October 2021
Texas Hill Country | Homebuilding Industry Publication
HILL COUNTRY PROPANE The Franz Family Delivers the Heat
PROFESSIONAL BUILDERS’ SECRETS “Think More Like Accountants”
SAVVY FINANCE
Neiman-Foster Leading the Charge in the Hot Hill Country Market
2021 Tax Deductions
PLAY WHERE YOU BELONG
APPLE ROCK GOLF COURSE | HOLE 10
There is no better time for your family to join the club, create memories and enjoy an abundance of amenities in the secluded Lake & Hill Country. Located in the heart of Texas, The Club at Horseshoe Bay Resort is a sprawling property recognized as a tropical oasis.
FOR MORE DETAILS PLEASE CONTACT MEMBERSHIP AT 830.598.7846 OR MEMBERSHIP@HSBRESORT.COM 2
Building Savvy
SAVVY’S A-LIST A-LIST SAVVY’S Architectural Photography
Air Conditioning Jason ClassicRoberts Services AC 210.789.2033 830.358.1499 www.classicairconditioningandwww.jasonroberts.biz heating.com
Carpentry
Doors Rendi’s Trim Carpentry The Front Door Company 830.220.1983 210.340.3141 www.thefrontdoorco.com
Home Technology
The Club at Horseshoe Bay Resort
Interior Design & Furnishings Garage Doors
Flooring HomeSmart Sunn Carpets and Flooring 325.388.9278 210.349.7866 www.sunncarpets.com www.homesmartanywhere.com
Destination Resort
Electrician
Architecture
Architectural Photographer Delineations Jason Roberts and Associates 830.693.9408 210.789.2033 www.delineations.com www.jasonroberts.biz
830.598.3917 JPI Electric
One Swanky Shop Hollywood-Crawford
www.hsbresort.com 210.233.6638
830.798.0125 210.494.3434
www.jpielectric.com
Lighting Home Warranties
210.233.6638 Home Elevator of Texas
Centricity Hill Country Lighting 727.385.7599 830.257.2425
Building Materials
Fireplace Installations Turn 2 Flooring Integrity Fireplace Installations 512.560.9550 210.294.1383 www.sunncarpets.com
210.344.8321 830.257.2300 www.guidoconstruction.com
210.340.5702 www.jpielectric.com www.homeelevator.com
www.hillcountrylighting.com
StrucSure
Flooring
830-624-4450 Mortgages www.strucsure.com First United Mortgage Group 512.529.7787
Accent Granite & Marble
Insulation Klar Insulation 210.296.5499 Painting
Kohutek Construction
830.693.1144
Flawless Painting
512.949.7000
www.accentgranite.com
www.mgbuildingmaterials.com Cabinetry
Roofing Pest Control
Accurate Pest Control Williamson Roofing
www.hollywoodcrawford.com www.accuratepest.net www.oneswankyshop.com www.williamsonroofing.com
Electrician
Building Hill CountryMaterials National Bank BMC 512.756.7363 512.977.7400 www.hillcountrynationalbank.com www.buildwithbmc.com Guido Companies MG Building Materials
Mortgage Company Aligned Mortgage River210.874.1630 Hill Group 210.844.1542 www.alignedmortgage.com Terry Kemmy Keller Williams,
210.495.0499 830.798.4371
JPI Electric Elevators
Banking
Real Estate
mschepper.firstunitedteam.com
Granite Countertops
Plumbing Diamond Plumbing Independence Title 210.967.6100 512.454.4500 www.dptexas.com Title Company
www.independencetitle.com
Roofer Kendall County Roofing Window Coverings & Interiors 830.331.2650 Custom Creations & Interiors www.kendallcountyroofing.com 830.693.8206
www.customcreationsandinteriors.com
Specialty Electronics and Appliances HomeWerks 210.499.5760 www.sanantoniocentralvac.com
Insurance 830.265.0170
Hotchkiss Insurance 210.581.0420 www.hiallc.com
210.248.2556
Photo courtesy of Lifestyle by Stadler
Lumber and Millwork Roddis Lumber 210.226.1426 www.roddislumber.com Luxury Iron Doors and Interiors AMS Group 210.366.0490
Specialty Glass and Mirror B&T Glass 210.656.8507 www.btglassandmirror.com Title Company First American Title 817.918.2323 www.firstam.com
Shop Where The Pros Buy San Antonio | Uvalde | Pleasanton | Corpus Christi | Kerrville DISCLAIMER: Any articles included in this publication and/or opinions expressed therein do not necessarily re ect the views of N2 Publishing but
Providing ALL Of Your Building Needs
remain solely those of the author(s). The paid advertisements contained within the Building Savvy magazine are not endorsed or recommended by N2 Publishing or the publisher. Therefore, neither N2 Publishing nor the publisher
2202 Memorial Blvd, Kerrville, 78028 may be held liableTX or responsible for business practices of these companies. NOTE: When community 830.257.2300
events take place, photographers may be present to take photos for that event and they may be used MGbuildingmaterials.com in this publication.
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TERRY KEMMY
“ Te r r y i s s o c o rr ei ga itni vael when it comes to advertising properties in i n n o v a t i v e w a y s . We l o v e his creative thinking.”
TERRY KEMMY
Realtor ® terry0372@kw.com 210.844.1542 4
[From The Publisher]
It’s Now or Never! Be Ready for Change! Turn off the news, and tune on the “relax outdoors” setting on your smart controller! An outdoor sanctuary might just be a must-have in a world that seems to be constantly disrupted and ever-changing. Aftermarket investments by homeowners in their outdoor living space have been particularly lucrative for remodelers, especially since the pandemic set in. Some have decided that their desire for better outdoor living space is a reason to shop for a new home. Their expectations and assumptions about what a new home should include have been forever raised when it comes to outdoor living areas.
Professional Builders’ Secrets is the title of our
We’re not the only major industry affected
new column designed to help you plan strategy
by constant change. There are a lot of
and future proof your business and be ready to
valuable lessons and motivating similarities in
pivot and adapt as quickly as buyer demands
comparing the race to remain relevant in the
do. You may be selling your houses fast and
automotive industry in the age of electrification
quick now, regardless of whether you’re keeping
to our own industry’s race to train new talent
up, but we all know about the inevitability of a
and adjust to new processes, too. Like
cyclical economy, and we also know too well
automakers, we can’t assume just because
how quickly things can change due to the
our brand may have been around a long time,
economy or any number of other factors.
and our housing market has been one of the
If you’re not already familiar with the concept of “fintech” get used to it! The Savvy Special
country’s most desireable, it’s going to remain relevant unless we prepare and adapt.
