebound, provide jobs and boost the economy,” said NAHB Chairman Bob Nielsen, a home builder from Reno, Nev.

More than half of the single-family builders and developers surveyed by NAHB indicated they had decided to put any new construction or land activity on hold until the financing climate improves.

This has broad repercussions for housing and the economy. With inventories of new homes nearly depleted in many markets, builders should be gearing up to meet demand, create new jobs and keep the expansion moving forward. Unfortunately, production remains stymied because builders in these locations cannot get credit from lending institutions to begin work on new homes.
In normal times, housing accounts for more than 17 percent of the nation’s gross domestic product. Constructing 100 new-homes generates more than 300 full-time jobs and $8.9 million in local, state and federal tax revenue that supports local schools and communities across the land.

“There can be no economic recovery without a housing recovery,” said Nielsen. “While NAHB’s Improving Market Index shows several housing markets around the nation are slowly starting to mend, a full-fledged revival will not take hold until we resolve the ongoing credit problems for home builders.”

NAHB has been working to obtain a legislative solution on Capitol Hill.

On May 5, Reps. Gary Miller (R-Calif.) and Brad Miller (D-N.C.) introduced H.R. 1755, the Home Construction Lending Regulatory Improvement Act of 2011, to address specific regulatory impediments to the flow of credit needed by home builders. That measure currently has 80 cosponsors, and NAHB is seeking a companion bill in the Senate.

Of the minority of builders who sought AD&C loans in the third quarter, few saw improvement in the lending climate over the previous quarter and a significant share saw conditions continue to deteriorate.

Forty-eight percent of those polled said they had looked for financing for single-family construction in the third quarter.

Only 8 percent said the availability of financing for single-family projects was getting better (compared to the previous quarter), 61 percent said it was unchanged and 31 percent reported it had worsened.

Survey respondents who indicated that lenders were clamping down further on credit availability in the third quarter noted several ways in which the tightening was occurring:

77 percent said lenders were reducing the amount they were willing to lend.
75 percent reported seeing the allowable loan-to-value ratio being lowered.
66 percent found lenders who were not making any new real estate loans.
63 percent said they encountered lenders who were requiring personal guarantees or collateral not related to the project.

Lenders most often told builders they were tightening on loans because the regulators were forcing them to do so.

Sixty-eight percent of those surveyed said they were given this reason for restrictions on new AD&C loans and 52 percent heard it was the reason for tightening on outstanding loans.

New HBA Member Service: Quarterly Economic Report

2011-12-05T12:59:00.001-08:00

Your HBA of Greenville has released its first quarterly economic report. Produced in partnership with RESH Marketing and sponsored by Clark's Services, the report will provide HBA members with up-to-date information about the Upstate housing market in an easy-to-consume five-minute video format.

The report is presented by Joseph VonNesson, PhD., CMP, Director of the Real Estate Center at the University of South Carolina Moore School of Business.

A key finding in this quarter's report is the relatively low component of new construction to existing construction in total home sales. At present, just 17 percent of total housing sales are new construction in Greenville, compared to 25 percent or more in other markets in South Carolina.

Watch the full Upstate Third Quarter 2011 Economic Report at HBAofGreenville.com by clicking here.

Clemson's Bruce Yandle: "no meaningful recovery in state unemployment until construction revives"

2011-12-01T11:58:00.001-08:00

In his monthly economic digest, Clemson University Economist Bruce Yandle analyzes unemployment statistics for South Carolina and the nation. His analysis points to the fall off of employment in the state since 2008 of 78,000 jobs, resulting in a statewide unemployment rate of 10.5 percent. He also analyzes unemployment in the construction sector, where employment fell 50,000 jobs from the peak.

"As can be seen, there is no recovery in that sector (construction). We can also see a net loss of 50,000 jobs from peak to present. Put another way, 50,000 of the 78,000 jobs lost in the state since the onset of the 2008-09 recession can be accounted for by construction losses. This suggests there will be no meaningful recovery in state employment until construction revives. The growth needed from other sectors to offset construction are just too large."

You can read Yandle's December 2011 Digest at Clemson.edu by clicking here.

National Flood Insurance Program extended until Dec. 16

2011-12-01T09:49:00.001-08:00

Congress reauthorized the National Flood Insurance Program until December 16. The extension was part of the same legislation that reauthorized the higher loan limits for FHA-backed mortgages.

NAHB is currently working with the National Association of Realtors and others to lobby Congress to reauthorize the flood insurance program for five years.

