The Nail, March 2020 by Home Builders Association of Middle Tennessee (HBAMT)

March, 2020

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NAIL The official magazine of Home Builders Association of Middle Tennessee President David Hughes Vice President Steve Shalibo Secretary/Treasurer Nick Wisniewski Executive Vice President John Sheley Editor and Designer Jim Argo Staff Connie Nicley Hannah Garrard

THE NAIL is published monthly by the Home Builders Association of Middle Tennessee, a non-profit trade association dedicated to promoting the American dream of homeownership to all residents of Middle Tennessee. SUBMISSIONS: THE NAIL welcomes manuscripts and photos related to the Middle Tennessee housing industry for publication. Editor reserves the right to edit due to content and space limitations. POSTMASTER: Please send address changes to: HBAMT, 9007 Overlook Boulevard, Brentwood, TN 37027. Phone: (615) 377-1055.

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FEATURES 10 2020 HBAMT Home Show enjoys big crowds

The HBAMT Home Show opened last month at the Fairgrounds Nashville.

14 Showcase of New Homes 2020 dates announced

16 Designing homes for today’s aging population Aging in place features and designs are key to attracting today’s baby boomers.

DEPARTMENTS 6 News & Information

Advertise in

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17 SPIKE Club Report 18 March Calendar 18 Chapters and Councils

Visit http://www.hbamt.org/nail.html and click The NAIL Advertising Rates (pdf) to download rates and registration form Email jargo@hbamt.org for more details

ON THE COVER: The 2020 HBAMT Home Show opened last month and enjoyed big crowds during a busy three-day weekend. More details on page ten. March, 2020

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NEWS&INFO

2020 SHOWCASE HOME BUYERS GUIDE ADVERTISING The 2020 Showcase The Showcase of of New Homes Buyer’s New Buyer’s Guide (planbook)isisthe Guide (planbook) the official publication official publication of ofthe theevent eventand andwill willbe be

New home sales strong at start of 2020

ales of newly built, single-family homes rose 7.9% to a seasonally adjusted annual rate of 764,000 units in January, coming off an upward revision in December, according to newly released data by the U.S. Department of Housing and Urban Development and the U.S. Census Bureau. The monthly number is 18.6% higher than the January 2019 rate and the highest monthly sales pace since July 2007. “The January sales pace matches what builders are saying in NAHB surveys – builder confidence is strong and low interest rates have fueled single-family housing demand at the start of 2020,” said NAHB Chairman Dean Mon, a home builder and developer

Warm weather in many parts of the U.S. meant an early start to the home buying season and resulting in the need for additional inventory as the months’ supply has fallen to 5.1. 6 The NAIL

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from Shrewsbury, N.J. “Warm weather in many parts of the U.S. meant an early start to the home buying season,” said Jing Fu, NAHB director of forecasting and analysis. “Meanwhile, the months’ supply has fallen to 5.1, indicating additional housing inventory is needed.” A new home sale occurs when a sales contract is signed or a deposit is accepted. The home can be in any stage of construction: not yet started, under construction or completed. In addition to adjusting for seasonal effects, the January reading of 764,000 units is the number of homes that would sell if this pace continued for the next 12 months. Inventory fell to a 5.1 months’ supply, with 324,000 new single-family homes for sale, 6.6% lower than January 2019. Of that total, just 76,000 are completed, ready to occupy. The median sales price was $348,200. The median price of a new home sale a year earlier was $305,400. Regionally, new home sales are 30.3% higher in the Midwest, 23.5% higher in the West and 4.8% higher in the Northeast. Sales are down 4.4% in the South. n

available availabletotothe thegeneral generalpublic pubat a major consumer outlet lic at a major consumer outlet (Kroger, e.g.) shortly before (Kroger, e.g.) shortly before and and after the show. An attracafter the show. An attractive, tive, saddle-stitched magazine saddle-stitched magazine meameasuring 8 1/2” wide 11”the suring 8 1/2” wide by 11”by tall, tall, the planbook is an effective planbook is an effective marketmarketing and promotional ing and promotional tool with a tool with a shelf-life shelf-life lasting monthslasting after the months after the event is event is over. over.