Report will get you caught up on how technology is transforming the home buying process. The well-funded entrepreneurs behind a host of startup fintech companies seem to all have their eye on Texas as a top priority market—for good reason as we continue to draw people who are not too afraid of change to pick up and move themselves across the country because of our ripe business climate.
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Terry Kemmy Publisher 210.844.1542
[Resort News]
HORSESHOE BAY FESTIVALS
C
ountry Club-hosted events and activities are at the heart of why members belong to a club. Events are about connecting with fellow members, participating in innovative programming, and creating memories. The Club at Horseshoe Bay Resort in the Lake and Hill Country takes this concept to the next level by hosting large-scale festivals for their members.
The Club and Resort’s most talked about festival is “This 9,000 acre-property has such a great canvas to create memorable experiences,” said Bryan Woodward, Managing Director and founder of the festivals. “The Club boasts huge event lawns (including waterfront), ranches, golf courses, outdoor concert venues, and a plethora of indoor function space. Our annual festivals are great conduits to activate these amenities for everyone to enjoy.”
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the Balloons over Horseshoe Bay Resort festival held every Easter weekend. The event, held on one of the Club’s ranches, attracts 20 hot-air balloons from all over the country. The festival also includes helicopter Easter egg drops, children’s activities, live music, and more.
The Club and Resort’s most talked about festival is the Balloons over Horseshoe Bay Resort festival held every Easter weekend. The event, held on one of the Club’s ranches, attracts 20 hot-air balloons from all over the country. The festival also includes helicopter Easter egg drops, children’s activities, live music, and more. Other annual festivals at the Club include the Annual Wine Dine and Jazz Festival, held every fall, featuring top area wineries, celebrity chefs, and wonderful culinary creations. The Beer by the Bay Music Festival, held every August, showcases top country music, Texas breweries, and great food. The Shootout at Horseshoe Bay Resort is a match play event that draws some of the PGA and Champions Tours top golf talent via an inside-the ropes match play experience. The Winter Wonderland Market, held every December, is a great family event with horse-drawn carriage rides, Christmas market shopping, kids’ activities, and more. And finally, The Comedy Fest attracts national talent for a weekend of love and laughter as this festival is held annually on Valentine’s weekend. “These annual festivals bring big city talent with a small-town feel,” says Stacey Persinger, Director of Membership at The Club at Horseshoe Bay Resort. “Over the years, the festivals have resulted in numerous new members, and new property owners,” adds Persinger. “As we all know, the first time you visit this community, engage in these exclusive and celebrated festivals, the property shopping begins.” At all the festivals only members, their guests, and resort guests have access. Eighty percent of the festival attendees are represented by members. “These types of events are great ways for Club Members, their families, and friends to connect and enjoy memorable experiences,” says Woodward. “Our Club Members take pride in these events and our associates love putting on these programs. It’s a winning combination.”
HILL COUNTRY LIGHTING
1800-A Broadway, Kerrville, TX 78028 sales@hillcountryligh�ng.com
830 257-2425 7
[Focus Section]
LIVING SPACES Outdoors is Just as Important as Indoors By Beverly Smirnis
H
Planning for the outdoor living area should start pre-construction with a site analysis. Careful analysis of any existing trees as well as desirable and undesirable sightlines can influence the entire home design. omebuyers have typically invested in aftermarket alterations and remodels after
move-in, making outdoor living projects a hot commodity for remodelers. Post-Covid, new homebuyers cite better outdoor living space as one of their top priorities and thus expect to find much more than a postage
Soil moisture conditions and pH levels should dictate for your grass, shrub and tree selections. Keep in mind that sweeping lawns with sprawling amounts of water-hungry grass that requires mowing are passé. Hardscapes and decks surrounded by water-saving native plants and native greenscapes are in. Some grass area is good, says The Lawn Institute, because lawns produce oxygen, sequester carbon and keep temperatures down in urban and suburban areas, but strive to use drought tolerant grass varieties. These same benefits can come from preserving and adding trees to the site, plus trees can help stabilize soil, absorb rainwater and block wind. Just like a good designer draws an indoor kitchen with consideration for food prep, cooking, serving, storage and cleanup or the living/dining rooms with consideration of where furniture can be placed, the same process should be used in planning the outdoor kitchen and living spaces. Spaces that provide shelter, such as roof covers, screens, pergolas, gazebos and awnings, can help transition spaces and create “intimate sanctuary spaces” says Green Builders Outdoor Living Guide.
stamp of concrete included
Specify folding or sliding doors and windows to blur the lines between inside and out. To make your
in the backyard of their new
outdoor space cohesive with the rest of your home, use similar colors inside and out for a seamless
home. Today, experts contend
transition. Inside, incorporate colors that complement the trees, plants and rocks outside; outside pick up
that the size of the outdoor
colors that are used for interior accents and décor. Scored and colored concrete, clay bricks, flagstone, patio
living area should correspond
pavers and ceramic tile made for the outdoors can be great opportunities to accent. Landscaping gravel
with the size of the house.
and sand, available in a variety of colors and textures, can be used to add a pop of color.
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The railing category is one area that has undergone significant changes, reports an NAHB Best in American Living™ article, noting a wide variety of opportunities to customize with color options and rail styles. Weather-resistant aluminum railing systems with thin aluminum cables allowing for a full unobstructed view of the surrounding areas are the hot ticket. Using glass as the infill material in your railing system can create a windbreak; frost it to add privacy without entirely blocking RDI by Barrette Outdoor Living’s Finyl
The Latitudes Horizontal Rod Rail
Line is a low-maintenance vinyl railing
by RDI features horizontal ½” round
reinforced with strong aluminum
steel rods.
sunlight. Luminii’s handrail lighting system makes it easy to beautifully illuminate pathways.
stiffeners that run the full length of
A solid outdoor lighting plan adds safety
both the top and bottom rails. Create
and security, but with the availability of
a custom look with many choices of
outdoor-rated chandeliers and pendants,
infill, top rail and color options.
