3221 Harrison Pike Chattanooga, TN 37406 Phone (423) 624-9992 | Fax (423) 624-9435
State & National Updates

Demand is high but inventory is low

March 12, 2018

Business Matters

First-Time Home Buyers Deflated but not Deterred

Demand is high but inventory is low.

HBI Receives $50 Million Grant to Train 20,000 Skilled Workers

The Home Depot Foundation's generous donation supports NAHB's workforce development arm.

'Qualified Business Income' and You

Tax Reform Toolkit blog post covers the basics.

What's the Next Wave in Smart Home Technology?

The answer can be summed up in two words.


On Capitol Hill

NAHB Talks Regulatory Reform with Lawmakers

Chairman Randy Noel cites progress but stresses the job is not done.

Download Housing Data by Congressional District

New Internet portal helps housing  providers and advocates.


Builder testifies on ways to improve how OSHA operates.


Inside Washington

A Better Approach to Enhance Worker Safety

Builder testifies on ways to improve how OSHA operates.

NLRB Restores Obama-era Joint Employer Standard

Surprise move highlights need for a legislative solution.

New Tax Regulations Affect Transportation Subsidies

Few will be happy with these changes.

WOTUS Rule on Hold Until 2020

In the interim, NAHB will work with the administration to craft a new rule.



U.S. to Impose Stiff Tariffs on Steel and Aluminum

Builders are already grappling with 20% tariffs on Canadian softwood lumber.

Starts and Sales Tell Two Tales

Meanwhile, the median size of new homes continues to decline.

Housing Slow Out of the Gate in 2018

Higher interest rates could be causing short-term market volatility.

Around the Nation

Alabama HBA's New Course Tackles Appraisal Issues

A win-win for appraisers and builders.

Inmates Get Second Chance to Re-enter the Workforce

HBA of Greater Kansas City in unique partnership to train workers.


Total housing starts posted strong gains in January, up almost 10% to a 1.33 million seasonally adjusted annual rate.

February 28, 2018


January Starts, Sales Tell Different Stories

Total housing starts posted strong gains in January, up almost 10% to a 1.33 million seasonally adjusted annual rate. Single-family construction recorded a nearly 4% rise in January, with the three-month moving average near a post-recession high. The increases in construction activity mirror solid levels for the NAHB/Wells Fargo Housing Market Index, which registered a level of 72 in February — near a two-decade high. The volatile multifamily data was up 24% in January. 


Contracts for sales of newly built single-family homes disappointed in January, declining by almost 8%. However, these numbers were at odds with other reports, including ongoing housing price growth and individual builder reports of sales. But the drop matched pending sales of existing homes, which dropped 4.7 in January. Though the January new home sales data will likely be revised up, current inventory of new, ready-to-occupy homes available for sale remains tight.


The median size of new homes continues to decline as the market broadens to include more entry-level homes. The townhouse market grew 7% in 2017, while at the upper end, custom homes saw a more modest growth rate of 2%. The home building and remodeling sectors should continue to expand overall in 2018, fueled by healthy labor conditions and wage gains. The improving economy and increases in income will largely help to offset the hindrance of higher interest rates on housing demand. 

–NAHB Chief Economist Robert Dietz

Starts Status

Total Housing Starts Near Post-Recession High

A strong showing from the multifamily sector led to January's jump. 

Multifamily Built-for-Rent Share Remains Elevated

Starts of rentals accounted for 95% of the multifamily market. 

Townhouse Construction Expands

After a brief lull, the market share of town homes is rising again. 

Custom Building Increases Slightly in 2017

Market share is now 20%, compared to a cycle high of 31.5% set in 2009.

Small Gains for Single-Family Built-for-Rent Construction

Nearly one-third of starts in 2017 came in the fourth quarter. 

Industry Insights

Double-Digit Drop in OSB Prices

The steep decline brings prices back to January 2017 levels. 

Builder Confidence Stays Strong

Housing demand remains positive, but supply-side hurdles persist. 

Home Prices Rose in December

All 20 of the nation's metro areas reported positive annual growth rates.  

Apartment and Condominium Market Ends 2017 on a Positive Note

The majority of builders report market conditions are improving. 

Economic Indicators

Pending Home Sales Start 2018 Lower

Sales level dropped to the lowest level since 2014 due to rising rates and low inventory. 

Inflation Steady with Growth in January

Average hourly earnings are growing, but not at pre-recession rates. 

New Home Size Continues to Fall

Further declines are expected as the entry-level market expands.

Permits Grow Across Most States Over 2017

Twenty states saw growth above 9.6%, but five states recorded a decline.


It can be described in one word.

Sales & Marketing

The Key to Successful Sales

It can be described with one word. 

55+ Builders See New Housing Trends in Florida

Not all buyers in this demographic are downsizers.


Builder Confidence Stays Strong in February

Sales expectations are at a post-recession high. 

Housing Production Makes Healthy Gains

New year starts with a surge in multifamily. 



Industry Insight

Driverless Cars Might Take Housing Along for the Ride

Emerging technology could affect where buyers decide to live. 

How Long do Buyers Search for a Home?

The reason why it takes longer than three months for most shoppers. 



Last week's labor market report, ostensibly showing positive news in the form of 2.9% year-over-year gains for earnings, increased volatility for stock prices as investors reassessed their outlook for market risk and interest rates.

February 14, 2018


Rising Rates, Higher Wages: A Counterbalance on Affordability

Last week's labor market report, ostensibly showing positive news in the form of 2.9% year-over-year gains for earnings, increased volatility for stock prices as investors reassessed their outlook for market risk and interest rates. Wage gains are good news for rental and for-sale housing demand, but income growth without improvements for worker productivity can be inflationary. 


