Return on Investment For Your Membership in NAHB

February 18, 2013

"Membership ROI CAN Be Measured"

I recently read an article about returns on investment and it brought my memory to a place it hadn't been in 25 years of home builder association (HBA) membership; justifying the cost of my membership to my myself, as an employer, and then again, as an employee to my employer. Sales & marketing is the area within your business where HBA memberships and sponsorships come from, therefore approved. With any sales & marketing initiative, short or long term, dollars spent have to bring back dollars earned. 

The definition of return on investment (ROI) is simple;


"A performance measure used to evaluate the efficiency of an investment or to compare the efficiency of a number of different investments. To calculate ROI, the benefit (return) of an investment is divided by the cost of the investment; the result is expressed as a percentage or a ratio."

ROIs are sometimes misunderstood or unclear because all factors are not fully considered or explored. 


The below "open letter" is for associates who need help in renewing their dues; it should help your company's decision maker become aware of the benefits of HBA membership. In order for you to know where the ROI comes from an awareness of variables come into play and collateral benefits, a constant variable, should be taken into consideration. These collateral benefits are derived from your financial investment in membership playing a role. The question is "what is that role and does it  translate into a ROI for you?

For non members of the home builders association; if you derive any or all of your sales volume from the building industry, the below information should give you enough financial motivation to join by clicking here. 

 

 "An Open Letter to The Associate Member and Your Employer"

Dear Employer,

One of the most direct reasons why home builder association memberships are dropped is the lack of immediate business. NAHB estimates that fifty-five percent of new members drop out after one year. One year may seem like a long time to invest without a return but I would offer to you my opinion; that year is needed to familiarize yourself with your investment. To expect any size-able financial return, that you can actually touch and say "this came directly from my company's investment" may not be realistic.  Unless you have a product or service that has no competitors and is an absolute "must have" for builders and the industry you need to have patience in the HBA investment. 
During your first year of membership, or subsequent years when you are measuring the HBA's value to your bottom line, there are 3 areas that I would like to highlight for you that will bring you an ROI

3 metrics specific to your HBA investment that you may not be considering:

1. Member Benefits: Do you fly? Rent cars? Need insurance? Buy computers? Send packages via FedEx? Member benefits that bring you cash back in savings bring you back a return on your investment. Just recently I had an insurance quote given to me from a participating NAHB Members Discount (click here for full list of savings) and the savings would pay for my membership dues 3 years in a row. These are above and beyond what your state or local HBAs may offer as member benefits.

2. Industry Specific Education: your HBA membership has access to some of the top educational programs in our industry that can help you train your sales representatives. Your reps could benefit from training in (to name just a few of many) GREEN/sustainability, aging in place or just to understand the builders' business and how your products or service interact. Whether it's one or two classes or a full compliment to achieve a building industry specific designation, NAHB Education (click here) is there for you as an "in house" trainer." This education is offered to non members, but at a much higher rate. 
Training one rep in industry specific education alone pays for your HBA membership and your developing a building industry professional (click here), a major plus for you.

3. Fight for housing >  associates who work directly with builders should incorporate into their ROI thought process "if it affects builders it will affect your company's bottom line." HBAs help builders with legislative and regulatory initiatives that help fight for housing. These efforts deliver more units per parcel or bring projects to fruition at a faster pace. That means more immediate sales volume opportunity  for you, possibly at a better GP with a pipeline of business opportunities for future company growth.  The key word; opportunity. 

The HBA investment should also be applied towards the recurring revenue stream from your current customer base and how advocacy helps with that constant stream. The primary focus should be on your customers' and potential customers' ability to buy your product or service because of the HBA's role in the fight for housing.

If you're a company that sells to both builders and associates, the same principle applies; "what affects them will affect your company's bottom line."

80% of associates and their employers don't understand how the association's fight for housing efforts have helped with their business opportunities. Your local HBA membership is also a national membership. The following article highlights the national fight for housing  >"Reflections on 2012: A Return On Your Membership Investment" (click here) 
Your local HBA can share with you their efforts to help grow the building industry specific to your region or within your state. Again, 

These above three metrics, that if applied correctly in your sales and marketing discussions, can demonstrate a clearer ROI, one that includes the tangible as well as the intangible. Once you've experienced the awareness of what the above three metrics bring in value, the intangible quickly becomes tangible. HBA dues are minor in the grand scheme of sales & marketing assigned dollars and could be a major ROI for you and your company.