NLRB poster on collective bargaining must be posted by January 31

2011-12-01T08:13:00.001-08:00

Beginning on Jan. 31, 2012, all employers with more than $500,000 in annual gross business volume -- including home builders and remodelers -- will be required to post an official notice advising employees of their collective bargaining rights under the National Labor Relations Act. The law applies to all companies that meet the gross business volume threshold, including those who have non-union shops or whose business is located in a right-to-work state. According to the National Labor Relations Board (NLRB), the notice must be 11 inches by 17 inches and displayed in a conspicuous location where other workplace notices are regularly posted. Companies can download instructions and notification posters, available in more than 20 languages, free of charge from the NLRB website. A company that does not display the required poster as of Jan. 31, 2012 may be subject to an unfair labor practices complaint.

NAHB: FHA conforming loan limits restored for two years

2011-12-01T07:54:00.001-08:00

In an important victory for NAHB, the housing industry, and consumers, Congress voted to reinstate for another two years the higher conforming loan limits for the Federal Housing Administration that expired on Sept. 30. President Obama signed the measure into law on Nov. 18.

NAHB has led the industry charge to restore the higher loan limits, which is essential to help mend the struggling housing market, stabilize home values, provide constancy while private investors re-enter the market and ensure that millions of creditworthy home borrowers can access the best possible mortgage rates.

In the days and weeks leading up to the vote, NAHB launched a major grassroots push, urging our members to call, email and meet with their lawmakers on this issue. Your HBA of Greenville supported these efforts by holding meetings with Congressman Trey Gowdy and Jeff Duncan.

Greenville, Pickens, and Laurens counties were particularly impacted by the reduction in the conforming loan limits. In those counties the limits were reduced by nearly $25,000, while the limits remained the same in the rest of the Upstate. With this victory, the original loan limits have been restored.

Meals On Wheels: a community service opportunity

2011-12-01T07:04:00.001-08:00

Did you know that the HBA of Greenville has been a partner with Meals on Wheels since 1971? The HBA's relationship with Meals on Wheels was started by the HBA's Womens' Auxiliary, a group organized primarily by the wives of the Home Builders at that time. Since 1971 the HBA has supported Meals on Wheels with contributions and by sponsoring one and sometimes multiple routes.

Today the HBA continues to sponsor a route each Tuesday. Think you may want to help out? Our volunteers generally take the route about once every four to six weeks. It takes about two to three hours to pick up the meals at the Meals on Wheels office and distribute them to about 10 grateful recipients. If you are new to Meals on Wheels, you will need to participate in a short orientation session.

If you are willing to help the HBA with the Meals on Wheels route, please contact Michelle Kish at the HBA Office by calling 864-254-0133 or emailing mkish@hbaofgreenville.com.

President's Holiday Reception set for December 13

2011-12-01T07:00:00.001-08:00

The annual President's Holiday Reception is just around the corner:

President's Holiday Reception
Tuesday, December 13
5:30 p.m. until 8 p.m.
Home of Eric and Teresa Hedrick, 102 Cape Charles Drive, Greenville
No charge to participate compliments of our Presenting Partner, Piedmont Natural Gas, and Host Partner, Cornerstone Contractors

Parking is available at the HBA Office, 5 Creekside Park Court, Greenville, A shuttle will run regularly from the HBA Office to the site of the party.

The President's Holiday Reception is the annual holiday party for HBA of Greenville members to gather, celebrate the spirit of the holidays, and wish joy and cheer to one another before taking a break to spend time with our families.

The President's Holiday Reception also will be an opportunity for HBA members to celebrate a successful year with President Wayne Moore.

President Wayne Moore, along with our Presenting Partner, Piedmont Natural Gas, and Host Partner, Cornerstone Contractors, invite HBA members to celebrate the season at the President's Holiday Reception.

To RSVP for the President's Holiday Reception, click here.

Builder: "New Home Sales Suggest Climb Gaining Steam" in Greenville

2011-11-30T06:53:00.001-08:00

A recent report by Builder magazine show that sales of new homes increased year-over-year in August, as well as for July. The improvement suggests that "the market may be gaining momentum" in the Greenville-Mauldin-Easley MSA.

New home sales rose 41.6 percent in August, to 109, compared to 2011, and rose 32.3 percent in July, compared to the same month last year. For the 12 months ending in August 2011, 949 new homes were sold, up from an annualized 917 in July. However, out of all housing sales, new home sales made up just 14.5 percent of sales, although that is a rise from 11 percent in August 2010.