While inflation remains tame, it is showing signs of an increase. For example, the three-month moving average annual change of core CPI is now at 2.9%, the highest since August 2011. As a result, interest rates have increased significantly over the last month, with the 10-year Treasury bond near 2.9%. Higher rates for the 10-year Treasury will push up mortgage rates, with the 30-year fixed-rate mortgage now averaging above 4.3%


Rising rates increase the cost of buying a home with a mortgage. However, higher incomes are particularly helpful for home buyers saving for a downpayment and help counter the negative effect of higher mortgage rates on housing affordability. This environment can yield overall positive outcomes for housing, provided the wage gains are accompanied by improvement for productivity in the post-tax reform economy.


–NAHB Chief Economist Robert Dietz

Employment Conditions

Solid Job Growth in January

Labor Bureau reports employment rose by 200,000 last month. 

Construction Job Openings Decline 

Home builders and remodelers added 32,000 net jobs. 

Fed Survey: Concerns Exist Despite Economic Improvement

Lending standards have eased, but employment could be an issue. 

Employment Rose in 33 States in December

All but two states saw year-over-year growth. 

Industry Insights

Home Search Takes More Than 3 Months for Most Buyers

NAHB survey reveals key reasons why more shoppers aren't pulling the trigger. 

Driverless-Car Concept Gaining Favor Among Consumers

Most adults say they would consider buying a self-driving car. 

Single-Family Builders Score High on Energy Efficiency

Nearly 3 in 4 homes met or exceeded the threshold for an NGBS bronze rating. 

Housing Affordability Remained Flat in 2017

National median home price dipped slightly in the fourth quarter. 

Tiny Homes Might Have Potential Buyers

Poll shows millennials aren't the only ones interested in tiny homes. 

Economic Indicators

55+ Households Account for $62 Trillion in Net Worth

Key demographic holds two-thirds of the nation's home equity. 

Homeownership Rates Rise for All Minority Groups

Rates still vary significantly between races. 

Metro Areas Across the Country Show Continued Improvement

House prices have normalized in nearly 99% of metro areas. 

Inflation Steady with Growth in January

Broad-based measure is up 2.1% over the last year.

Interest Rates Tick Up

Measures to finance the tax cuts could continue to push up long-term rates. 


Measure contains key NAHB housing tax priorities.

February 12, 2018


Housing Tax Extenders Included in Budget Accord

Measure contains key NAHB housing tax priorities. 

Millennials Lead the Homeownership Resurgence

A notable upswing among those under the age of 35. 

Housing Affordability Remained Flat in 2017

A number of factors could signal affordability woes in the first quarter.

55+ Households Account for Two-Thirds of America's Home Equity

This key demographic holds the lion's share of household wealth. 

Industry Insights

Finding Hidden Profits From Change Orders

Vague contracts could be costing you significant time and money.  

Scary Truths About Jobsite Fatalities

More than 4 out of 10 of these deaths are attributed to falls. 

Competing with Big Builders the Smart Way

Key strategies to finding and purchasing land. 


NAHB Seeks Nationwide Injunction on WOTUS Rule

Coalition argues the rule is likely unlawful. 




The Weekly News Digest of NAHB

January 29, 2018

Sales & Marketing

What Millennial Home Buyers Want

The nation's largest demographic group has some strong opinions.  

So Much is Cooking in Today's Kitchen Designs

There's an abundance of choices for consumers. 

Triple Play

3 Keys to a Killer Website

It's not about analytics, it's about sales. 

How to Prepare a Profitable Project

This three-part live webinar series provides the answers. 

3 Pioneering Products to Watch

All share a global commitment to innovation. 




Close to Home

Young Professionals Find a Path to Success

Networking helps build a better business. 

NAHB's Associate Committee Honors Dedicated Members

Five awards presented during the 2018 IBS. 

New Home Sales Post Healthy Gains in 2017

December's reading is down from a strong November showing. 



Supreme Court WOTUS Ruling a Win for NAHB

Decision allows litigation to move forward. 

Missing Frog the Center of Endangered Species Case 

High court to rule on "unoccupied critical habitat" designation. 


Builder confidence reached a nearly 19-year high at the end of 2017, according to the NAHB/Wells Fargo Housing Market Index

January 18, 2018


Housing's Strong Finish in 2017

Builder confidence reached a nearly 19-year high at the end of 2017, according to the NAHB/Wells Fargo Housing Market Index. While the first reading of 2018 wasn't quite as high, a positive level of 72 indicates a solid amount of continued optimism. Additionally, the Remodeling Market Index showed strength, coming in at a level of 60 and marking its 19th consecutive quarter in positive territory.


While housing starts dipped slightly in December, the 2017 totals for single-family construction were positive — nearly 9% above the 2016 totals. Multifamily starts, however, were down almost 10% as that market finds a balance between supply and demand. NAHB expects single-family starts to increase nearly 5% in 2018, while multifamily starts will decline slightly.


A recent NAHB survey of builders identified the top concerns for the industry. Building material prices and labor costs/availability were cited by 84% of builders as significant problems they expect to face in 2018. The next most commonly cited challenge was the cost/availability of lots, referenced by 62% of builders. Despite these obstacles, the industry continues to expand, adding 86,400 jobs over the last year as housing demand continues to rise. 


–NAHB Chief Economist Robert Dietz

Industry Insights

Single-Family Sector Boosts Housing Production

Starts declined in December, but 2017 overall saw significant gains. 

Builder Confidence Remains Strong as New Year Starts

Changes to the tax code expected to boost small business and the broader economy. 

Softwood Lumber, OSB and Gypsum Lead 2017 Price Increases

Prices for all major construction materials increased last year. 

Pending Sales Rose in November

Some experts project existing home sales and price growth will slow.  

Apartment and Condo Absorption Climbs

The 2017 rate is still lower compared to those seen from 2012 to 2015. 

Economic Indicators

Property Tax Revenue Increases Yet Again

It has been five and a half years since the last decline. 

Consumer Confidence Drops in December

But the portion of prospective home buyers increased from the previous month. 

Mortgage Rates Rose in 2017

However, rates remain at historically low levels.