I haven't discussed a fourth metric; an expansion of your sales efforts through social networking and HBA volunteerism, where a massive ROI can take place if your company's HBA representative is integrated properly. There is quite a bit of information to this and if you'd like to know more please click here for detailed explanation.

P.S. What you were originally looking for: Sales attributed directly to your HBA membership. There are so many factors involved ;

1. Are you a name in a directory or do you attend general membership meetings?
2. Do you just do more than attend the general membership meetings, meaning do you interact with others while there?
3. Is your company representative (you?) accomplished in the art of developing relationships?

Only you can only answer those three questions. Gaining new customers directly from your membership depends not on the association but on you, your company's offering and your ability to influence. The above three metrics, however, give you, at the very least, a return on your membership investment.

Regards,

Mike

 Michael Kurpiel, CGA, CGP

State Rep Tommy Thompson Addressed HBA Kentucky

 Here, State Representative and former NAHB Chairman of the Board (1994) Tommy Thompson from Owensboro speaks to the HBAK Winter Board attendees about the state of affairs in Frankfort.

Below, Lexington builder Bill Hodges talks to the group about Build Pac while President, Jim Cutter from Northern KY looks on.  

The room was full and there were many very important topics discussed and managed.  We hope you can attend the next Board Meeting in May in Covington.

HBAK Winter Board Mtg

JoEllen Thompson discusses topics at the HBA KY Winter Board meeting held in Lexington.  we sure wish tjst more of you could have attended.
Please mark your calendars and try to attend the Spring meeting on May 22 & 23 in Covington.

COMMITTEE ON BANKING, HOUSING, AND URBAN AFFAIRS MEMBERSHIP

Here is the list of the Committee on Banking, Housing, and Urban Affairs members.  No one from Kentucky that I could see.

Tim Johnson, SD, Chairman

Mike Crapo, ID, Ranking Republican Member

Jack Reed, RI                       Charles E. Schumer, NY                     Robert Menendez, NJ         Sherrod Brown, OH

Jon Tester, MT                     Mark Warner, VA                                Jeff Merkley, OR                 Kay Hagan, NC  

Joe Manchin III, WV          Elizabeth Warren, MA                        Heidi Heitkamp, ND

Richard C. Shelby, AL        Bob Corker, TN                                    David Vitter, LA                   Mike Johanns, NE

Patrick J. Toomey, PA        Mark Kirk, IL                                        Jerry Moran, KS                  Tom Coburn, OK

Dean Heller, NV

SUBCOMMITTEE MEMBERSHIP

Unless otherwise noted, Tim Johnson, Chairman, and Mike Crapo, Ranking Republican Member, serve on all subcommittees as ex-officio, non-voting members.

HOUSING, TRANSPORTATION, AND COMMUNITY DEVELOPMENT

Robert Menendez, NJ, Chairman

Jerry Moran, KS, Ranking Republican Member

Jack Reed, RI                       Charles E. Schumer, NY                     Sherrod Brown, OH             Jeff Merkley, OR

Joe Manchin III, WV          Elizabeth Warren, MA                        Heidi Heitkamp, ND

Bob Corker, TN                    Patrick J. Toomey, PA                        Mark Kirk, IL                        Tom Coburn, OK

Dean Heller, NV                  Richard C. Shelby, AL

FINANCIAL INSTITUTIONS AND CONSUMER PROTECTION

Sherrod Brown, OH, Chairman

Patrick J. Toomey, PA, Ranking Republican Member

Jack Reed, RI                       Charles E. Schumer, NY                     Robert Menendez, NJ         Jon Tester, MT    

Jeff Merkley, OR                 Kay Hagan, NC                                   Elizabeth Warren, MA

Richard C. Shelby, AL        David Vitter, LA                                   Mike Johanns, NE               Jerry Moran, KS 

Dean Heller, NV                  Bob Corker, TN

SECURITIES, INSURANCE, AND INVESTMENT

Jon Tester, MT, Chairman

Mike Johanns, NE, Ranking Republican Member

Jack Reed, RI                       Charles E. Schumer, NY                     Robert Menendez, NJ         Mark Warner, VA