FHFA: Maximum Conforming Loan Limits to Remain Unchanged in 2012

2011-11-30T06:39:00.001-08:00

The Federal Housing Finance Agency (FHFA) announced last week that the maximum conforming loan limits for loans originated by Fannie Mae and Freddie Mac will remain unchanged in 2012. The current conforming loan limit for all counties in South Carolina is $417,000 for a single-family home, and $533,850 for a two-family home.

You can read the entire release at fhfa.gov by clicking here.

You can see the conforming loan limits for the entire country at fhfa.gov by clicking here.

Higher loan limits that were established for certain high cost counties, that were enacted in 2008, expired in September of this year. The loan higher loan limits for Federal Housing Authority (FHA) loans were recently restored by Congress. Greenville, Pickens, and Laurens counties were impacted by the lowered FHA loan limits. However, no South Carolina counties were impacted by the lowering of loan limits for Fannie Mae or Freddie Mac.

FHFA: U.S. House Prices Rise 0.2 Percent in Third Quarter 2011

2011-11-29T10:10:00.001-08:00

U.S. house prices rose in the third quarter of 2011 according to the Federal Housing Finance Agency’s (FHFA) seasonally adjusted purchase-only house price index (HPI). The HPI, calculated using home sales price information from Fannie Mae- and Freddie Mac-acquired mortgages, was 0.2 percent higher on a seasonally adjusted basis in the third quarter than in the second quarter. On an unadjusted basis, prices rose 0.7 percent during the quarter. Over the past year, seasonally adjusted home prices fell 3.7 percent from the third quarter of 2010 to the third quarter of 2011.

FHFA’s seasonally adjusted monthly index for September was up 0.9 percent from its August value. On a not-seasonally adjusted basis, prices were up 0.7 percent during the August to September period. Every census division but the East South Central division showed increases over the same period.

“In most regions of the country, third-quarter home values were relatively stable, even in some areas that experienced sharp price declines in preceding quarters,” said FHFA Principal Economist Andrew Leventis. “While most housing markets still face stiff headwinds, the fact that some beleaguered states—such as Idaho, Florida and Utah—saw quarterly price increases is a positive development.”

While the national, purchase-only house price index fell 3.7 percent from the third quarter of 2010 to the third quarter of 2011, prices of other goods and services rose 4.8 percent over the same period. Accordingly, the inflation-adjusted price of homes fell approximately 8.1 percent over the latest year.

FHFA’s all-transactions house price index, which includes data from mortgages used for both home purchases and refinancings, increased 0.9 percent in the latest quarter but is down 4.3 percent over the four-quarter period.

Significant Findings:

The seasonally adjusted purchase-only HPI declined in the third quarter in 21 states and the District of Columbia
Of the nine census divisions, the West North Central division experienced the strongest price gains in the latest quarter, posting a 1.5 percent price increase. Prices were weakest in the Pacific census division, where prices fell 0.5 percent.
As measured with purchase-only indexes for the 25 most populated metropolitan areas in the U.S., four-quarter price declines were greatest in the Phoenix-Mesa- Glendale, AZ area. That area saw price declines of 10.6 percent between the third quarters of 2010 and 2011. Prices held up best in the Warren-Troy-Farmington Hills, MI metropolitan division, where prices rose 4.0 percent over that period.

Highlights

This quarter’s Highlights article has two sections. The first section compares recent price trends reported in the purchase-only HPI against price changes computed for the “expandeddata” HPI. The latter, which was described in detail in the 2011Q2 HPI release, is estimated using data from FHA-endorsed mortgages as well as licensed information from county recorder offices. Both indexes show a 0.2 percent price gain in the latest quarter.

The second section analyzes the impact of the recent boom in commodities prices on home values. States and counties with significant mining and oil extraction industries generally experienced more stable house prices than other areas.

Background

FHFA’s purchase-only and all-transactions HPI track average house price changes in repeat sales or refinancings on the same single-family properties. The purchase-only index is based on more than 6 million repeat sales transactions, while the all-transactions index includes more than 43 million repeat transactions. Both indexes are based on data obtained from Fannie Mae and Freddie Mac for mortgages originated over the past 36 years.

FHFA analyzes the combined mortgage records of Fannie Mae and Freddie Mac, which form the nation’s largest database of conventional, conforming mortgage transactions. The conforming loan limit for mortgages purchased since the beginning of 2006 has been $417,000. Pursuant to the terms of various short-term congressional initiatives, loan limits for mortgages originated between July 1, 2007 and Sept. 30, 2011 were as high as $729,750 in certain high-cost areas in the contiguous United States. Mortgages originated after Sept. 30, 2011 are no longer subject to the terms of those initiatives and, under the formula established by the Housing and Economic Recovery Act of 2008, the highest loan limit for one-unit properties in the contiguous U.S. has fallen to $625,500.