ADVERTISING COPY DEADLINE: FRIDAY, APRIL 17, 2020 Advertising material should be delivered to: HBAMT attn: Jim Argo 9007 Overlook Boulevard, Brentwood, TN 37027 Phone: 615-377-1055 Fax 377-1077 Email: jargo@hbamt.net DOWNLOAD YOUR REGISTRATION FORM NOW AT: www.hbamt.org/showcase.html Please refer to the rates and specifications found on the registration form concerning your ad. Contact the HBAMT at 615-3771055 for additional information.

Solid start to year for housing starts, builder confidence solid

otal housing starts decreased 3.6% in January from an upwardly revised December reading to a seasonally adjusted annual rate of 1.57 million units, according to a report from the U.S. Housing and Urban Development and Commerce Department. Meanwhile, overall permits surged to a 13-year high. The January reading of 1.57 million starts is the number of housing units builders would begin if they kept this pace for the next 12 months. Within this overall number, single-family starts decreased 5.9% to a 1.01 million seasonally adjusted annual rate. The multifamily sector, which includes apartment buildings and condos, increased 0.7% to a 557,000 pace. “The housing recovery continues, as single-family housing starts have surpassed one million for the second consecutive month and multifamily production has been running above 500,000 for the same period,” said NAHB Chairman Dean Mon. “Meanwhile, builder confidence remains solid as demand continues to pick up.” “While the solid pace for residential construction continues, favorable weather conditions may have accelerated production in the winter months,” said Nanayakkara-Skillington, NAHB’s Assistant Vice President of Forecasting and Analysis. “At the same time, the growth in permits is a harbinger that that market will continue to move forward in the coming months, even as builders grapple with supply-side issues like excessive regulations, labor shortages and rising material costs.”

Regionally in January, combined singleand multifamily housing production increased 31.9% in the Northeast and 1.2% in the West. Starts fell 25.9% in the Midwest and 5.4% in the South. Overall permits, which are a harbinger of future housing production, increased 9.2% to a 1.55 million unit annualized rate in January. This is the highest level since March 2007. Single-family permits increased 6.4% to a 987,000 rate while multifamily permits increased 14.6% to a 564,000 pace. Looking at regional permit data, permits are 34.6% higher in the Northeast, 8.2% higher in the Midwest, 8.0% higher in the South and 3.1% higher in the West. Builder confidence solid in February Builder confidence in the market for newly-built single-family homes edged one point lower to 74 in February, according to the latest NAHB/Wells Fargo Housing Market Index (HMI) released today. The last three monthly readings mark the highest sentiment levels since December 2017. “Steady job growth, rising wages and low

Labor shortages remain top concern for builders

he cost and availability of labor continues to stand out as the most significant challenge that builders will face in 2020, according to a recent survey of members that ran in the monthly NAHB/Wells Fargo Housing Market Index (HMI). More than four out of five builders – 85% – expect to face serious challenges regarding the cost and availability of labor this year, down slightly from the 87% who rated this issue as their top concern in 2019.

Building material prices and the cost and availability of lots were tied as the No. 2 problem expect to face in 2020, with these issues cited by 66% of the survey respondents. All three of these supply-side issues have been a growing concern for builders over the past several years. To put it into perspective, in 2011, just 13% of builders cited labor issues as an important concern, with the rate steadily rising over the ensuing years before

interest rates are fueling demand but builders are still grappling with increasing construction and development costs,” said Dean Mon. “At a time when demand is on the rise, regulatory constraints along with a shortage of construction workers and a dearth of lots are hindering the production of affordable housing in local communities across the nation,” said NAHB Chief Economist Robert Dietz. “And while lower mortgage rates have improved housing affordability in recent months, accelerating price growth due to limited inventory may offset some of that effect.” Derived from a monthly survey that NAHB has been conducting for 30 years, the NAHB/ Wells Fargo HMI 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 for 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. The HMI index gauging current sales conditions fell one point to 80, the component measuring sales expectations in the next six months was one point lower at 79 and the gauge charting traffic of prospective buyers also decreased one point to 57. Looking at the three-month moving averages for regional HMI scores, the Northeast rose one point to 63, the Midwest increased one point to 67 and the South moved two points higher to 78. The West fell one point to 83. HMI tables can be found at nahb.org/hmi. More information on housing statistics is also available at housingeconomics.com. n