Core Inflation Remains Steady

Energy prices largely contributed to the increase.

Southern and Western States Lead Population Growth

Eight states registered population declines in 2017. 

Employment Conditions

Materials Prices, Labor Access Top Challenges for 2018

Attempts to limit the mortgage interest deduction also a widespread concern.

Share of Immigrant Workers Continues to Grow

U.S.-born workers have been more reluctant to return to construction.  

Report Estimates 148,000 New Jobs in December

Unemployment remained at 4.1% for the third consecutive month.

Employment Increased in Most States

Texas, California and New York enjoyed the largest growth.


Confidence among builders at the end of 2017 reached its highest measure in more than 18 years. Much of that optimism is due to tight existing home inventory, a solid economy with low unemployment, and an improving policy environment that offers hope for reduced regulatory burdens.

January 4, 2018

Builders Start the New Year Filled with Optimism
Confidence among builders at the end of 2017 reached its highest measure in more than 18 years. Much of that optimism is due to tight existing home inventory, a solid economy with low unemployment, and an improving policy environment that offers hope for reduced regulatory burdens.

Census estimates of home construction also helped fuel the rise in builder confidence. By November, single-family starts were up 9% on a year-to-date basis, and sales of new single-family homes had increased 17.5% from the month prior — reaching the fastest sales pace in more than 10 years. Growth for residential construction is expected to continue, as a growing share of new homes are being sold from the "not under construction" class.

However, supply-side headwinds will continue to hamper housing in 2018, as will the tight labor market and rising prices for materials. The Federal Reserve will continue to increase interest rates, which will slowly reduce housing affordability, though that impact will be offset by increases in after-tax income. Some markets — particularly high-tax/high-cost markets in coastal areas — will experience some negative effects due to tax law changes. But from a national perspective, single-family construction will continue to expand.

NAHB Chief Economist Robert Dietz

Starts and Sales

New Home Sales Hit Post-Recession High in November

All regions of the U.S. reported growth, led by a 30% uptick in the Northeast.  

Existing Sales Surge in November

Year-end rally leads to the most sales since December 2006.

Private Residential Spending on the Rise

Single-family construction spending increased to its highest annual rate in a decade.

Permit Volume Grows in Most States

State-by-state comparisons show Texas atop most lists of permits issued.

Strong Estimates for Single-Family Starts

The rise in starts aligns with increased builder confidence. 


Industry Insights

Housing Market Primed to Expand in 2018

Builders enter year with high hopes for improved regulations.

Number of Hispanic Construction Business Owners Rises

Every age group saw growth between 2007 and 2012.

Homeownership Rate Increases

NAHB analysis shows more minorities are buying homes.

NAHB Economics Presentations to Attend at IBS

Several industry experts will offer analyses of what to expect in 2018.

Construction Trades Can Often Lead to Higher Paying Jobs

Study finds eight senior positions in home building typically filled by someone with trade experience.

Economic Indicators


Economic Growth Exceeds Potential in 3rd Quarter

It was the fastest growth rate since the first quarter of 2015.

Consumer Spending Up, Savings Rate Down

Disposable income rose for three consecutive months. 

Housing Share of GDP Declined in 3rd Quarter

Home building and remodeling component held steady.

Home Prices Continue to Increase in October

Price appreciation continues to impact housing affordability.


After a mild 2016, economic growth gained momentum in 2017.

December 14, 2017


Housing's Growth Tempered by Tight Labor, Costly Materials

After a mild 2016, economic growth gained momentum in 2017. New jobs continue to be produced and unemployment (4.1%) is low. While this is positive news for housing demand, the unceasingly tight labor market conditions mean increased competition among employers for a smaller number of available workers. This is one of the reasons the construction industry continues to see an elevated number of open jobs: 227,000 in October, near a post-recession high. It also implies additional wage growth in the year ahead.  


Builders can also expect continued growth in the cost of building materials. Since the beginning of the year, OSB prices have jumped 30%, softwood lumber prices are up almost 15% and gypsum prices have increased almost 8%. Additional building material supply is needed as the home building sector grows. However, duties imposed on Canadian softwood lumber of almost 21% accomplish the opposite of what the industry and home buyers need. NAHB estimates that the tariff on lumber imports alone is responsible for a nearly 7% price increase and has already driven up the price of a new home by an average of $1,360.


–NAHB Chief Economist Robert Dietz


Lending & Spending

Record-Setting Pace of Price Increases Continues

OSB and softwood saw the biggest jumps. 

Single-Family Construction Spending Up in October

Modest gains followed a slight dip the previous month. 

Growth Rate for Residential Construction Loans Picks Up

Uptick in the quarterly growth rate is good news for home building. 

Mortgage Rates Remain Low

Rates on new home purchases have fallen five basis points since June.

Industry Insights

How Canadian Lumber Duties Will Impact U.S. Economy in 2018

NAHB estimates nearly $1 billion in worker wages and government revenue could be lost. 

Construction Job Openings Rise in October

Hurricane recovery efforts exacerbated an already-fragile job market. 

Home Owners' Equity Improves

Market value of owner-occupied real estate is up $1.57 billion from a year ago. 

Pending Sales Rebound from Hurricanes

Strong demand still moderated by a decreasing inventory of existing homes. 

Economic Indicators

Solid Employment Gains in November

Unemployment rate reached its lowest level since 2001.

Personal Income and Spending Increase in October

Disposable income has grown 1.6% in the last year. 

GDP Growth Stronger than Initially Estimated 

Personal consumption was the biggest contributor. 

Top 10 States for GDP Growth in 2nd Quarter

Majority of states experienced accelerated growth. 


The latest economic news from NAHB

November 30, 2017


Rising Starts and Sales Indicate More Gains Ahead

October was a good month for housing. Single-family and multifamily housing starts rose by almost 14%. Single-family starts (877,000) are at a post-recession high and have grown 8% on a year-to-date basis compared to last year. 