You can review the entire report at FHFA.ORG by clicking here.

New addition to HBASC lobbying team

2011-11-28T12:29:00.001-08:00

HBASC has added to its lobbying team that includes Capital Consultants, a lobbying and public affairs firm based in Columbia and headed up by Richard Davis.

Davis announced today that former WIS-TV news anchor David Stanton has joined Capital Consultants. Stanton has moderated presidential debates for CNN and NBC and recently moderated the Republican Presidential debate with Brian Williams of NBC Nightly News. "He is very well regarded in the General Assembly," Davis said. Stanton will participate in all phases of lobbying and government affairs and will assist clients in media training in the off season, Davis said.

In addition to his history as a journalist, Stanton is an attorney and a graduate of Clemson University, University of Georgia, and University of South Carolina School of Law.

A home "Made in America" exclusively with American-made products?

2011-11-28T08:39:00.001-08:00

Home Builders, have you heard about this idea? What if you built your homes exclusively with American-made products. One builder in Montana is doing so, and he said it adds just one percent to the cost of the house. Many others are now giving it a try.

Interested? Click this link to watch a report on ABC News.

Magazine ranks South Carolina high in several categories

2011-11-28T07:12:00.001-08:00

South Carolina did extremely well on the latest 2011 Rankings Report from Business Facilities magazine, placing in the top ten in four categories. According to the magazine, South Carolina ranked:

3rd for Economic Growth Potential
5th for Best Business Climate
2nd in Automotive Manufacturing Strength
8th for both workforce training and low cost of labor

Source: Business Facilities, July/August 2011.

HBA President's Holiday Reception set for December 13

2011-11-22T14:00:00.001-08:00

The annual President's Holiday Reception is just around the corner:

President's Holiday Reception
Tuesday, December 13
5:30 p.m. until 8 p.m.
Home of Eric and Teresa Hedrick, 102 Cape Charles Drive, Greenville
No charge to participate compliments of our Presenting Partner, Piedmont Natural Gas, and Host Partner, Cornerstone Contractors

Greenville County to host public meeting on new Flood Insurance Rate Maps

2011-11-22T13:41:00.001-08:00

Greenville County announced a public meeting on the new Flood Insurance Rate Maps. Representatives from Greenville County, S.C. Department of Natural Resources, and the Federal Emergency Management Agency will be on hand to answer questions.

December 14, 2011
4 p.m. until 8 p.m.
Greenville County Square, Conference Room A, 301 University Ridge, Greenville SC

SC HELP Foreclosure Prevention Program Now Available Statewide

2011-11-22T10:00:00.000-08:00

Responsible, but struggling, homeowners in danger of losing their homes to foreclosure in South Carolina can apply for mortgage payment assistance through a program administered through the S.C. State Housing Finance and Development Authority. The program, the South Carolina Homeownership and Employment Lending Program (SC HELP) is making more than $300 million available in South Carolina to struggling homeowners.

SC HELP is designed to help homeowners who are falling behind on mortgage payments due to circumstances beyond their control. These may include unemployment, catastrophic illness, death of a spouse, and/or divorce. The South Carolina program receives its funding from the U.S. Department of the Treasury. “SC HELP could continue until 2017,” said Lisa A. Bussey, Legislative Outreach Manager of the state housing authority.

Bussey urges homeowners who are or may be falling behind in mortgage payments to apply to SC HELP as soon as they begin to experience trouble. “Our goal is to make certain no potential beneficiary goes un-served. If you think you may qualify, please apply.”

Homeowners can apply online at www.SCMortgageHelp.com. SC HELP officials emphasize that using the online application is the fastest and most efficient way to begin the process. Homeowners without internet access may call toll-free to 855-HELP-4-SC (855-435-7472) to begin the process.

Eligibility is determined on a case-by-case basis, but for those who qualify, assistance may include:

Monthly Payment Assistance - assisting homeowners with monthly payments for a defined period of time while they seek employment and a return to self-sustainability.
Direct Loan Assistance - for borrowers who have experienced a hardship but have regained the ability to pay. Funds can be used to pay arrearages in order to bring the loan current.
Property Disposition Assistance - in cases where the mortgage cannot be salvaged, funds may be provided to help transition families from homeownership to rental housing in cases where a short-sale or deed-in-lieu of foreclosure occurs.