lighting can also add a decorative accent. Smart appliances and irrigation are a must-have. Specifying storage solutions
As part of the site assessment for new construction, make it a practice to analyze native species that can be incorporated into the landscape design.
for added convenience or to keep the outdoor space clutter-free are just as important outside as inside, too. How about a built-in storage area for blankets
Besides the feature attractions of your outdoor living plan, be sure the building budget includes allocation for landscaping material, smart irrigation and installation costs as well as accents and special features. Outdoor heaters and fireplaces or fire pits can extend the outdoor living season in winter, while shaded areas and cool misting systems allow for more tolerable time
positioned nearby that fire pit? What about an outdoor shower and change room with plenty of hooks to hang wet bathing suits and towels?
outdoors in the heat of summer. Add retractable outdoor screens to minimize solar heat gain,
Get outdoor living right and your homes
let the fresh air in and keep the bugs out.
will sell even quicker and appraise for higher value. Homeowners will be inviting their friends over for backyard entertainment, and some of them will
International Builders Show Best of IBSx winner in the Outdoor Products category
come knocking at your door to buy a home with “a better outdoor living experience” as a top priority on their wish list.
was Axis Smart Glass Bioclimatic System, a pergola system with smart glass as well as rain and wind sensors. The sensor control louvres tilt and
Merchandize your model homes around
silently rotate up to 90 degrees, and with the flip of a switch glass
the things that an active community
can go from being clear and transparent to being frosted and opaque.
enjoys by incorporating an edible garden, putting green, sports court or exercise
Scan the QR code to see a video.
pool.
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[High School Trades]
By Kyle Holton, CTE Coordinator at Marble Falls High School
N
The Construction Trades program of study offered at Marble Falls High School provides a hands-on learning experience to
ot every student learns the same. Not every
meet the needs of students. The program has been in existence
student’s High School experience is the
for more than 30 years but in its current form for seven years.
same. High Schools across the country are
In the Construction program, students will gain knowledge and
tasked with providing opportunities for
skills needed to enter the workforce as carpenters or building
diverse learners in a variety of career fields.
maintenance supervisors or to prepare for a postsecondary degree in construction management, architecture, or engineering.
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Content covered by the instructors includes employability skills, career
The instructors are also advisors for the Marble Falls Chapter
development, building materials, industry regulation, compliance, safety,
of Skills USA. This club is one of the six Career and Technical
tools and equipment, drafting and design, masonry, framing, interior
Student Organizations that are present on the high school
fixtures, trim, painting, and finishing. Students often apply their new
campus. The Skills USA organization provides an opportunity for
skills in the construction shop area designing and creating custom dog
trades-centered students to compete in a variety of leadership
houses, storage sheds, and a variety of other miscellaneous projects.
contests and skill-based contests across the state.
Local home builder Matt Fields (MFHS, Class of 2001) serves on the
We live in a competitive world and our instructors believe it is
CTE Advisory Board and believes firsthand in the importance of the
important to teach students the internal skills needed to succeed
program. “More than ever, it’s critical that we are teaching kids that
in today’s society. Local construction students and members
there is a career, and an incredible opportunity to be successful in the
of the organization have competed and qualified for state in the
trades program,” he said. “We’ve ingrained into students, including me,
Tool Identification contest by winning gold medals the last two
that a college degree is the pathway to success. And while it can be
years and having silver medalists in the construction material
helpful, I’ve watched many individuals with the skills, capabilities, and
identification.
drive become more successful than many of those that have earned a
Another MFHS graduate, Brandon Guthrie (Class of 2002) took
degree.
full advantage of his orientation into construction during his high
“The construction industry is in desperate need of skilled craftsman,
school years here and now owns his own electric business.
licensed trades and general labor that is only going to increase as the
“Construction trade classes in high school are a great way for
industry continues to grow and demand remains high. Contractors,
students to learn about the different trades. The small hands-on
sub-contractors, and licensed trades across the board, even here in
projects and knowledge help them better understand what the
Marble Falls, are desperate for quality individuals willing to work and
different trades are all about. I was in a work program my junior
there’s not a better time to get into the industry.”
and senior year and took any shop or ag classes that I could. I
Instructors in the Construction Trades program are certified teachers
loved these classes because I am a hands-on learner. I did not
with backgrounds and experience in construction and building trades.
attend college, I got into the electrical trade and now I own my
They are certified National Center for Construction, Education, and
own business. No regrets at all. The trades are all a very high
Research (NCCER) instructors offering certifications in Core and
demand and a necessity in our lives these days.”
Carpentry levels.
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Member FDIC.
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[Savvy Spotlight]
No t t h e S a m e Ol’ Energy Source it O n c e Wa s By Bert & Wanda Franz Owners of Hill Country Propane, Inc.
C
onsidering propane as the energy source to fuel home heating, indoor and outdoor appliances, and landscaping decor has
become a popular and wise choice among architects, home builders, and contractors in the Texas Hill Country area.
Hill Country Propane, Inc., located in Fredericksburg, is celebrating its 40th Anniversary in business this year. We wanted to take a moment to share some of the trends that we have seen and some that are emerging.
Propane as a Choice Comes into its Own? Propane was introduced and became popular in the 1920s as an alternative fuel to operate home heating and appliances. Usage through the 1940s and ’50s as innovations increased ease and availability of using propane. In 1998 governmental regulators under the Environmental Protection Act declared new regulations and limitations on wood-burning stoves and fireplaces in new builds. Proper ventilation was found to be sorely lacking in homes with wood-burning fireplaces. Most existing homes with wood-burning heat were ‘grandfathered in.’ In contrast, new home builds were no longer allowed to install woodburning stoves and fireplaces without the benefit of additional modifications and compliance with ventilation regulations. Propane-fueled heating became a valuable solution alongside natural gas and electric heating choices. Propane and natural gas are often more economical. And when considering installation costs, propane is less expensive. Propane tanks can be installed above or underground outside of the home. Propane stores much better than other fuels.
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Propane Appliance Innovations and Availabilities Increase? For the Central Texas Hill Country area, the regulation of woodburning home heating led to the conversion of many wood-burning fireplaces to propane and gas logs. For new home and home improvement builds, the consideration of propane versus natural gas or electric became the question to answer when making recommendations to clients. For a home renovation job, contractors and builders look at the existing appliances in the home and what new appliances the client might want to guide their recommendations. The propane appliance industry was turning attention to new offerings in the gas appliance arena. The selection, style, and decor choices for home appliances have increased exponentially since the 90s. And excitingly, the importance of clean air and clean energy as the green movement gained ground and significance among clients.