And rising home sales indicate more gains are in store for residential construction. Existing home sales expanded 2% in October, while inventory fell for the 29th consecutive month to only a 4.4 months' supply. Newly built single-family homes sales rose 6% last month, recording its strongest reading in a decade.


At this sales pace, there is only a 4.9 months' supply of new homes available. Moreover, a rising share of new home sales is coming from homes that have not yet begun construction, pointing to additional gains for construction in the near term.


–NAHB Chief Economist Robert Dietz


Prices and Sales

New Home Sales Reach Strongest Pace in a Decade

Shrinking inventory of existing homes gives more momentum to new home construction.

Existing Sales Up 2% in October

Share of first-time buyers increased to 32%.

Home Price Appreciation Continues 

All 20 of the U.S. metro areas had positive annual growth.

Housing Starts

Slight Gains for Custom Home Building

Volume is expanding, but overall market share is seeing declines. 

Construction of Multifamily Rentals on the Rise 

Starts ticked back up to an elevated level of 95% in the third quarter. 

Townhouse Construction Growth Continues

Starts in the third quarter were 18% higher than a year ago. 

Housing Starts Rise in October

Solid readings from the single-family sector. 

Industry Insights

AD&C Financing Conditions Ease at a Slower Pace

All major categories of lending continue to report easing standards. 

How Many Toilets, Showers are in Newer Homes? 

NAHB study examines bathroom fixture trends through several decades. 

Multifamily Developer Confidence Weakens 

Third-quarter index reading the lowest since 2011. 

Declining New Home Size Trend Continues

Median size of a new single-family home has decreased to 2,378 square feet. 


Tax and Monetary Policy Impacts on Housing

Tax reform is the big debate in Washington, and the stakes are high. Certain components of the proposals would sideline and limit the mortgage interest and real estate tax deductions — two major factors in determining the costs and incentives of homeownership. Other elements of the proposals would provide reductions in small business and corporate tax rates and, due to NAHB advocacy efforts, protect the business interest deduction for real estate development firms.

Side-by-side, the Senate plan is much better for housing. It offers more generally favorable treatment for S Corps and LLCs due its rate schedule and more usable 17.4% pass-through business income deduction, while also protecting important affordable housing policies like the LIHTC and the tax-exempt bond program.

Change is also coming for monetary policy. Federal Reserve Governor Jerome Powell has been nominated to replace Federal Reserve Chair Janet Yellen, whose term ends in February. Powell is an excellent choice for the housing sector and will likely maintain the Fed's current approach to monetary policy with gradual interest rate increases and balance sheet reductions.

Given current market challenges — highlighted by recent reports concerning ongoing labor shortages, declining housing affordability and lagging single-family construction — tax reform and monetary policy should promote economic growth while recognizing the important role the housing industry plays in the overall economy. 


NAHB Chief Economist Robert Dietz

November 13, 2017

Inside Washington

Senate Tax Reform Bill a Better Starting Point

NAHB continues to fight for a homeownership tax credit.

House Passes Joint Employer Bill

Measure would provide certainty to small businesses.

Controlling Silica Exposure

Tool manufacturers suggest products to help builders comply.


The Evolution of the Building Envelope

Through the last few decades, the building industry has seen immense innovations that have contributed to safer, faster building practices and more energy-efficient homes.


Industry Insight

Massachusetts Builders, NAHB Rein in a Federal Land Grab

Nearly 1 million acres would have been placed under Clean Water Act control.

2018 ICC Code Adoption Kits Now Available

NAHB resources focus on cost-effective code changes.

Los Angeles Ranked Least Affordable Housing Market

San Francisco had held the top spot for the past five years.


Current version of Republican tax plan is unacceptable, says Granger MacDonald.


NAHB Prepares Tax Reform Offensive

Current version of Republican tax plan is unacceptable, says Granger MacDonald.

Labor and Material Costs Rising Faster Than Lot Prices

The challenge for builders is managing development costs.

New Home Sales Pace in September Hits 10-Year High

A return to the strong growth trend seen earlier this year.


Rules & Regulations


Silica Rule Now Being Enforced

OSHA issues interim guidance for inspectors.

NAHB Members Tell Regulators How to Define WOTUS

Builders explain the thicket of regulations they must navigate.

EPA Chief, Builders Talk Stormwater Enforcement

NAHB details how the agency can improve the process.


Business Matters

Hitting the 'Reset Button' and Finding Success

Joining his local HBA helps a Texas remodeler begin anew.

Spotlight on Construction Trades: Painting and Masonry

A look at two rewarding career paths in home building.

Say 'No' to IAPMO Duct Proposal

Code request could add more than $5,000 to the cost of a new home.

Construction Contracts & Law Live Online

This three-part webinar series will help protect your business.


Framework would lower business and individual tax rates.

Inside Washington

NAHB Commends GOP Tax Reform Plan

Framework would lower business and individual tax rates.

30-Day 'Good Faith' Enforcement of New Silica Rule

NAHB provides resources to help builders comply.

GOP the New Majority on the Labor Board

Latest Senate confirmation is an important change to the housing industry.


Business Matters


Restarting Your Business After a Natural Disaster

Tips to get you up and running again.

Green Home Building is Sprouting

New study shows that green homes are gaining market share.

After a slow start to the year, economic growth accelerated in the spring. According to the Bureau of Economic Analysis, GDP growth stepped up to a 2.6% annual rate in the second quarter, a significant improvement over the 1.2% rate registered for the first three months of 2017. NAHB forecasts the economy's modest growth will continue over the near term.

Economic Growth Picks Up the Pace


After a slow start to the year, economic growth accelerated in the spring. According to the Bureau of Economic Analysis, GDP growth stepped up to a 2.6% annual rate in the second quarter, a significant improvement over the 1.2% rate registered for the first three months of 2017. NAHB forecasts the economy's modest growth will continue over the near term.