Homeowners applying for Monthly Payment Assistance or Direct Loan Assistance must meet certain threshold requirements in order to apply for help:

Borrower or co-borrower must be able to document that the delinquency was a result of a hardship event beyond his/her control (i.e. unemployment, death of a spouse, catastrophic medical expenses, etc.)
Mortgage payments must have been made on time for 12 months preceding the hardship event with no more than two 30-day late occurrences
The property securing the mortgage must be owner-occupied as a full-time residence
Borrower must provide a financial hardship affidavit
Mortgage can be no more than 120 days delinquent
Loan servicer/investor must be willing to accept payments and provide required data and reporting

Assistance from SC HELP will be provided in the form of a non-recourse zero-percent interest, non-amortizing, forgivable loan secured by a subordinate lien on the subject property. The loan will be forgiven over a five-year period at a rate of 20% per year. If property is sold or refinanced prior to the loan termination date, funds will be recovered should sufficient equity be available from the transaction. The Property Disposition Assistance Program will provide a one time, lump sum grant to the recipient.

FHFA reports lower mortgage interest rates

2011-11-22T05:50:00.001-08:00

The Federal Housing Finance Agency today reported that the National Average Contract Mortgage Rate for the Purchase of Previously Occupied Homes by Combined Lenders, used as an index in some ARM contracts, was 4.19 percent based on loans closed in October. This is a decrease of 0.19 percent from the previous month.

The average interest rate on conventional, 30-year, fixed-rate mortgage loans of $417,000 or less decreased 20 basis points to 4.36 percent in October. These rates are calculated from the FHFA’s Monthly Interest Rate Survey of purchase-money mortgages. These results reflect loans closed during the October 25-31 period. Typically, the interest rate is determined 30 to 45 days before the loan is closed. Thus, the reported rates depict market conditions prevailing in mid- to late-September.

The contract rate on the composite of all mortgage loans (fixed- and adjustable-rate) was 4.17 percent in October, down 19 basis points from 4.36 percent in September. The effective interest rate, which reflects the amortization of initial fees and charges, was 4.29 percent in October, down 20 basis points from 4.49 percent in September.

This report contains no data on adjustable-rate mortgages due to insufficient sample size.

Initial fees and charges were 0.83 percent of the loan balance in October, down 0.11 percent from 0.94 in September. Twenty-eight percent of the purchase-money mortgage loans originated in October were "no-point" mortgages, down one percent from the share in September. The average term was 28.7 years in October, down 0.3 years from 29.0 years in September. The average loan-to-price ratio in October was 78.4 percent, up 0.1 percent from 78.3 percent in September. The average loan amount was $218,500 in October, down $2,200 from $220,700 in September.

To view the historical rate index for mortgage interest rates at the Federal Housing Finance Agency, click here.

HBASC announces 2012 Housing Advocacy Agenda

2011-11-17T14:14:00.001-08:00

Your Home Builders Association of South Carolina announced the Housing Advocacy Agenda for 2012 following its annual Legislative Conference in Columbia on November 9.

Multi-lot Discount: Allow for a grace period for annual re-certification to reduce risk of losing property tax discount, and increase from 5 to 8 the years the discount is available due to the economic downturn. Bill up in Senate.
Reverse Anti-Economic Development Case: SC Supreme Court decision said any discharge into the environment must be permitted, and anyone can have standing in the case. Ominous decision for land development & construction – permit nightmare! Bill to be introduced.
IECC 2009 Adoption: The PURC Advisory Committee is scheduled to move forward with recommendations to the General Assembly to adopt the IEEC 2009 energy code. Bill to be introduced.
Immigration Reform: There is new political pressure in our state due to concerns over the Hispanic growing population in the US. We would anticipate that immigration reform legislation may have to be introduced if the Court rules against the recently passed state law - similar to the Arizona law. Bill challenged in court!
Impact Fees: HBA has to defend the state impact fee law every year every year, as some areas of the state continue to push for school impact fees, and more liberal interpretation of our state’s impact fee law. Recent court action helped!
Comprehensive Tax Reform: General Assembly will possibly pursue a comprehensive review of taxes in 2012 based on some of the TRAC Committee recommendations with additions, deletions, and changes to the SC tax code. Tax reform bill likely be introduced.
Private Transfer Fees: A bill was passed last session to ban the use of private transfer fees in SC. Bill will be up for passage in Senate in 2012.
Labor Unions Expand Their Influence: Business interests are concerned that labor unions will attempt to undermine our right-to-work state by state and federal legislation.