Gas grills have become a standard addition to the backyard and patio area. They have become a point of personal pride for the consumer. We see more demand for fully outfitted outdoor kitchen islands and outdoor fireplaces now more than in any past years. Fire pits are now available from the very basic to the highly exotic designs that include beautiful water features alongside fire features. Propane-operated decorative walkway lighting choices are increasing, as are decorative fire urns and fire bowls. Consumers know what they want from a functional standpoint. But more often now, they are making choices based on creating “environments” within and outside the home. These environmental spaces have increased the square footage in which we live our lives.
Increased Revenue for Architects, Builders, and Contractors! It is necessary to be well-versed in products and services to achieve customer satisfaction and deliver the clients‘ dream come true”. It is
What Advantages Does Propane Use Bring to Clients Decision-Making? There are many advantages to using propane for home heating and appliance operation. The recent unexpected weather events earlier this year in the Central Texas Hill Country shut down the electric grid and put hundreds, if not thousands, of lives in real danger. Suddenly
vital to the building trade when it comes to maximizing revenue and profit. Upselling while maintaining a satisfied client who will recommend you is a big part of the builders’ job. It is key to your continuing success! Being familiar with innovations and alternatives available takes time but is well worth the effort.
propane was the salvation of many folks staying warm and being
There are companies around with varying degrees of propane and
able to prepare food. The most significant difficulty was getting fuel
propane appliance knowledge that can assist you. Explore and learn
delivered or picked up due to road conditions. Many homeowners
about what resources are available to you.
are unaware that having a small generator that plugs into 110 will
As purveyors of all things propane, Hill Country Propane, Inc., invites
operate the fan and push out heat through their central heating
you to get to know us. We work hard to gain your trust as a partner in
system. And no one expected these weather conditions to continue
providing products and services.
for up to several weeks in some cases.
Come by our showroom, meet the staff, and see the range and
Propane offers potentially cheaper energy costs for the consumer
selection of products we offer. We purposefully strive to carry products
from installation to usage. Propane is often less expensive than
made in America. And we install and service all
electricity or natural gas. It can be used with central or zone heating and forced air or radiant systems. Also, propane produces a warmer heat than other energy choices. It is a highly dependable form of energy for operating a home. And it is more environmentally friendly.
gas-related equipment that we sell. Please call while planning or during your construction project. We are here to work with you to avoid any obstacles or delays in your project.
Propane produces no toxins that go into the air, reducing greenhouse
If you feel we are up to the task, send your clients to visit and take the
gas emissions by as much as 68%. It is the cleanest fossil fuel
opportunity to browse all the things that are possible with propane!
available.
Or find us on the web. Our mission is to be that product support and development arm that will help you increase your revenue and profit
Style and Décor Become as Important to Consumers as Utility and Function
margins.
Leisure time and disposable income have increased over the past
Hill Country Propane, Inc.
few decades. This increase has fueled investment by consumers in
https://hillcountrypropaneinc.com
what they deem to be their home of a lifetime. And consumers are all in when it comes to creating their perfect surroundings.
1240 S State Hwy 16, Fredericksburg, TX 78624
In response, manufacturers have diversified their fireplace styles,
830.997.8621
decorative frames and grills, firebox design, fireplace surrounds, elaborate mantels, linear fireplaces, and fire tables.
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[Plumber’s Perspective]
PLUMBING LICENSE LAW It’s enforcement and how it affects supply and demand
T
here are four categories of licensing which are necessary to perform plumbing legally in the state of Texas. These licensing titles are labeled as Apprentice, Tradesman, Journeyman and Master. Apprentice being the beginning of the process, one
must obtain 4,000 hours under the direct supervision of a licensed plumber in order to take a 24-hour training course and qualify to test for a Tradesman license. The required courses are often paid for by plumbing companies who are willing to invest in employees who wish to advance in their career. The Tradesman license is limited to only being able to perform residential services such as service calls and new residential construction. The Journeyman license requires 8,000 hours under direct supervision and you must complete a 48-hour training course in order to be qualified to test. In obtaining a Journeyman license, one can perform work on either residential or commercial. And lastly, there is the Master Plumbing license. Obtaining a Master license requires holding a Journeyman license for four years and taking the required training course before testing. Master plumbers – once certified by the state – can perform work, hold the license for
by Dale Nash
any company who seeks to contract plumbing work, or open their own
President, Diamond Plumbing
company once an 8-hour business class has been completed.
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Let’s think about that for a minute...so you can conduct business
on licensed contractors to assure proper installations and their
performing plumbing work with just eight hours of required
accountability. Not penalize them and make things more difficult.
education and bam you’re in business whether you understand how
Contractors are still bound to the written contracts in upholding
a business is run or not. Where this situation could pose a problem
standards of performance, insurance policies to protect the customer,
to the market is how one conducts that business. Often, competition
and most importantly provide services that meet code regardless if
can become an issue when competing for contacts. While
it’s in the county or a municipality.
established plumbing contractors may have the staff to accomplish
At this point, you have to wonder if the greater area and other parts
such contracts, this sometimes comes at a higher price depending
of Texas will recognize the actions taken by San Antonio and begin
on plumbing license law and where work is being performed.
to follow suit. This possible snowball effect could end up being very
In most municipalities, it is required that a licensed plumber overlook
difficult to deal with in the future and couldn’t have been presented
and be present daily on every job prior to calling a project in for an
at a better time while construction projects continually deal with the
inspection. Yet in the county where municipalities do not perform
increasing problem of labor and supply shortages.
inspections, work can be performed by apprentices only under a licensed contractor and without the said supervision. Let’s back up a second and think about that. So, “inspected” jobs in
About the Author - Dale Nash, a Master Plumber, is President of
municipalities that require plumbing licenses on site is mandatory,
Diamond Plumbing and a member of the Plumbing-Heating-Cooling
but in the county it is not required and the plumbing is not being
Contractors Association. Diamond Plumbing specializes in new
inspected? This is Texas law. Seems contradicting when you look at
residential construction, custom and production homes, plumbing
it, but in any event the plumbing contractor holds all liability for the
remodel, general plumbing services, water softener sales and
work performed regardless of whether it is inspected or not.
installation.