peaking at 87% last year. Likewise, the cost and availability of lots were reported as a significant problem by 21% of builders in 2011, and the percentage steadily increased over the following years, reaching a high of 66% in 2020. Meanwhile, building material prices was reported as a significant problem by 33% of builders in 2011. In the ensuing years, builder concerns regarding this issue ranged from 42% in 2015 to a peak of 87% in 2018. Rounding out the top five concerns for builders in 2020 are impact/hook-up/inspection or other fees (60%) and gridlock/uncertainty in Washington making buyers more cautious (56%). n March, 2020

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2020 Home Show at the Fairgrounds New Fairgrounds Nashville facilities great spot for big show.

he 2020 Home Show opened February 7 at the Fairgrounds Nashville new exposition facilities and drew impressive crowds throughout a busy three-day weekend. Attendees flocked to this year’s event where they found a wealth of home improvement products and services, helpful vendors, and educational seminars. New this year was the addition of the Battle of the Build high school competition during the show. See page 13 for more details. The 2021 Home Show is already signing up vendors for next year’s event. Call the HBAMT at (615) 377-1055 to request your 2021 Home Show registration form. Or visit the event’s page at www. hbamt.org for a downloadable one-page registration form. n

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The 1st Annual James Hardie Battle of the Build took place during this yearâ&#x20AC;&#x2122;s Home Show. Students from local high schools took part in the competition to build the most impressive backyard structure. Lebanon High School Construction Trades, sponsored by Landmark Homes and Fakes & Hooker Lumber, took home first place for their outdoor island. Lebanon High School Agricultural, sponsored by DR Horton, won second place with their chicken coop. And Spring Hill High School wrapped up third place with an array of outdoor living items including a functional cooker. Creek Wood High School, sponsored by Building Solutions by Spann and D & S Homebuilders, participated by missed the show due to inclimate weather. Congratulations to all the participants and sponsors and a big thanks to Duane Vanhook for coordinating the event! n

Lebanon High School Construction Trades with their first place award. Presented by Duane Vanhook.

Lebanon High School Agricultural, second place award winners.

Spring Hill High School, third place award winners.

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2020 Showcase of New Homes MAY 7-10 and MAY 14-17

he Showcase of New Homes is a scattered-site promotion of Homes open to all builder members of the HBAMT which takes place Thursday through Sunday for two weeks. Showcase builders receive many benefits which make the event a terrific opportunity: Effective marketing Because the Showcase is a scattered-site event, you can build or show the type of home you specialize in. Model homes are encouraged. Promotion Each participantâ&#x20AC;&#x2122;s entry fees are pooled to create a professional, comprehensive advertising campaign which gives you far more exposure than any individual investment you can make!

Low Entry Fees!

You can be a Showcase Builder for as low as $1,320! For that low fee you get multi-media advertising by HBAMT, three (3) yard and directional signs and a Showcase page in the Showcase Home Buyers Guide (plan book) which includes a color picture of your house, floor plan, description and directions. As past Showcase builders will tell you, the Home Buyers Guide is a marketing tool which promotes your work for months and years after the event.

2020 Showcase Entry Fee Schedule

To be included in the Showcase at a discount price, please follow this deadline schedule: Early Bird Deadlines March 20, 2020 10+ Homes March 20, 2020 5+ Homes March 20, 2020 1-4 Homes

$1,000 each $1,200 each $1,320 each

Regular Deadline April 3, 2020

All entries

$1,540 each

To qualify for the prices above, the following items must be returned to the HBAMT (see other side for details) by the listed date:

l l l l l

Entry form (reverse side) Check for entry fee(s) House floor plans Color photo of house elevation 75 word description of house

All entries which have not submitted pictures, plans & descriptions by June 5 may remain in the show but will be omitted from the Buyers Guide.