Kay Hagan, NC                   Elizabeth Warren, MA                        Heidi Heitkamp, ND

Bob Corker, TN                    Richard C. Shelby, AL                        David Vitter, LA                   Patrick J. Toomey, PA

Mark Kirk, IL                        Tom Coburn, OK

NATIONAL SECURITY AND INTERNATIONAL TRADE AND FINANCE

Mark Warner, VA, Chairman

Mark Kirk, IL, Ranking Republican Member

Sherrod Brown, OH             Joe Manchin III, WV                          Jerry Moran, KS

ECONOMIC POLICY

Jeff Merkley, OR, Chairman

Dean Heller, NV, Ranking Republican Member

Jon Tester, MT                     Mark Warner, VA                                Kay Hagan, NC                   Joe Manchin III, WV

Heidi Heitkamp, ND

Tom Coburn, OK                 David Vitter, LA                                   Mike Johanns, NE               Mike Crapo, ID

Webinars for Better Business

Schedule

Upcoming Webinars

February is all about building a better business! Whether it's using an NAHB designation to increase your profile, or learning the cost of running your business, you're guaranteed to learn something that you can apply immediately!

Webinar Rewinds

To view a list of past webinars, please visit the Webinar Rewind page.

The Source for Quick CEs

If you hold an NAHB professional designation, each webinar counts for one hour of continuing education credit.

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Branding Yourself and Your Business Using Your NAHB DesignationFeb. 13, 2:00-3:00 p.m. ET
Business Improvement series
You’ve earned a NAHB professional designation … now what? The next step is getting the word out. Branding is the best way to separate yourself from your competition. Whether you are a CAPS, CGB, CGP, CGR or hold another designation, NAHB has created a wide range of resources to help you market and promote those letters. In this webinar, FREE to NAHB Designation holders, we’ll show you how to take advantage of affordable and easy-to-use tools and get noticed. You’ll also hear directly from experienced industry pros who have built their personal brand through their NAHB designation and are currently using it to expand their business.
Presented by NAHB Education

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NAHB Remodelers Cost of Doing Business Study
Feb. 20, 2:00-3:00 p.m. ET
Economics & Research series
The NAHB Remodelers Cost of Doing Business Study is one of the most important business management tools remodelers can use. The study is based on a nationwide survey of remodelers. Using candid answers about annual revenue, cost of sales and operating expenses, as well as company assets, liabilities and equity positions, NAHB calculates average gross and net profit margins as well as critical financial ratios for remodeling professionals nationwide. Results will be analyzed by region of the country and business model (general remodeler versus design-build remodeler). Speakers will discuss the important metrics presented in the study, why remodelers need to understand them, and how they can use them to gauge the health of their operations.
Presented by NAHB Remodelers

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What Do Home Buyers Really Want?Mar. 6, 2:00-3:00 p.m. ET
Economics and Research series
Many in the industry are wondering about what home buyers really want and will not give up in today’s market, as well as which features they are ready to leave behind in light of current economic realities. Based on the 2012 NAHB study “What Home Buyers Really Want,” speakers will analyze the most current data on buyer preferences so that NAHB members can deliver the home (and community) that today’s buyers want and are willing to pay for. Real-world examples, imagery and drawings of the findings will also be presented.
Presented by NAHB BuilderBooks

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Secrets of Selling to the Multicultural Home Buyer - Registration Opening Soon!
March 13, 2:00-3:00 p.m. ET
Sales and Marketing series
More than one-third of all Americans are minorities and those numbers are growing at an exponential rate. The good news is that buying a new home is one of their highest priorities; however, to get your share of this huge and expanding market, you must become aware of the unique needs of Hispanics, African Americans, Asians, Middle Easterners and others. Find out why they don't necessarily want to work with a salesperson from their own culture, how to overcome their objections and how to deal with culturally-based beliefs. Learn to build positive long-term relationships with multi-cultural customers and get referrals that will increase your profits and dramatically cut marketing costs.
Presented by Professional Women in Building

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Builders Guide to Appraisals: Obtaining Accurate Valuations on New Homes - Registration Opening Soon!
Mar. 27, 2:00-3:00 p.m. ET
Policy and Finance series
Major changes have occurred in appraisal standards and practices in the wake of housing and financial market turmoil. These shifts present major challenges to home builders in financing and selling their homes.  This program will provide information on the new appraisal landscape, help builders obtain more accurate appraisals and discuss NAHB's blueprint for appraisal reform.
Presented by NAHB Housing Finance

A Return On Your Membership Investment

"Reflections on 2012: A Return On Your Membership Investment"

                                              Theodore Roosevelt

2012 may be in the rear view mirror but the road that we traveled as a Federation, was significant. 