So the question is....why is it necessary for a licensed plumber to even be present on site? An inspector’s job is to protect the municipality and its citizens, while a plumbers responsibility is to protect its company, employees and customers. It is the plumbing contractor’s responsibility to assure proper installation and provide protection for the liabilities that they engage in. In states such as Florida, this is recognized. A master must hold proper licensing but can employ apprentices to perform work
Lot Loans | Interim Construction Loans Commercial & Consumer Loans
without being under the direct supervision of a licensed plumber on site. Tentatively, the work is performed, managed and warranted under the plumbing contractor whether it is inspected or not by a municipality. This comes as great news for the construction industry in an environment where the labor force is already handicapped and challenged. Given the common sense of such a scenario, it is becoming more necessary that the Texas state board of plumbing examiners (TSBPE), should begin to take note of the ongoing issues of labor shortage and entertain making such an adjustment. In retrospect, the City of San Antonio has recently decided to organize a task force to enforce plumbing license law as well as other required licensing. San Antonio is now targeting plumbing contractors who are not compliant and have even suspended some contractors from being able to perform work in the municipality for 60 days. This means that current projects under construction are being held up by the suspension of inspections, permits, as well as the work in progress.
512.756.7363 • HillCountryNationalBank.com 1210 S. Water (Hwy 281 South), Burnet, TX
Although we can all agree that properly trained professionals and
NMLS# 407849
licensing should continue to exist, we should be able to rely more
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Turn 2 Flooring Residential | Commercial | New Build | Renovation Cori Pearce, Owner 512.560.9550 | turn2flooring@gmail.com 3827 RR 620 S, Bee Cave, TX 78738
Kohutek Construc�on INC has been crea�ng quality
cra�ed custom cabinetry for custom builders, commercial contractors, architects, designers, and homeowners throughout Central Texas for over 30 years.
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Anika@Kohutekconst.com
512.949.7000
[Savvy Builder]
Michael Foster (l-r), Nathan Foster, Marce Foster, Charles Khan and Terry Neiman
TERRY NEIMAN, MIKE FOSTER, AND THEIR FAMILIES FORM A DYNAMIC BUILDING ENTERPRISE
omebuilding heavyweights Terry Neiman and Michael Foster only met each other four years ago. In that short span, they’ve comfortably established themselves as one of the pre-eminent custom builders in the Hill Country. They each bring unique skill sets to their rapidly expanding enterprise and without question deliver world-class homes to the many high-end clients seeking them out. But their respective journeys to Horseshoe Bay, and their ultimate partnership, took two completely different paths.
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But that didn’t last long. “I spent 43 years as a commercial contractor and developer. I thought I was done working and in 2009 decided to retire in the Hill Country,” Foster says. “Well, I quickly got bored so I started building houses in Austin. I met Terry shortly later, in 2017, and we started Neiman-Foster Homes together that next year. And we’re having fun working together, seeing this area really explode.” Some of the other key team members of the NeimanFoster team include Charles Khan, Nathan Foster, and Marce Foster. Khan, a project manager, has a degree in International Business and has 19 years of experience in multifamily high-rise construction, home building, and renovations. He’s well-versed in all areas Terry Neiman hailed from Copperas Cove and
of construction including field operations, office administration, accounting, etc.
worked in that area including Belton, Temple,
Nathan Foster, also with 19 years of experience, has a Master Electrician’s license
Killeen, etc. as a Master Plumber. He started his
and a General Contractor’s license. He was a superintendent for one of the nation’s
own plumbing business in 1984 and 11 years later
largest electrical contractors overseeing numerous multifamily projects. Nathan’s
started building spec homes, and then customs.
wife, Marce Foster, holds a bachelor’s degree in Economics and a master’s degree in
Neiman is a plumber’s plumber and knows the
Real Estate Development. Her strengths are site development, market analysis, and
trades better than most. His exacting standards
development recommendations. Marce, also very creative, handles marketing and
attract seasoned subcontractors who also embrace
guides clients through selections and finish-outs.
high-quality, custom craftsmanship in the trades.
Neiman was asked what advice he’d offer to someone just starting out down this career path of homebuilding. “Pay attention to every detail and check on sites daily. It’s important to have good communication with your customers and your
Neiman’s wife, Deborah, has been involved in
subcontractors. And as long as I’ve been doing this I still challenge myself to keep
the business for more than 25 years handling
learning. Regardless of how much you think you know there’s always so much more
accounting, cash management, etc. Additionally,
for you to learn and advice or help when you need it. Lastly, I’d say, be prudent, stay
Deborah is very creative and covers interior design
on budget and be sure to save money for downturns!”
on new homes and specializes in kitchen and bath design. Ten years ago the Neimans decided to relocate to scenic Horseshoe Bay and start a new life chapter.
Michael Foster, a graduate of the University of Houston, is a civil engineer. His 52 years of experience in commercial and residential construction paint a broad brush of highly successful projects in size and scope. He built more than 10,000 multifamily units, along with 12 churches and multiple, elaborate commercial projects. In 2009, after working several years in the DC area, he and his wife Cheryl decided to head for the Hill Country and retire in comfortable, cushy Horseshoe Bay.
The Enclave at Barton Creek Lakeside
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Terry and Mike are both proud of the team they’ve assembled, many of them family. They’re also proud of the many quality subs, suppliers, and vendors that they call partners….and many of them are extensions of their families. Here’s what some of them had to share:
“They are usually spot-on with most of their projects. We work closely with Nathan and he always goes above and beyond. They’re easily one of our favorite builders to work with.” Liz Pennington – Pennington’s Plumbing “They are very easy to do business with. It’s easy to notice how closely they work together as a family unit. Their communication is always great.” James Bowen – Tri-Supply “I love working with Terry, with the whole team really. The lines of communication between our companies is very thorough and clear. We don’t always experience that with others. They are all very proficient at what they do and it reflects in the quality of their beautiful homes.” Lana Bohannon – Moore Supply Company “To me…they are the premier luxury home builder in this area. Michael is an engineer and an excellent businessman. Terry brings a wealth of trades experience and is super meticulous about The latest large project for Neiman-Foster is The Enclave at Barton Creek Lakeside. The Enclave is an exclusive garden home community nestled within Barton Creek Lakeside at Lake Travis near Spicewood. Designed for today’s lifestyle, each Hill Country home offers smart home features with high-speed fiber optic service and exceptional finishes including open floor plans and zeromaintenance yards.
details and finish out. These guys form a great team and they always head off problems before they ever happen.” Jan Busse – The Busse Group (Realtors) “They don’t overextend themselves, which is great from a lender’s perspective. I’d also say they are
“Were very excited to be one of the builders in this exclusive garden home
trailblazers in construction, not always doing what
community,” adds Neiman. “It’s a 10-acre site that is privately gated, that offers
everyone else is doing. They also seek exclusive
individually owned, stand-alone, moderately-priced garden homes. There are
communities like The Enclave and build homes
club memberships available to Barton Creek Lakeside Country Club, private
that are indeed unique.”
boat launches at the marina on Lake Travis, and of course excellent views.”