Showcase Your Home in Style! Sponsored by the Home Builders Association of Middle Tennessee

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2020 Showcase of New Homes Entry Form (one form per entry)

Attached is my CHECK, PLANS (color house picture and floor plans), DIRECTIONS and DESCRIPTIONS. I am completing all sections of this form to be applied to the rate checked below.

SEE RATES AND DEADLINES ON REVERSE SIDE Please note: Money, completed entry form, color photo and floor plans must be returned before final dates to qualify for rate checked.

SECTION I

Please type or print. Fill in the blanks. This form must be complete.

Name of Builder: ______________________________________________________________________________ Home Office Contact Name: _____________________________________________________________________ Contact’s Numbers - Office: _______________________________ Mobile: _______________________________ Contact’s Email address: ________________________________________________________________________ I do hereby certify that I am a Builder Member in good standing with HBAMT. Do hereby agree to abide by all the rules and regulations (available at HBAMT offices). I will put forth my best efforts to have this home completed by May 7, 2020.

Date: _______ Company: ____________________________ Signature: ________________________________

List following information exactly as you would like it to appear in the Home Buyers Guide SECTION II

HOUSE AMENITIES and FACTS (this section is important for both promotional and production purposes).

Name of House and/or Plan Name: ______________________________________ MLS Area #: ______________ Company Name: ______________________________________________________________________________ Model’s Phone: ________________________________ Agent’s Mobile: __________________________________ Street Address: ________________________________ City/Subdivision: _________________________________ Price of Home (as is with options) $_________________ (NOTE: INCLUDE LOT) Base Price of Home (starting at) $_________________ Total square footage: __________ Number Car Garage: ___________________ Marketed by: ________________________________________ Telephone: _______________________________ Please check: Is this a model home? Yes r No r Style of Home? Condo r Single Family r

Is this home furnished? Yes r No r

Judge home for awards? Yes r No r

On a separate sheet of paper, type a brief description (about 75 words) on the unusual and outstanding features of your home. This description will be printed in the Showcase Home Buyers Guide (plan book) as it is submitted! THIS IS IMPORTANT! Attach explicit directions to the house starting from a major highway (remember, you may know how to get there but the general public does not!) These directions will be included in the plan book. Entries which have not submitted plans, descriptions and directions by April 10, 2020 will be omitted from the Home Buyers Guide. Please return completed form to: HBAMT - Showcase l 9007 Overlook Blvd, Brentwood, TN 37027 Phone: (615) 377-1055 l Fax: (615) 377-1077 l Email: jargo@hbamt.net March, 2020

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Designing homes for today’s aging population

t 75 million strong, baby boomers have been a compelling force within the housing market. Given the sheer size of this demographic, as well as their wealth, this generation has the ability to dictate changes in the market — and hopefully will, as they continue to age and desire different features and amenities in their homes, to promote more inclusive design elements. According to the most recent Housing America’s Older Adults report by the Harvard Joint Center for Housing Studies, those 65 and older will jump from 26% of the population to 34% percent in 2038, with the fastest-growing age group among them in the 80+ category. However, the report notes that they’re less likely to move, with only 3.6% of individuals aged 65-79 — compared to 13.6%

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of those under 50 — relocating in 2017-2018, more than half of which relocated within the same county. This indicates a desire to age in place within their existing communities. But very few homes incorporate the necessary accessibil-

ity features for them to do so; according to the latest data available, just 3.5% of all U.S. homes included features such as grab-bars or handrails in the bathroom, extra-wide hallways and doors, and a bedroom on the entry level. So what can the home-building industry do to help increase the supply of necessary housing, not only for this demographic but future generations as well? Stephanie Firestone, MUP, with AARP shared insights with housing professionals in the Design, Remodeling and 55+ Housing Centrals at IBS to help improve the availability of accessible homes. Designs today are based on the sensory skills, size and capabilities of an able-bodied 170-pound, 5’9” male, Firestone shared. “Everyone else has to adapt,” she added. However,