The homeownership rate is finally showing signs of stabilizing after years of decline. Census Bureau data for the second quarter showed a homeownership rate of 63.7%, after reaching a cycle low of 62.9% during the second quarter of 2016. Moreover, the Census data also showed that for two consecutive quarters, the U.S. housing market has added more home owners than renters.

Demand for owner-occupied housing will depend on the future of the labor market, which continues to be tight. Over the last two months, the economy has added an estimated 440,000 jobs. The residential construction labor force continues to expand, but at a slow pace. In the last 12 months, home builders and remodelers added 188,300 jobs. However, the count of open, unfilled construction sector jobs increased in June to 225,000 — the highest count since September 2016.

NAHB Chief Economist Robert Dietz

Industry Insights

Number of Open Construction Jobs Climbs

After declining in the previous month, unfilled jobs increased significantly in June.

Homeownership Rate Bottomed Out?

Census data show signs of stabilization after reaching a low point one year ago.

Pending Sales Break Losing Streak

Fewer investors meant first-time buyers had a better chance to enter the market.

Builder Confidence Strengthens in the 55+ Housing Market

Optimism has remained solid for three consecutive years.

Top 10 Sources of Softwood Lumber Imports

Financial incentives are growing for foreign companies to export their lumber to the U.S.

Economic Indicators


Economic Improvement Continues Across the Country

Since the first quarter of 2017, an additional 20 metro areas have achieved normal market activity.

Federal Open Market Committee Plans to Shrink Balance Sheet

Measures aim to "foster maximum employment and price stability."

Personal Income and Consumption Expenditures Flatten

The leveling off comes after six consecutive months of growth.

Solid Job Gains in July

The unemployment rate dropped back to its 16-year low of 4.3%.

Lending and Spending

Loan Officer Survey Reveals Easing Lending Standards

The recent findings can serve as reliable indicators of future economic growth.

FHA Financing of New Home Sales Dwindles

The share of FHA-backed mortgages dropped below 12% for the first time since 2014.

Mortgage Rates Tick Up on New Home Purchases

Rates are still below the peak of 4.18% recorded in February.

Private Residential Construction Spending Dips

June was the third consecutive month of decreases after a strong start to the year.


Legislation would reinstate sensible criteria for labor rule.

Inside Washington

Joint Employment Bill Gives Builders Clarity

Legislation would reinstate sensible criteria for labor rule.

Department of Labor Seeks Comments on Overtime Rule

NAHB will submit a detailed statement.


5 Lessons from the S&L Crisis

Builders can still learn from the events that took place 30 years ago.

New Home Sales Edge Higher in June

Sales have risen nearly 11% since the start of 2017.


Across the Nation


Solar Mandate in Miami Raises Concerns

The requirement is the first of its kind in Florida.

South Carolina Builders Meet with EPA Leaders

Administrator Pruitt gives an update on the "waters of the U.S." rule.

Feds Bring Regulatory Roundtables to Kentucky, Ohio

Forums offer a great opportunity to discuss federal regulations.

NAHB to weigh in on what rules need to be rescinded or modified.

July 24, 2017

Industry Insight

NAHB and House Panel Reach Agreement on Flood Insurance Bill

Legislation addresses concerns of housing community.

Treasury Eyes Repeal of Burdensome Regulations

NAHB to weigh in on what rules need to be rescinded or modified.

EPA Formally Withdraws National Post-Construction Rule

NAHB gets a win in long-running battle against excessive stormwater regulation.

Remodeling Market Confidence Remains Positive

Lack of skilled labor remains a serious issue.


NAHB Highlights How Homes are Changing Lives

The Drive Home illuminates inspirational stories.

Better Appraisals on Green Homes

Updated tool can provide a more accurate assessment.

Education Programs Provide Inspiration, Second Chances

Workforce development grants make a difference.



Builder Confidence Remains Solid

A slight slippage due in part to rising material prices.

Single-Family Starts Bounce Back in June

Production was at its second-highest rate this year.


Supply issues, rising prices tied to trade dispute.

Industry Insight

New Builder Concern: Lumber Shortages

Supply issues, rising prices tied to trade dispute.

CFPB Publishes Final 'Know Before You Owe' Rule

Updates clarify disclosures for construction loans.


High-End Development Down on the Farm

"Agrihoods" serve up farm-to-table living.

New School Year Brings New Opportunities

Learn how internship programs can boost your business.


Despite growing supply-side concerns, housing demand continues to be sustained by healthy job creation and optimistic consumers.

Job Growth Helps Propel Housing Demand


Despite growing supply-side concerns, housing demand continues to be sustained by healthy job creation and optimistic consumers. The Bureau of Labor Statistics reported that 220,000 jobs were created in June, with the unemployment rate increasing slightly to 4.4%. Moreover, home builders and remodelers added almost 116,000 jobs over the last 12 months.

Ongoing job creation has also helped support consumer optimism. The Consumer Confidence Index was up slightly in June, with one submeasure increasing to nearly 33% of respondents indicating jobs are plentiful. Incomes are also rising, with disposable personal income up 2.2% over the last year.

Economic challenges remain anchored on the supply side of the market, with a new softwood anti-dumping duty — in addition to existing countervailing duties — adding to builder costs. Moreover, the share of single-family home builders reporting shortages of framing lumber has increased to 21%.

For a midyear housing and economic market check, watch our construction forecast webinar, featuring NAHB's forecast and commentary from Moody's Mark Zandi and NAR's Danielle Hale.

NAHB Chief Economist Robert Dietz

Industry Insights

Builders Reporting Shortages of Framing Lumber

Ready-mix concrete and trusses are also increasingly in short supply.

Open Construction Jobs Decline in May

The labor market for construction workers remains tight as home building expands.

Lending and Spending


Residential Fixed Investment Reaches Near-Decade High

Housing's share of GDP holds strong. 

Private Residential Construction Spending Declines

The drop in May was the largest in three years.

Mortgage Rates Fall Again

Rates have slipped 18 basis points during the past three months.