Matthew Schepper – First United Mortgages
20
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[Professional Builders’ Secrets]
BUILDERS MUST PLAN TO AVOID BUSINESS BLOW OUT The Association of Professional Builders’ (APB) 2021 State of Residential Construction Industry (SORCI) report indicates that builders across the country have seen record increases in revenue and net profit as many homeowners sought to improve their living environments because of the COVID-19 pandemic. The residential home building industry outlook for 2022, however, isn’t quite as positive. “This unprecedented demand isn’t sustainable and savvy builders will need to think more like accountants,” says Erik Cofield, an Executive Business Coach with APB based in Houston. APB’s global report breaks out pain points for U.S. builders, showing that more than 55% of the builders in the U.S. never calculate their work in progress accounting adjustment figure. This indicates that they are at significant risk of growing too quickly because they don’t understand their true financial position, Cofield said, adding that this puts them in a position where they are likely to pay higher taxes and experience severe cash flow challenges, particularly
based on data, experience, and results. Building Savvy’s new series of articles and education seminars will glean from APB’s vast library of coaching curriculum, and the expertise and experience of the APB team. Topics will range from construction business coaching to sales training, marketing insights and financials coaching. The goal is to share ideas on how to create a systemized residential building company to generate more leads, earn more money for your services and deliver a better client experience.
when sales begin to slow down. Nearly two-thirds of the of respondents from the SORCI survey had no formal sales process in place, and the vast majority (78.8%) had no succession plan to future-proof their business, should the unthinkable happen. With these findings in mind, it’s no surprise builders have identified systemizing their business as one of the top priorities for 2021. Most American
The comprehensive SORCI report also dives into trends in sales, contracts, social media, marketing and advertising within the industry. Data from the report also covered insights from residential builders for lead generation, team building, project management, planning, owner’s remuneration, financials and self-development. To find out more about the state of the residential construction industry, a copy of the report can be purchased by scanning this QR code.
home builders (80%) don’t charge for quotes, and 80% of American home builders also do not have a business plan covering the next three years. APB is a business coaching service for custom home builders in the United States, Australia, New Zealand, and Canada. The organization provides tested and proven systems for builders to scale and succeed,
22
APB’S WORK IN THE INDUSTRY APB has worked with thousands of builders, coaching residential building companies to systemize their business, including KiaDom Mini Homes, based in Queensland, Australia.
You can read more about Greg Kite’s business growth success story as well as others here:
Greg Kite, Managing Director of KiaDom Mini Homes said the best part of the program was being held accountable and actually taking the step back to work, “on the business, rather than in the business.” “APB has ensured that a lot of the systems and operations that we’ve been wanting to document and put in place for so long – that we’d put aside, that we’ve been too busy to do – have all been put in place, documented, all ready to go. So at any point, we can just have a look at what we’ve been doing and follow the system,” Mr Kite said. This included hiring two A-team players, recreating their proposals, and implementing successful business systems and processes to ensure accountability and opportunities for better growth.
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23
[Savvy Finance]
By Steven Bankler, CPA
START ADDING UP YOUR 2021 TAX DEDUCTIONS
Remember These COVID-19 Deductions
Did you borrow Paycheck Protection Program (PPP) funds?
As the COVID-19 pandemic swept the
Now that round two of the PPP application process is closed, it’s time to focus on loan
world, tax and financial relief efforts were
forgiveness and tax deductions. Deductions are now allowed for normally deductible
sped along to help business owners stay
expenses, even when funded by a forgiven PPP loan. If you missed that opportunity on
afloat. Then, as 2021 settled in, some of
your 2020 tax, you could deduct the expenses on your 2021 tax return instead of filing an
those efforts trickled away. So, where do
amended return.
you stand as a business owner? What COVID-19 tax deductions should be accounted for before the year’s end? Here are a few areas to consider:
Did you take out other relief loans? Under certain COVID-19-era laws, several Small Business Administration (SBA) loans and grants are excluded from gross income and don’t increase the basis of funded assets. Many of the expenses paid with the funds are deductible, too, which is an added bonus.
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Did you provide employees paid leave for reasons related to
Are you unsure whether your 2019 and 2020 taxes were correct?
COVID-19?
Just as the PPP rules changed after some business owners already
In July 2021, the IRS expanded tax credits to employers offering
filed their taxes, some other COVID-era changes may have affected
paid time off, this time to employees who need to take a family
your past tax returns including sudden net operating losses (NOLs)
or household member or other individuals to get vaccinated for
and asset depreciation strategies. You have every right to file an
COVID-19 or to care for them as they recover from a vaccination. Be
amended return if there’s an issue that affects your filing status,
sure to claim tax credit for these and past coverage for both paid sick
income, deductions, or credits. Some changes—like those affecting
leave and expanded family and medical leave.
bonus depreciation—must be made before the proceeding year’s tax return is filed, so don’t put it off.
Did you retain employees even as you lost revenue?
The list of considerations could go on and on. The bottom line: It’s not
The Employee Retention Credit (ERC) is a bit of a moving target right
too early to start adding up your 2021 tax deductions, especially when
now, which may be good or bad news, depending on your previous
PPP and large business expenses—or business expenses outside the
eligibility. With an extended qualification period, broader definition on
norm—are in the mix.
who qualifies, and a new safe harbor for expenses using forgiven PPP loans, it’s critical to address any questions you have now before the end of the year.
Did your business expenses change?