Watch for Calls to Action from your Home Builders Association in support of these housing-related public policy issues.

HBA members save $500 when they buy a GM vehicle

2011-11-17T11:33:00.001-08:00

HBA members can save $500 when buying a vehicle from a GM dealer.

Click here to learn more about which vehicle qualify for the GM $500 discount.

To qualify, download a proof of membership form by clicking here. Take the form to your GM dealer. Negotiate your best deal, then present your membership form for an additional $500 off of your purchase.

Only vehicles purchased by the HBA member of record qualify for the discount. The program can not be combined with another private offer.

HBA members save money when buying a Lowe's

2011-11-17T11:30:00.001-08:00

Did you know HBA members who use their Lowe's Account Receivable account save five percent on their purchases? Plus, visit LowesForPros.com/NAHB and save an additional two percent through December 7, 2011.

Click here to visit LowesForPros.com/NAHB for details on savings for HBA members.

NAHB appeals elements of Lead Paint Rule to U.S. Court of Appeals

2011-11-17T08:21:00.001-08:00

Your National Association of Home Builders appealed the removal of the opt out provision of the Lead Paint Rule to the U.S. Court of Appeals for the District of Columbia. The hearing took place November 1.

A part of the argument was that the EPA exempted the largest part of home improvements from the Lead Paint Rule: the Do-It-Yourself "industry." Following the hearing, NAHB reported that relief from the Lead Paint Rule "may have to wait for a new Administration." Read why at Nations Building News by clicking here.

Did You Know: Household Income

2011-11-17T07:19:00.001-08:00

Did You Know?

According to Demo Memo, a blog about demographic trends, household income for dual-income couples rose 5 percent between 2000 and 2010, adjusted for inflation, while income for all households fell 7 percent during the same period.

Big Box Homes?

2011-11-17T07:12:00.001-08:00

BUILDER magazine featured super-size homes, and the builders who have profited from them, in an article on builderonline.com. From the article:

"...the big-box home trend was born as a way to compete with resales because it is rare to find large homes among resales and foreclosures, making their plus-size a product differentiator. Also, the larger homes can often pass muster with appraisers more easily, because the bigger the house, the smaller the square-foot price, and the higher-priced portions of the home, kitchens and bathrooms, are amortized over a larger number of square feet. The lower price per square foot helps the homes compete with the lower per-square-foot cost of distressed home sales."

Read the entire article at builderonline.com by clicking here.

South Carolina ranked sixth in domestic migration in 2010

2011-11-17T06:58:00.001-08:00

In a study by New Geography, South Carolina ranked sixth in net domestic migration in 2010, and has not ranked lower than seventh since 2001.

Read the report at newgeography.com by clicking here.

TD Bank will add 1,600 new jobs in South Carolina, 1,400 in Greenville

2011-11-16T07:27:00.001-08:00

TD Bank announced today that it will add 1,600 new jobs in South Carolina over the next five years, 1,400 of those jobs will be at the Greenville headquarters on Millennium Parkway. The other 200 positions will be added in Lexington.

TD also will spend $17.1 million to renovate the three buildings it owns on Millennium Parkway, fronting I-85. The buildings were completed in 2008 but have stood largely empty since their completion.

If you bought real estate in 2011, you could be eligible for a property tax reduction

2011-11-16T06:39:00.001-08:00

Did you buy property in 2011 that is assessed at the 6 percent assessment ratio? You may be eligible for a property tax discount.

The General Assembly enacted the Point of Sale Bill (H.3713) that among other things provides for a 25 percent reduction in the fair market value of property bought in 2011 and assessed at the 6 percent assessment ratio (commercial, rental, second homes).

In order to receive the reduction, the property owner must apply to the local tax assessor's office by January 30, 2012.

Greenville County: www.greenvillecounty.org or 864-467-7300
Pickens County: www.pickensassessor.org or 864-898-5872
Laurens County: www.laurenscountytaxes.com or 864-984-6546
Spartanburg County: www.spartanburgcounty.org or 864-487-2552
Anderson County: www.andersoncountysc.org or 864-260-4028
Oconee County: www.oconeesc.com or 864-638-4150
Greenwood County: www.co.greenwood.sc.us or 864-942-8537
Abbeville County: www.abbevillecountysc.com or 864-366-5312 ext. 102
Union County: www.countyofunion.org or 864-429-1600
Cherokee County: www.cherokeecountysctax.com or 864-487-2543