President Roosevelt's quote lends itself to today and the National Association of Home Builders (NAHB). With fewer staff and association volunteers that never tired,  NAHB challenged the laws of chaos echoing from the last gasps of the "Great Recession."

The average member may not be familiar with their national membership and what it truly means to them as a benefit, but I can assure you that your national dues investment pays dividends.

To keep you informed on the latest legislative, regulatory and other policy developments concerning your association and what NAHB is doing to highlight the value of membership and save you money, I strongly encourage you to act now and subscribe to the Washington Update and the Monday Morning Briefing by clicking on the link below.

Subscribe Now!

"Reflections on 2012"

(A Return On Your Membership Investment)

To help put into context the enormous value that NAHB provides to builders, remodelers and associates on an ongoing basis, let me take a moment and reiterate what was discussed at the International Builders’ Show last month in Las Vegas. Throughout the event, Senior Officers spoke at numerous committee meetings to articulate the value of NAHB membership and how your national association worked doggedly to add to the bottom line of every member.

At any given time, NAHB is working on more than 100 complex issues – and doing its utmost to save members money – in areas including the tax code, federal housing programs, environmental laws, building codes, OSHA, building materials, qualified residential mortgages, residential appraisals and many others.

Such issues can severely impact our industry; a single win can save builders thousands of dollars on every home they build. Likewise, a single loss can cost builders thousands of dollars on every home they build.

Below is a list of some of the more significant advocacy victories NAHB has achieved recently in terms of monetary impact. Please note that the dollar values below are based on averages across the industry and that these numbers do not necessarily apply in all areas of the country. 

1.      Challenge to EPA storm water regulations saved builders $1,970 on each home built. 

2.      Advocacy on form 1099 reporting requirements saved each member $230 per year.

3.      Saved Remodelers $260 per room on lead testing requirement.

4.      Flood insurance victory will preserve 10,100 new home sales in 2013.

5.      Fire sprinkler victories will save $6,316 per home in some areas in 2013.

6.      Supreme Court win could save $200,000 for those seeking wetlands permits.

7.      Higher FHA loan limit saved 6,300 new home sales in 2012.

8.      Elimination of visitability porch requirement will save $1,350 per home.

These represent just a fraction of the issues that NAHB addresses on an ongoing basis. More details on these and other NAHB initiatives are available on the following pages. In addition, NAHB continues to advance the policy priorities determined by its Board of Directors.

A Closer Look at NAHB’s Value

NAHB logged significant victories advocating for members in the legal, legislative and regulatory arenas during 2012. It leveraged the association’s power to testify before Congress and shine a light on key issues, got pro-housing bills introduced and passed, challenged regulations that do more harm than good, and leveled the playing field against powerful interests that could put struggling builders, remodelers and their suppliers  out of business.

NAHB’s advocacy efforts saved the typical home builder roughly $7,250 per housing start in 2012, including both single-family and multifamily. Below are just a few examples of NAHB policy victories that led to big savings for builders and remodelers. Note that the dollar values below are based on averages across the industry. These numbers do not necessarily apply in all areas of the country.

1.     NAHB challenge to EPA storm water regulations saved builders $1,970 on each home built. NAHB actions related to EPA storm water regulations helped builders with their bottom line. Following regulatory and legal challenges by NAHB, the EPA acknowledged that the government did not have sufficient data to support a numeric limit for storm water discharges. EPA then withdrew its onerous proposed numeric limit, an action that saved builders $1,970 on each home built in 2012.

2.     NAHB advocacy on form 1099 reporting requirements saved each member $230 per year. Another example of savings comes in tax policy. Expanded 1099 reporting requirements in the tax code would have required companies to file a 1099 form for every corporate purchase over $600 in 2012. NAHB strongly objected to the reporting requirement, and it was removed. This saved members roughly $230 – and countless administrative headaches – per year.