Economic Indicators

Employment Gains Accelerated in June

Over the last year, home builders and remodelers have added 115,600 jobs.

Steady Growth in Personal Income

Disposable income in May had the largest monthly increase in two years.

How a Home Purchase Boosts Consumer Spending

NAHB analysis compares expenditures of new home buyers to non-moving home owners.


The Weekly News Digest for NAHB

Industry Insight

More Tariffs Slapped on Canadian Lumber Imports

NAHB denounces U.S. Commerce Department action.

EPA, Corps Act to Rescind WOTUS Rule

Agencies vow transparency in drafting replacement.


OSHA Delays Deadline to Dec. 1 for Electronic Injury Reporting

NAHB, other groups filed lawsuit challenging the requirement.

Confined Spaces Rule Clarified

NAHB fact sheet helps builders comply with standard.

July 13 Webinar Focuses on Fire Protection

Great tips to keep your jobsite safe from fire damage.




Home Buying Boosts the Economy

NAHB study shows impressive ripple effect.

Housing Demand in the Southeast Reaches 'New Normal'

The region is finding its sweet spot.

Digital Tools


Top 5 Mobile Apps for Home Builders

These tools help efficiently manage your projects.

Sales + Marketing Ideas Launches App

Get the latest ideas and trends on your smartphone or tablet.

A compilation of the week's top housing news.




Tight inventory slows down housing market

Vancouver, Washington, a bedroom community across the Columbia River from Portland, Oregon, has seen its inventory of homes for sale shrink as the housing market picked up after the Great Recession and available homes got snapped up. First-time home buyers and others looking for affordable homes see the area as an alternative to Portland, where rents and home prices have soared in recent years.

Not even housing inventory crisis can stop homebuyers

It seems nothing can stop housing demand, which just hit a new high, according to Redfin, an online real estate brokerage.


Home-price growth sizzles in May, driving a wedge in the market

Home prices remained hot in May, bolstering owners' equity but locking many would-be buyers out of the market.

Mortgage applications rise 1.4%, defying higher rates

The math doesn't exactly make sense, but perhaps the sentiment does. More borrowers applied for home loans last week, even as interest rates made their largest five-day jump since just after the presidential election. Perhaps some thought it might be their last chance at low rates.

Why isn't the housing market booming the way experts expected?

Interest rates are near historic lows and consumer confidence is high, but the market isn't booming. One reason may be mobility: people moving from state to state is half what it was two decades ago.




The Washington Post
Trump's budget plans have already cut financial support for low-cost housing

The pool of private funds available to build or preserve affordable housing in the United States has shrunk by about $1 billion since November, and President Trump's tax plan is to blame — even though it hasn't been adopted yet.

Affordable housing market hurt by tax overhaul uncertainty

The prospect of Trump's tax overhaul has cut the value of low-income housing tax credits 10 to 15 percent. Funding for units across the U.S. is in question, and less housing will be built as a result.

The Washington Post
A surprising way to increase property values: build affordable housing

Despite the lawsuits, media spotlight and conventional wisdom, affordable housing developments built in poor, heavily black communities can lead to greater racial and income integration, according to new research by Stanford economists.

USA Today
Housing help for Congress? How about for people who really need it?

Just before he departed the House last week to become a Fox News contributor, Utah Republican Jason Chaffetz proposed a housing stipend for members of Congress. "I think a $2,500 housing allowance would be appropriate and a real help to have at least a decent quality of life in Washington," he said. "You shouldn't have to be among the wealthiest of Americans to serve properly in Congress."



National Mortgage News
'If not now, when?' Fed's Powell on GSE reform

Federal Reserve Gov. Jerome Powell, who heads the agency's supervisory committee, called on lawmakers Thursday to move more quickly in crafting legislation to reform the government-sponsored enterprises, saying that "we're almost at a now-or-never moment here." (Subscription may be required.)

American Banker
Will housing finance reform hurt small banks?

The battle over the future of housing finance may turn on whether whatever reforms or replaces Fannie Mae and Freddie Mac will bypass small banks, delivering more market share and power to the biggest banks. (Subscription may be required.)

Two major lending changes mean it's suddenly easier to get a mortgage

Two major changes in the mortgage market go into effect this month, and both could help millions more borrowers qualify for a home loan. The changes will also add more risk to the mortgage market.




U.S. News & World Report
The pros and cons of live-in home flipping

Mindy Jensen and her husband Carl have made up to $100,000 every two years by buying a house, fixing it up while living in it full time and then selling it for a profit. Call it live-in flipping.

Las Vegas Review-Journal
Universal design makes homes accessible and pleasing

In our 40s, we've accepted the aches and pains that remind us we're no longer 25. That said, the last thing we want to think about is how our health might look in our 60s and 70s, much less what living accommodations we might need to handle our changing physical abilities.




Why Washington can't fix the new housing crisis

Donald Trump campaigned on restoring the "American dream," a 1931 metaphor for economic success that has become political shorthand for homeownership. But as president, Trump faces a unique challenge delivering on that promise: The country is in the grip of a new kind of housing crisis that Washington has virtually no power to solve.



Construction Dive
Labor Dept. plans revision of stalled overtime rule

The U.S. Department of Labor has asked the U.S. Court of Appeals for the Fifth Circuit to confirm that it is permitted to use salary as a factor in determining which workers are eligible for overtime before it begins a new rulemaking process to amend a pending overtime regulation, according to Bloomberg BNA.




Appraisers may be holding back the housing market, and that might be okay

I want to warn you from the top, this is a highly speculative post in multiple directions at once. I have a theory as to what is holding back the housing market, and another theory as to why that might be a good thing. There isn't a lot of data to back up either claim, and I wouldn't elevate other above conjecture at this point. But stick with me anyway.



Inside Washington

Builders Take to the Halls of Congress

More than 800 members speak out as one voice on housing.