SPIKE REPORT Davis Lamb 213 Jackson Downey 182 Tim Ferguson 177 Jim McLean 164

Fourteen SPIKES (in bold) increased their recruitment numbers last month. What is a SPIKE? SPIKES recruit new members and help the association retain members. Here is the latest SPIKE report as of January 31, 2020. Top 20 Big Spikes Jim Ford 912 Virgil Ray 821 Bill King 776 Mitzi Spann 775 Terry Cobb 570 Jim Fischer 567 John Whitaker 563 Trey Lewis 470 James Carbine 399 Jennifer Earnest 372 David Crane 327 Jimmy Franks 304 Kevin Hale 301 Reese Smith III 261 Steve Moody 219 Sonny Shackelford 219

by incorporating six basic principles, home builders can create more homes that account for a greater variety of functionality and amenities needed for older adults as well as their families. l Optimal balance: “Housing and

communities should fit people’s varying functional levels, providing an optimal balance between effort and support,” Firestone noted, to adapt for a range of people. Examples include no-step entries, pocket doors and grab bars.

l Expectations: “People have very few

choices and settle for what’s available,” Firestone observed. In addition to introducing more innovative designs, housing professionals also need to educate — both consumers and themselves — on what options are available to help raise consumer expectations. l Finance: “New financial models are

needed that view lifelong living environments as an asset,” Firestone said.

Life Spikes Tonya Esquibel 148 Randall Smith 147 Harry Johnson 146 Steve Cates 142 C.W. Bartlett 138 Kevin Woodward 137 Sam Carbine 136 David Hughes 129 Helmet Mundt 129 Jordan Clark 122 B.J. Hanson 121 Steve Hewlett 119 Carmen Ryan 119 John Zelenak 116 Dave McGowan 109 Edsel Charles 107 Michael Dillon 107 Justin Hicks 107 Wiggs Thompson 104 Duane Vanhook 101 Nick Wisniewski 96 Joe Morgan 91 Jeff Zeitlin 87 Christina Cunningham 84 Keith Porterfield 77 Erin Richardson 77 Steve Shalibo 77

l Planning: Municipal planning needs

to take residents’ needs and abilities into account, Firestone shared, including social cohesion to ensure older residents are able to actively participate. Examples include places in which residents can work, live and play — an amenity desired by baby boomers and millennials alike — and ensuring there are medical facilities nearby. l Collaboration: “Cross-sector collabora-

tion is critical to integrating the concept of optimal balance across a lifespan,” Firestone noted. It’s also an opportunity to retrofit and see what existing components already exist within a community to help address health and wellness for residents.

Beth Sturm 74 Lori Fisk-Conners 70 Jeff Slusher 70 Sam Henley 69 Jody Derrick 68 Ron Schroeder 66 Eugene James 63 Don Bruce 62 Brandon Rickman 62 Marty Maitland 60 Andrew Neuman 56 John Broderick 55 Derenda Sircy 52 John Ganschow 49 Rick Olszewski 47 Phillip Smith 46 Ashley Crews 45 Ricky Scott 45 Bryan Edwards 44 Christina James 41 Frank Jones 36 Frank Tyree 31 Don Mahone 30 Joe Dalton 26 Spikes Jeffrey Caruth 23 Perry Pratt 19 Ryan Meade 17 Nicole Bird 15 Tammy Chambers 12 Eric DeBerry 12 Rob Pease 12

from older adults, which allows them to spend more time together. College towns are becoming increasingly attractive destinations for boomer buyers for similar reasons, including conveniences such as shopping, entertainment and education opportunities, and unique amenities such as lectures, concerts and college sporting events. Interested in learning more about building for consumers aged 55 or older? Check out resources from AARP and NAHB’s 55+ Housing Industry Council. n

l Multigenerational: In addition to social

cohesion in the planning process to ensure multigenerational interaction, there also needs to be a concerted effort to combat ageism, Firestone noted, including “using positive language regarding all ages.” One way in which multigenerational living is already coming into play in tight housing markets is college students renting rooms March, 2020