3.      NAHB saved Remodelers $260 per room on lead testing requirement. In a victory for NAHB Remodelers, the EPA rejected a proposal to add third-party clearance testing to the Lead: Renovation, Repair and Painting Rule, a requirement that would cost NAHB members $260 per professionally remodeled room (923,000 rooms in 2012). This issue concerns a requirement for a “swipe test” following professional remodeling in all pre-1978 houses. This rule was expected to cost $260 per professionally remodeled room and that, according to the EPA, would cost $400 million nationwide.

Thus, annual savings are: $260 x the number of rooms to be professionally remodeled in 2012 = Total 2012 savings. NAHB estimates that 60% of remodeling work was done professionally (2009 American Housing Survey) and that 1.5 million rooms were remodeled in 2012. That saved the industry $240 million in 2012.

4.     Flood insurance win will preserve 10,100 new home sales in 2013. NAHB advocacy averted the loss of approximately 10,100 new home sales that would have been prevented by the expiration of the NFIP. The National Flood Insurance Program has endured many short term lapses in recent years, which caused costly delays for home builders and buyers and even resulted in canceled sales. Reauthorizing the program for five years will prevent such lapses and the resulting delays and sale cancellations.

NAHB also worked with lawmakers to successfully remove unfair requirements that would have caused countless owners of property behind dams or levees to purchase coverage regardless of flood risk.

NAHB’s efforts on the National Flood Insurance Program saved NAHB members $2.42 billion in gross revenue in 2013 by preserving the sales of approximately 10,100 newly constructed home sales that would not have occurred otherwise due to higher costs for home buyers in these areas ($60,000 on average).

5.     Fire sprinkler victories will save $6,316 per home in areas where the victories have been achieved. Since a requirement for residential fire sprinklers was adopted in the 2009 and 2012 IRC, NAHB’s Construction, Codes and Standards staff has worked with state and local associations to defeat mandatory sprinkler requirements in many states. The Construction Codes and Standards staff maintains an online record of states where sprinkler mandates have been defeated. In these areas, builders will save an average of $6,316 per home, based on the average in the Fire Protection Research Foundation’s “Home Fire Cost Assessment Study” (which includes costs of design, permits, additional equipment needed, and increased tap and water fees; but not a builder’s overhead, profit margin, or possible increases in financing costs or broker fees).

6.     Supreme Court win could save $200,000 for those seeking wetlands permits. Agreeing with NAHB arguments (submitted in the form of two amicus briefs) that a property owner who receives a Compliance Order from the EPA should be able to obtain judicial review in court, the U.S. Supreme Court on March 21 handed down a unanimous decision in Sackett v. U.S. Environmental Protection Agency that brought relief to property owners on this matter. The case means that any builder who receives a Clean Water Act Compliance order can challenge that order in federal court. In addition, whereas builders have previously had no place to turn when the EPA or Army Corps determines that a wetland or water body on their property falls under the agency’s jurisdiction, they may now be able to seek relief in court. For builders who seek judicial review and win relief in court, savings from not being forced to file a wetlands permit can exceed $200,000. 

7.     Higher loan limit saves 6,300 new home sales in 2012. Home builders and buyers won an important victory in late 2011 when Congress restored higher loan limits through 2013 for FHA-backed mortgages. NAHB advocacy prevented the loss of 6,300 new home sales in 2012 and the reduction of prices of another 20,000 new home sales. NAHB estimates three impacts from the higher FHA loan limits. (1) Sales of more than 1,300 newly constructed homes would not have occurred in 2012 if the loan limits had not been restored. (2) Just over 20,000 home sales would have occurred, but the higher finance costs would have reduced demand, lowering purchase prices by approximately 6% on average. (3) Finally, about 13,000 owners of existing homes in high cost areas would have been unable to sell their homes. That would have resulted in the loss of more than 5,000 new home sales to trade-up buyers. The total value for the industry was $1.904 billion in 2012. 