Steven Bankler has more than 44 years of experience in the accounting
Your cost of goods sold and capital expenses likely fluctuated along
industry. Steven’s expertise lies in consulting, planning, tax, and asset
with demand and the supply chain. You may have also shifted how
protection as well as exit strategy services for closely held businesses. He
and where you conduct business—from using your own car to setting
also provides litigation support (both as a testifying expert witness and a
up shop at home. Employee pay (including yours), the cost of health
consulting expert), business negotiations and estate planning. Visit www.
and safety supplies, retirement plans, rent, and insurance: These
bankler.com for additional tax strategy tips and to learn more about Steven
factors may have all changed in one way or another. With this many
Bankler, CPA, Ltd.
moving parts, it’s essential to re-evaluate your business expenses and how you deduct them.
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[Savvy Special Report]
TECHNOLOGY IS TRANSFORMING THE HOME BUYING PROCESS Thanks to its fintech collaborations,
What was once only accomplished through a live, in-person process, can now be completed virtually, in whole or in part.
a Meritage buyer could qualify for a mortgage, electronically remit their earnest deposit, sign their sales agreement, receive guaranteed on-demand homeowners’
E
insurance quotes on their selected ven before the impact of the pandemic, virtual homebuying technologies had grown exponentially in popularity, catapulting the housing industry forward and shaping the future of real estate for homebuilders and customers alike,” said Phillippe Lord, CEO of
Meritage Homes. On Meritage’s website, the home search starts with helpful videos and articles on home ownership and financing as well as highlights of its specific energy-efficient and healthy home offerings. The digital solutions then guide customers through a curated search of available inventory and offers virtual tours of its models. During the pandemic many builders were struggling to follow the virtual home tour lead that Meritage and other were already offering. Whether they are buying their first home or a homebuying veteran, it is now an expectation that before ever stepping foot in the door, prospective homebuyers should be able to start their home search online to get a sense of how it would feel to live in a particular home. With a few clicks, they should be able to view photos, floorplans, online video tours, interactive maps and digital community brochures.
home, and even close on a home online in states that allow it. Texas was one of the first states in the nation to adopt Remote Online Notarization (RON). Using “eNotarization,” many lenders, real estate professionals and home buyers and sellers are now performing digital mortgage closing and title transfer. According to Zillow’s New Construction Consumer Housing Trends Report 2020, it’s not surprising that the majority of potential new home buyers said they would still tour homes in-person before making a purchase decision; 64% said they would prefer to self-tour homes on
“Fintech” (financial technology) and specifically the “iBuying” process was garnering headlines
their own time without an agent or sales
already in 2019, well before Covid lockdowns. iBuying is the process that allows buyers to
rep when experiencing a home for the
choose their home and then sell their existing home to OpenDoor or Zillow, using the equity in
first time. To allow customers to choose
the existing home to serve as the down payment on the new home and saving the buyer the
a homebuying path that aligns with their
hassle of having to show and sell their home, and possibly lose the deal if the sale didn’t happen
personal shopping style, latest addition
promptly. No longer would contingencies need to be added to real estate contractors when
to Meritage’s tech tool portfolio is the
you combined iBuying and a digital mortgage approval process.
UTour program. In select locations, the
26
UTour process now makes it easy for shoppers on the Meritage site to sign up for no-contact self-guided tours using the technology provided by UTour.
The Real Deal Real Estate News notes that venture
Now, after first touring a home virtually
investors have been writing big checks to fund
on the Meritage website, the shopper
fintech start-ups since the beginning of 2021,
can select a date and time to tour the
noting that startups like Divvy and Flyhomes
home at their convenience. They create
(and now Tomo) have drawn support with unique
a UTour account, verify their identity and receive an email with home details and a
solutions to address the current environment.
digital code to unlock the front door. An automated pre-tour nurturing campaign is delivered to the home shopper via email and text, and the sales team is simultaneously notified that the new tour is scheduled.
Divvy’s “rent-to-own” financing option gives renters the chance to build equity credits. The homebuyer contributes 2% of the home value at closing and pays monthly rent, building up to 10% equity
As the prospect arrives to tour the home, they receive a text message,
in the home over three years. The idea is for buyers who can’t
encouraging them to reach out to the sales team during or after the
afford to buy at the outset, could in time qualify for a traditional
tour. With the optional AI voice or chatbot feature, shoppers can use
mortgage and own the equity in the home they already live in.
their Iphone to ask questions about the home or community. If desired,
In hot housing markets, buyers losing out on houses to people
they can be connected to a live video chat with a salesperson. The
who make all-cash offers might find an answer in Flyhomes, a
entry code expires one hour after the tour’s scheduled start time. The
brokerage firm that makes cash offers on behalf of clients and
builder gets a detailed report about the visitor’s engagement with the AI
includes mortgage, title and escrow, and contractor support as
technologies during their tour.
part of its service.
After their tour, an automated email and text message are sent to the
Where Tomo differs from other automated startups is that it
prospect, suggesting next steps with the sales team. The shopper can
doesn’t cut real estate agents out of the home purchase process.
also ask questions and engage with the AI chatbox after their self-tour
Tomo execs say local agents who know the ins and outs of
by simply texting their questions to get instant automated answers.
their local market are essential with the rise of pocket listings
The sales team follows its usual process to nurture and convert the
and other backdoors in the current buying frenzy atmosphere.
prospect.
Tomo promises can generate pre-approvals within hours, not days. From there, Tomo Brokerage connects buyers to a local
“We embrace innovation to improve and optimize the overall customer
agent through a strategic partnership with real estate industry
experience whether buyers choose to interact with us in-person, online
coaching and training guru Tom Ferry. After a purchase contract
or a mix of both, while ensuring 24/7 customer support,” Lord said. “Our
is signed, Tomo makes another promise that it will cut the
goal as a builder is to provide the solutions that ensure a seamless
industry’s average time to close (47 days) by as much as 55%.
process for our buyers from start to finish.”
Tomo will target areas where rising home prices and competition
What Lord calls “a seamless process” was also the topic of a
are crippling first-time and millennial homebuyers, launching
presentation titled “Frictionless Finance Models” made at a housing
initially in Dallas, Houston and Seattle.
conference by Washington Center for Real Estate Research and Fannie
Statements by the recent startup fintech entrepreneurs say their
Mae. The discussion recounted how great entrepreneurs are coming
intent is to restore--not further remove— the personal touch, the
from industries outside of real estate and moving into this category,
humanity, and the excitement that should come in purchasing
because so many of them had experienced acute pain points around
a home. As single-family homes become commoditized by
real estate transactions. “In today’s housing market, buying is not an enjoyable experience; it has become competitive, stressful, and confusing, and too many people
investors and with home prices continuing to escalate, they believe automated processes can level the playing field for the average home buyer who would otherwise see the American
are coming away from it empty-handed. We are going to change that,”
dream moving further and further out of their reach.
said CEO and Co-Founder Greg Schwartz of Tomo, which just launched its end-to-end digital mortgage and home purchasing platform in June armed with $70 million in seed funding.