Rep. Westerman's Forestry Bill a 'Win-Win-Win'

NAHB testifies on need to increase lumber production from federal lands.

Flawed Flood Insurance Bill Clears House Panel

NAHB opposes "new construction" provision.

NAHB Officers Hold Productive Talks with HUD Secretary

Agenda focuses on regulatory reform and housing affordability.


Builder Sentiment: Still Solid

Confidence levels have remained consistently sound in 2017.

Multifamily Decline Brings Overall Housing Starts Down 5.5% in May

On a year-to-date basis, single-family starts are still up 7.2%.




How to Comply with the 2018 Building Codes

Free webinar replay provides the answers.

New Guidance Helps Insulate You from Poor Walls and Attics

Tech Note offers best practices for optimal installation.

A tightening labor market and a desire to normalize monetary policy led the Federal Reserve's monetary policy committee to tighten financial conditions.

Federal Reserve Policy Moves

A tightening labor market and a desire to normalize monetary policy led the Federal Reserve's monetary policy committee to tighten financial conditions.

First, the Federal Open Market Committee announced the second rate hike of 2017, increasing the target rate to a range of 1%-1.25%. NAHB expects one additional increase in 2017.

Second, the committee announced plans to reduce its balance sheet, which grew after the Great Recession as part of an accommodative policy known as quantitative easing. The balance sheet, which includes $1.8 trillion in agency debt and mortgage-backed securities, would be reduced in a "gradual and predictable" manner, creating only a slight increase in mortgage rates. The reductions in mortgage-backed securities would start at $4 billion and rise to $20 billion per month over a 12-month period and not result in a complete run-off of holdings. This process would likely begin at the end of 2017.

The Fed's actions are motivated by admittedly conflicting data. Measures of inflation remain below the Fed's 2% objective, but tight labor market conditions risk accelerating prices. For example, the unemployment rate was 4.3% in May and job openings persist at elevated levels, especially within the construction industry. The Fed's moves represent a belief that economic conditions continue to be solid and growth will continue.

NAHB Chief Economist Robert Dietz


Lending and Spending

Fed Raises Rates, Announces Balance Sheet Reduction Plan

The announced policy is intended to be "gradual and predictable." 

Softwood Lumber and OSB Prices Keep Climbing

May's increase pushed the softwood lumber price index to its highest level in nearly 13 years. 

Private Residential Construction Spending Slows in April

Declines largely stem from both the multifamily and home improvement sectors.

Home Equity Grows to $23.5 Trillion

More home owners are refinancing to cash out.

Mortgage Rates Fall

Though they remain above the low of 3.54% set in October 2016.


Economic Indicators

Consumer Credit Expands at a Slower Pace

Total household debt has returned to its 2008 peak level.

Pending Sales Slump

April declines were reported in all regions of the U.S. except one.

Employment Situation is Just a Little Disappointing

May's report is unlikely to alter the Fed's overall positive economic impressions.

Consumer Confidence Slightly Decreased in May

Optimism waned for the near-term outlook.

Industry Insights

Regional Patterns Emerge for Age of Construction Workers

Median ages are highest throughout the Northeast, lowest in the Midwest.

Who are NAHB's Associate Members?

Census illustrates the categories of those who are indirectly involved in home building.

Construction Job Openings Jump in April

Recent increases in quits reflect growing competition for workers.

Home Price Appreciation Slowed in March

Since November 2016, prices have been decelerating.


NAHB leads the charge to rescind this mandate.

OSHA Suspends Rule Requiring Electronic Reporting of Injuries

NAHB leads the charge to rescind this mandate.

Rules & Regulations

NAHB Targets 10 Overreaching Regulatory Programs

Comments were submitted to EPA in response to presidential directive.

HUD Task Force to Tackle Excessive Regulation

NAHB to weigh in on which rules should be repealed, replaced or modified.

Senate Panel Approves 3 NAHB-Supported Regulatory Bills

Versions of these measures have already passed the House.




Builder Confidence Continues to Climb

A further sign that the housing market is getting stronger.

Single-Family Starts Hold Steady in April

However, a multifamily pullback brings overall production down.

The Weekly News Digest of NAHB

Business Matters

Tired of Burdensome Regulations?

This is your chance to make a difference.

Latest Trends for 55+ Housing

Find out what these buyers really want.


Industry Insight


Kitchens Edge Baths as Top Remodeling Projects

These two categories continue to stand out.

Housing Affordability Sees Slight Uptick

Wage growth helps offset the effects of rising mortgage rates.

Codes & Safety

Big Savings from Better Codes

NAHB efforts help protect your bottom line.

Get Ready for the 2018 IRC

May 25 webinar will help your business prepare for new requirements.

Video Reinforces Importance of Fall Protection

Builders take a stand for worker safety.



NAHB event focuses on how to achieve meaningful regulatory reform.

Rules & Regulations


Trade Groups Mull Relief for Small Businesses

NAHB event focuses on how to achieve meaningful regulatory reform.

Bipartisan House Bill Promotes Cost-Effective Energy Savings

Measure would also help home builders by limiting unreasonable regulations.

EPA Urged to Reconsider Costs of Complying with Lead Paint Rule

NAHB testifies as agency reevaluates its regulations.

Business Matters

Get on the Road to Profitability

Three-part online course will help you steer your business in the right direction.

House Passes GOP Health Care Bill

A first step in returning affordability to the health care system.



Tight Inventories, Rising Costs Shape Building Industry

NAHB Chief Economist Robert Dietz provides a housing overview.

55+ Builder Confidence Down After Post-Election Surge

The index marks 12 consecutive quarters in positive territory.

A strong month for home sales in March reinforced the trend of positive housing demand.

Tight Inventory and Rising Costs


A strong month for home sales in March reinforced the trend of positive housing demand. Sales of new single-family homes grew 15.6% from a year prior, and 5.8% above the previous month's mark—a noteworthy gain, considering February's sales benefitted from the unseasonably warm weather.