8.     Elimination of accessibility porch requirement will save $1,350 per home. Some advocates have lobbied heavily in recent years to include provisions in the IRC to make all new homes “visitable” to disabled persons, regardless of whether or not disabled persons were likely to live in or visit the home. NAHB opposed these efforts and kept visitability provisions out of both the 2009 and 2012 IRC. One of the provisions that NAHB kept out of the code called for a zero clearance entrance, which in turn would require a 4x4 front porch to prevent water from entering the house. Using a front porch estimator available from A.D. Construction, Inc., NAHB staff estimated that the cost of the 4x4 porch needed for a zero-clearance entrance would average $1,350, and that a builder would save that amount on a home normally built without a front porch in areas that have adopted the 2009 or 2012 versions of the code.

These are just a few of the more than 100 advocacy issues and initiatives that NAHB was engaged in over the last year. Other NAHB efforts include:

Sensible Fall Protection Regulations from OSHA. NAHB is committed to training and educating its members on how to reduce fall-related injuries and to comply with OSHA regulations. NAHB has been working closely with OSHA on its fall protection regulations for the construction industry. These rules affect all segments of the industry, including single-family home builders, multifamily builders and remodelers. It is important that OSHA rules provide for safety and compliance without being excessively burdensome. NAHB is urging OSHA to review its fall protection standard to make it more effective, less burdensome, and more easily understood, implemented and enforced. The standard should also recognize that alternative fall protection methods should be a viable option in certain situations.

Working for Flexible, Cost-Effective Building Codes. Keeping building codes flexible, cost-effective and product-neutral remains a top NAHB priority. Every year, NAHB analyzes thousands of proposed codes from mandatory fire sprinklers to energy conservation rules and prevents requirements that could add tens of thousands of dollars to the cost of building a new home without any appreciable benefit to home buyers. According to the NAHB Research Center’s 2012 IECC Cost Effectiveness Analysis, the additional cost to build a home to the 2012 IECC relative to the 2006 IECC is $7,034. The majority of that increase – $5,668 – is associated with the changes between the 2009 and 2012 versions of the IECC. NAHB’s successful effort to prevent widespread adoption of the 2012 IECC energy code in several states was a victory for sensible, flexible, cost-effective regulation.

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Homeownership Campaign Reaches More than 25 Million Americans. NAHB launched a nationwide Protect Homeownership campaign in 2012 to safeguard the mortgage interest deduction and other pro-housing policies. The successful campaign attracted thousands of policymakers, business owners, community leaders and consumers to learn the facts, sign a petition and attend rallies in political swing states this election year. Overall, NAHB was able to reach more than 25 million Americans through newspapers, radio and television news and social media. Our efforts to elevate housing on the national agenda sent a powerful message to the media and members of Congress: Americans value homeownership, and lawmakers need to support pro-housing policies that will create jobs, help local communities to flourish and make it easier for buyers to purchase homes.

Taking the Lead to Ensure that Appraisals Accurately Reflect Market Values. 

Acting aggressively to identify solutions to improve the accuracy of appraisals, NAHB’s Appraisal Working Group is focusing on changes in the areas of regulation and oversight, appraisal practices and standards, appraiser education and experience requirements, and data and technology. Meanwhile, NAHB is calling on Congress and regulators to strengthen appraiser qualifications, develop new appraisal standards and oversight, and create an expedited appeals process.

NAHB has developed tools to help members secure accurate appraisals and continues to hammer home the message to lawmakers, regulators, banks and the appraisal industry that distressed properties should not be compared to new homes. Builders should not be losing sales to an appraisal process gone awry. NAHB continues to make progress with regulators and members of the appraisal industry to correct these major flaws in the appraisal process, ensure that appraisals accurately reflect true market values and prevent builders from losing sales due to faulty appraisals. For more information, go to www.nahb.org/appraisals.

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Keeping Credit Flowing for Home Builders. Ensuring there is sufficient credit to produce new homes is essential to keeping builders in business. Because the difficulty of accessing and maintaining construction credit continues to be a major obstacle for home builders and the housing recovery in general, NAHB has been aggressively pushing for solutions to this crisis on both the regulatory and legislative fronts. NAHB worked with lawmakers in the last Congress to introduce legislation to address the credit issue for home builders and will seek to build on that foundation in the 113th Congress.