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[Savvy Trucks & Toys]
THE AGE OF ELECTRIFICATION KEEPS AUTOMAKERS ON THEIR TOES By Beverly & Steve Smirnis
C
« Ford F-150 Lightning Pro (pre-production model) »
“
Now with old-timers and newcomers joining the EV bandwagon, time will tell who will remain relevant and which brands will fall by the wayside as the automotive
hevy was the first automaker out of the gate in the race to produce the first affordable long-range EV, introducing the Bolt
EV in 2017. Its 65 kWh battery pack delivers an impressive EPA-estimated range of 259. The powertrain is a permanent magnet electric motor driving the front wheels, outputting 200 hp and 266 lb-ft of torque with a 0 to 60 mph time of 6.5 seconds and a top speed of 93 mph. With all these
EV segment continues to grow across the board--from
accomplishments and nearly a year of headstart on the rival Tesla 3,
affordable vehicles to luxury vehicles. Even all-electric
Chevy got accolades that the brand needed with the Bolt. But the Model 3
“
pickups are on the way.
was the sexy newcomer with better looks, an edge on all the rankings and a negligible difference in starting price, ultimately winning the competition with much higher sales figures
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« Ford Mustang Mach-E »
Chevy’s answer with the 2022 Bolt is a refreshed interior and exterior,
when Ford introduced the 3.5L EcoBoost engine, a V6 gas engine
more standard options and a lower starting price. Bolt pricing now
direct-injected with twin parallel mounted turbochargers, designed
starts at $31,995 ($5,500 less for base trim than the 2021 model) and
to deliver equivalent power and torque as the V8 while being cheaper
$35,495 ($7,500 less than the previous model) for the 2LT trim. Chevy
to buy and cheaper on gas. In 2017, the redesigned 3.5L EcoBoost
continues maneuvering to stay relevant in the big leagues, introducing
added 10-speed automatic, multi-port fuel injection and new
the 2022 Bolt EUV for just about $2,000 more than the 2022 Bolt.
turbochargers to reduce the turbocharger lag and allow peak torque
The Bolt is far and away besting the Nissan Leaf on price, power and
levels to be reached faster.
battery—with the Chevy nearly doubling the Nissan’s range. In the luxury EV class, the handsome and sporty Ford Mustang Mach-E is turning heads and rating high against its plentiful pool of
The 2021 third-generation PowerBoost engine teams the 3.5L
rivals that include the Telsa Model Y, Audi e-tron and Jaguar I-Pace.
EcoBoost twin-turbo engine and 10-speed automatic and
All-new for 2021, it was designed specifically to be an electric vehicle
adds a 35-KW 45 hp electric motor and a 1.4 kWh lithium-ion
while its driving experience delivers to the Mustang name. Our tester was the Premium with AWD with MSRP of $49,700 (AWD adding
battery. It sprints to 60 in 5.3 seconds while the gas mileage
about $2500 more than the starting price Mach-E). The extended
even for the 4WD is rated at 24 miles per gallon, meaning it
range 88 kWh battery option added another $5K to its tag and gave
will get some 700 miles on a full tank. Electric-only power is
it 270 miles of range (59 more miles than the standard range battery
very limited with the gas kicking in for a smooth output, but
on the AWD). Every Mustang Mach-E also comes with Ford’s Co-
the transmission is criticized for struggling with low-speed,
Pilot360 suite of advanced driver aids and the premium trim added a host of nice convenience and tech features. There are no significant
light-throttle situations such as heavy traffic. Another kink
changes on the 2022 model.
to work out is the braking, but handling and ride are right on. The F-150 PowerBoost touts 430 horsepower and 570 pound-
We’ll get to the plan for fully electric pickups in a minute but first, let’s
feet of torque and can pull 12,700 pounds.
take a look at how far the mainstream American truck manufacturers have come in getting their loyal owners to even pay attention to a hybrid pickup much less a fully electric truck. It started 14 years ago,
31
« Chevrolet Bolt EV »
Ford’s Pro Power Onboard mobile generator system allows you to
and the all-electric Ford F-150 Lightning will launch as 2022
power tools and appliances whether you’re stationary or driving. Pro
models. In 2024, Chevy has an electric Silverado coming, and RAM
Power Onboard can be paired to regular gasoline engines, too, but
and Toyota are promising electric truck roll-outs around the same
with the PowerBoost it can generate up to 7,200 watts –enough juice
timeline.
to power a whole worksite. A fold-out worktable in the center console
The true test for truck-makers will be if an electric pickup can
is another “made-for-work” feature.
perform just like a standard variant when it comes to payload and
As always, Ford offers an endless array of configurations, not just
towing. Mainstream truck manufacturers know the answer must be
in engines, but also in cabin and bed options and trim levels. Our
yes!
tester was the simply fabulous King Ranch SuperCrew with a base price just over $60,000. The PowerBoost engine added $2,500 and it was loaded up with a chrome appearance package, tow technology package, FX4 off-road package, Pilot 360 Active Prep package, twin
Beverly & Steve Smirnis are members of the Texas Auto Writers
panel sunroof and other niceties adding about $16,000 to its price
Association and the Texas Motor Press Association, reviewing vehicles
tag.
and casting their votes at driving events where the Truck of Texas, Car of Texas and Off-Road Truck of Texas are some of the titles awarded.
So what’s in store for no-gas pickups? Reservations are full for the
Follow their automotive blog on TheSavvyList.com/TheSavvyDriver
just-launched limited edition Hummer EV Edition 1 and the Hummer EV 3X will follow in Fall 2022. Tesla is building a new Gigafactory in Austin that will produce its fully electric Cybertruck. The Cybertruck
32
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Featured image photographed for Bourn Custom Homes at the 2021 Parade of Homes in Belle Oaks. Pool by: Infinity Pools of Texas. 34
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