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MARCH CALENDAR Sunday

Monday

Tuesday

Wednesday

Saturday

Sales & Marketing Council meeting

Friday

A Taste of Torciano! Wine Tasting Event

Thursday

Wilson County Chapter meeting

17 Dickson County Chapter meeting

Metro/Nashville Chapter meeting

CHAPTERS & COUNCILS CHAPTERS CHEATHAM COUNTY CHAPTER Chapter President - Roy Miles Cheatham County Chapter details are being planned. Next meeting: to be announced. Chapter RSVP Line: 615/377-9651, ext. 310 DICKSON COUNTY CHAPTER Chapter President - Mark Denney The Dickson County Chapter meets on the third Tuesday of the month, 12:00 p.m. at Coltonâ&#x20AC;&#x2122;s Steakhouse in Dickson. Next meeting: Tuesday, March 17. Topic: to be announced. Price: FREE, lunch dutch treat. Chapter RSVP Line: 615/377-9651, ext. 264 MAURY COUNTY CHAPTER Maury County Chapter details are currently being planned. Next meeting: to be announced. Chapter RSVP line: 615-377-9651, ext. 312; for callers outside the 615 area code, 1-800-571-9995, ext. 312 METRO/NASHVILLE CHAPTER Chapter President - Tonya Esquibel The Metro/Nashville Chapter meets on the fourth Monday of the month, 11:30 a.m. at the HBAMT offices. Next meeting: Thursday, March 26. Topic: to be announced. Builders Free pending sponsorship. Price: $10 per person with RSVP ($20 w/o RSVP). Chapter RSVP Line: 615/377-9651, ext. 261 ROBERTSON COUNTY CHAPTER

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Next meeting: to be announced. Robertson County RSVP line: 615-377-9651, ext. 313. SUMNER COUNTY CHAPTER Chapter President - Joe Dalton The Sumner County Chapter meets on the fourth Tuesday of the month, 11:30 a.m. at the new Hendersonville Library. Next meeting: to be announced. Chapter RSVP Line: 615/377-9651, ext. 262 WILLIAMSON COUNTY CHAPTER Chapter President - John Nehrenz The Williamson County Chapter meets on the third Tuesday of the month, 11:30 a.m. at the HBAMT offices. Next meeting: to be announced. Builders Free pending sponsorship. Price: $10 per person with RSVP ($20 w/o RSVP). Chapter RSVP Line: 615/377-9651, ext. 305 WILSON COUNTY CHAPTER Chapter President - Nick Wisniewski The Wilson County Chapter meets on the second Wednesday of the month, 11:30 a.m. at the Lebanon Wilson County Chamber of Commerce in Lebanon. Next meeting: Wednesday, March 11, 11:30 a.m. Topic: to be announced. Chapter RSVP Line: 615/377-9651, ext. 309 COUNCILS GREEN BUILDING COUNCIL Council President - Erin Richardson The Green Building Council meets on the fourth Wednesday of the month, 11:00 a.m.

Next meeting: to be announced. Price: free for Green Building Council members pending sponsorship; $20 for non-members with RSVP ($25 w/o). Council RSVP Line: 615/377-9651, ext. 308 HBAMT REMODELERS COUNCIL Council President - David Crane The HBAMT Remodelers Council meets on the third Wednesday of the month at varying locations. Next meeting: to be announced. 11 a.m. to 12:30 p.m. at a location to be determined. Topic: to be announced. Price: free with RSVP. Council RSVP Line: 615/377-9651, ext. 263 INFILL BUILDERS COUNCIL The Infill Builders Council typically meets on the third Thursday of the month, 11:30 a.m. at the HBAMT offices Next meeting: to be announced. Price: to be announced. RSVP to: 615/377-9651, ext. 265. MIDDLE TENN SALES & MARKETING COUNCIL Council President - Christina James The SMC typically meets on the first Thursday of the month, 9:00 a.m. at the HBAMT offices. Next meeting: Thursday, March 5, 9:00 a.m. at the HBAMT. Topic: to be announced SMC members free thanks to Mortgage Mike; non-SMC members $25 w/RSVP, $35 w/o RSVP Council RSVP Line: 615/377-9651, ext. 260.

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