Meanwhile, NAHB is leading the effort to help its members find alternative sources of financing so that they can obtain the necessary financing they need to stay in business. NAHB has identified several companies that are offering financing to builders, and we have provided members with a list of non-traditional lenders willing to finance home construction. NAHB also has developed a web-based toolkit for people seeking AD&C funds from local investors such as family, friends and other high net worth individual investors. That toolkit is now available at nahb.org/FundingToolkit. 
 

The bottom line: Mortgage liquidity is the lifeblood of the housing industry. If builders can’t get housing production loans, they can’t build homes and they can’t stay in business. For more information, go to www.nahb.org/adc.

Lead Paint Rule Opt Out Provision Would Save Industry Millions in Compliance Costs. NAHB is in the forefront in preventing expensive, pointless regulations from impeding home building and remodeling. And no other organization has been as active in seeking sensible regulation of lead paint abatement. Just reinstating the lead paint rule opt-out provision for homes not occupied by children or pregnant women would save the industry $336 million annually in compliance costs.

Working with the Media to Boost Consumer Confidence in Housing. Setting the record straight on the housing recovery so that home buyers aren’t frightened away by negative stories in the media is an association priority. NAHB introduced the Improving Markets Index to educate the public about the increasing number of metro areas experiencing growth in jobs, starts and home prices as proof that housing is moving in the right direction.

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Ensuring that Home Buyers Have Access to Affordable Mortgages. NAHB took the lead in keeping mortgages affordable and available to credit-worthy home buyers by telling Congress and the public the truth about ill-considered proposals on housing finance reform. Tightening mortgage lending standards and transitioning away from the federal backstop of the housing finance system could crush the home building industry and delay the American Dream of homeownership for hundreds of thousands of families. NAHB has presented lawmakers 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.

NAHB Takes Fight for Property Owners to Highest Court in the Land. Fighting on behalf of property owners, NAHB on Nov. 28, 2012, filed an amicus (friend of the court) brief with the U.S. Supreme Court in Koontz v. St. Johns River Water Management District, a landmark case that will have major implications for land developers across the country. The U.S. Supreme Court will decide the extent to which government can require a home builder or developer to pay money or make improvements to off-site land miles away from their own property before they can develop their own land.

The filing in support of Koontz and the rights of all property owners details how the defendant has overstepped its bounds. “No matter how well intentioned the government may be, the Constitution was not designed to make government’s life easier at the expense of private citizens,” the brief said. “Plainly, there must be some limit on the ability of government agencies to impose conditions on the issuance of permits. Otherwise, no citizen’s rights as to anything would be secure.” The Supreme Court is expected to rule on the case by June 30, 2013.

Top Notch Education at Below-Market Costs. Giving members the tools they need to succeed, NAHB members paid discounted rates for more than 800 NAHB education classes held throughout the year at local home building associations across the country – and got top-notch instruction on topics from OSHA compliance and setting up a business plan to universal design and marketing to seniors. 

In addition, members enjoyed free access to national webinar presentations on this year’s economic outlook, help with the appraisal process, AD&C financing and other issues. In all, NAHB has produced more than three dozen webinars (either free or offered to members at a low cost) on industry issues, trends and best practices. In recent polling of NAHB members who participated in the webinars, 98 percent said they will be able to apply what they learned to their job.

GM Affinity Program Saves Members $2 Million. Putting members in the driver’s seat, the NAHB General Motors affinity program saved members more than $2 million on the purchase of GM vehicles in 2012. Those who took advantage of this program saved $500 on their auto purchase, which more than offset the cost of their national membership dues. Further, hundreds of local dealers have joined NAHB, and many have helped to recruit new members by promoting this valuable offer and getting involved in their local HBA.

Networking Opportunities Boost the Bottom Line. Offering unparalleled networking opportunities, the NAHB 20 Clubs are comprised of similar type builders or remodelers from non-competing markets who meet several times a year to share their wisdom and learn from each other in order to improve their operations and increase their bottom lines. Statistics indicate that 20 Club members perform better than non-members in financial growth and long-term success. Members share and compare financial information, look for trouble spots, and offer each other advice on how to increase their profit ratios and improve their performance. A builder testimonial: “The 20 Club program is a necessity for any builder in any market. The program has not only helped me keep the lights on, but has helped me grow my business over 350% throughout the downturn. Gaining advice from peers in other markets across the country who face the same challenges I face is invaluable.”

Professional Designations Keep Builders a Step Ahead of the Competition. Helping members to stand out, NAHB offers several professional designation programs that enable NAHB members to set themselves apart from the competition and establish themselves as an expert in their particular field. Offerings include the Certified Aging in Place Specialist, Graduate Master Builder, Certified Green Professional, Certified Graduate Remodeler and more. In a 2012 NAHB consumer survey, 83 percent of home buyers said that contractors with professional designations are more “professional and credible,” and 64 percent said that contractors with professional designations are “worth paying a higher price for.”

A Website That Better Meets the Needs of Members. Ensuring that the association delivers relevant and timely information to all of its constituencies and audiences, NAHB is creating a new state-of-the-art website that meets the complex needs of its members and is scalable to meet the future needs of the industry.

The Year Ahead: As Congress tackles tax reform, NAHB will be deeply engaged in the debate and will work to protect current housing incentives. Moreover, the debate on how to wind down Fannie Mae and Freddie Mac and determine the future role of the U.S. housing finance system is also expected to be front and center. Actively involved in this matter, NAHB has moved preemptively by issuing a white paper on restructuring the housing finance system that seeks an appropriate federal role to ensure a reliable and adequate flow of affordable housing credit. NAHB will continue to meet with Administration officials, members of Congress and federal regulators to advance these goals in the coming year. NAHB will also continue to work with all relevant stakeholders to seek major reforms in appraisal practices and oversight to ensure that appraisals accurately reflect true market values and don’t contribute to price volatility.

Submitted by Michael Kurpiel, CGA, CGP

Rick Judson -- Chairman of the Board

February 3, 2013

"Introducing the 2013 NAHB Chairman of the Board"

With every new year comes a changing of leadership within our Federation. The national level of leadership is no different. As this year begins so does the leadership of Rick Judson, a Charlotte, North Carolina based home builder. Rick has over 35 years of experience in the building industry and is welcoming the opportunity to give back to his industry as he becomes the 2013 Chairman of the Board of the more than 140,000 member National Association of Home Builders (NAHB).

Read Rick's bio by click here

Rick accepted the position of  2013 NAHB Chairman of the Board on January 24, 2013 at the International Builders Show in Las Vegas, Nevada. After accepting the chairmanship, Rick addressed the national board, comprising members from across the country. Here is Rick's thoughts after accepting; 

Rick Judson

 "The 2013 NAHB Chairman of the Board"

"I am truly excited about the coming year and  appreciative of the commitment of support that you have offered. This year is not about what a NEW chairman will do, but about what WE as leaders of our industry will do. I equate many things to sports analogies simply because I understand the sports “concept” of individual sacrifice and commitment to the overall team goal.  

We are going to approach this year with that TEAM concept, as we have tried to develop this past year.  We will not win every down, nor will we score every inning, BUT in the end, we WILL win.  We will win because we will work harder, smarter, and with more commitment than our opponents.  Our goals will be clearly defined as will our responsibilities for achieving them.  

Each committee chair, appointee, and coordinator has given personal commitment to accountability.  I would hope each of you will do the same. That does NOT mean that we will agree on every issue; it does mean that when a course of action is ultimately taken, we ALL work to achieve its success. As I mentioned, we won’t win every event, but it will not be for a lack of effort.  I and this senior officer team will not back down from ANYONE, or ANY ISSUE… if that is the direction you send us. All I would ask is that you be there with us.  I promise we will be there for you! I sincerely look forward to this year and I thank you VERY much for the support."

Rick's talk, while brief, was direct and to the point; we must work together through teamwork, and not just at the national level. Rick was addressing board members made up of local home builders associations. Every voting member at the national level comes from the local level. 
We need the national board members, and members representing their local and state associations through other avenues of volunteerism, to be the bridge to our locals and make sure that we all work together through teamwork. 

This blog was written on Superbowl Sunday, the day the ultimate game is played and a game that takes complete teamwork throughout the season to get to and win. I can't think of a better day to deliver Rick's teamwork message. Together, we can accomplish great things. Separately we could never truly experience a fully protected building industry and we could never fully give our members 100% of the benefits of the total membership experience. 

Submitted by Michael Kurpiel, CGA, CGP