March was also an encouraging month for the existing homes market, which saw sales rise 4.4% to its highest pace in 10 years. Inventory of existing homes for sale remains very tight, standing at only a 3.8 months' supply. This is a primary reason why the increases of home prices continue to outpace growth in household incomes.

However, supply-side costs remain on the rise as builders continue reporting scarce availability of labor and lots. And the announcement of an effective 20% tariff on Canadian softwood lumber could have a significant, negative impact on construction jobs and wages. One-third of the softwood lumber consumed in the U.S. is imported, about 95% of which comes from Canada.

NAHB Chief Economist Robert Dietz


March Sales Roar Like a Lion

The surge led to the fastest pace in 10 years.

Pending Sales Pause

The number of signed contracts in March still exceeded the level from a year ago.

House Prices Surpass Pre-Recession Peak

All 20 metro areas had positive home appreciation.



Duty on Canadian Lumber Will Have Significant Impacts

Thousands of U.S. jobs and hundreds of millions in wages will be lost.

Post-Recession High for Residential Construction Spending

Both multifamily and home improvements experienced big gains in March.

Poll Examines Career Motivations of Young Adults

Most know what they want, but very few say it's a job in construction.


Cash Sales Dwindle for New Homes

The current share of FHA-backed loans is twice the size of its pre-recession average.

Mortgage Rates Tick Down in March

The decline comes after four consecutive months of increases.

Declining Activity for USDA Single-Family Programs

NAHB study explores the trends of USDA home loans over the past decade.

Economic Indicators

GDP Growth Slows in the 1st Quarter

A second-quarter rebound is a strong possibility.

Homeownership Rate on Stable Ground

Levels increased slightly in every age group.

Consumer Confidence Declined in April

A less-favorable outlook comes after a record-setting month for optimism.

Remodelers Report Broad-Based Confidence

Sentiments about market conditions are the most positive since 2015.


The Weekly News Digest of the National Association of Home Builders


Enforcement of Silica Rule Delayed Again

NAHB and its coalition partners will continue to challenge the rule.

OSHA's Postponement Adds Up to Big Savings 

Deferral should save members more than $1,500 per housing start in 2017. 

Inside Washington

Housing Must Figure in Tax Reform Efforts

NAHB sends a strong message to policymakers.

SCOTUS Moves Forward with WOTUS Jurisdictional Case

Trump Administration will continue to pursue replacement of wetlands rule.



Optimism among single-family builders this month is the strongest it has been since 2005.

Builder Confidence Highest in Nearly 12 Years


Optimism among single-family builders this month is the strongest it has been since 2005. Much of this positive sentiment stems from the widely anticipated reductions of government regulations. A prime example was the recent executive order to roll back the Waters of the United States rule that affects builders' and developers' wetlands permits. However, we can expect some moderation in builder confidence in the months ahead, as interest rates rise and headwinds persist for access to lots and labor.
As expected, last week the Federal Reserve increased the short-term federal funds rate for just the third time in the post-recession era. Much of the Fed's stance is fueled by a strengthening labor market, which added 235,000 jobs last month. As the rate of inflation approaches the 2% target rate, NAHB forecasts two additional rate hikes this year.
Additional price pressures can be seen on the supply side of the industry. Gypsum prices have increased more than 6% in the first two months of 2017, and softwood lumber prices rose almost 5% due to the ongoing lumber trade dispute between the U.S. and Canada. As housing starts continue to rise in the months and years ahead, additional sources of lumber will be required.
NAHB Chief Economist Robert Dietz


Job Growth Continues for Builders and Remodelers

Unfilled jobs decreased in numbers as hiring accelerated.

Employment Situation in February: Fits Like a Glove

Labor report aligns well with the Fed's intention to raise interest rates. 

Are Young Construction Workers Worth Your Time?

Builder survey reveals the potential effects of hiring a less-experienced crew.



Home Equity Reaches a New Peak

Real estate holdings climbed more than $1.5 trillion in the past year.

Non-Mortgage Consumer Debt Slowly Grows

Shrinking credit card debt was outweighed by an increase of student and auto loans.

FOMC: Economic Outlook is Meeting Expectations

As anticipated, the Fed recently announced yet another rate increase.

Prices and Production

Solid Gains for Starts

February's pace for single-family homes was the fastest since 2007.

Consumer Price Index Rose Slightly in February

A decline in energy prices partially offset increases in other areas.

Gypsum Products Lead Price Increases Among Building Materials

Price jump for softwood lumber the biggest in four years.

Absorption Flat for Apartments, Jumps for Condos

The median asking rent significantly increased from 2015.


Builder Confidence Reaches a Cycle High

Optimism hasn't been this strong since 2005.

How 'Green' is the Average Builder?

Single-family builders typically use 10 different green products or practices.


The Weekly News Digest of the National Association of Home Builders


Construction Costs on the Rise

Softwood lumber, gypsum, OSB and concrete prices up in February.

Builder Confidence at a 12-Year High

Trump's move to roll back regulations buoys builders. 

Single-Family Starts Highest Since Late 2007

Production expected to grow throughout the year. 


Inside Washington

Trump Proposes $6 Billion Cut to HUD

President's spending plan is first step in negotiations with Congress. 


Green Building

Builders Rank the Most, Least Popular Green Practices

More buyers are zeroing in on energy efficiency. 

Home Appraisals to Include HERS Scores

The change should help in the valuation of above-code energy improvements.




POTUS to WOTUS: You're Fired!

President Trump's directive requires EPA to reconsider waters of the U.S. rule.


Yes, You Still Need a Permit

A Q&A on what builders need to know about WOTUS.


Inside Washington


Trump Delivers an Important Message to Home Builders

NAHB Chair Granger MacDonald meets one on one with the president.


Congressional Leaders Urged to Adopt Strong Housing Agenda

Senior officers detail housing priorities.


House Votes to Overturn OSHA Volks Recordkeeping Rule

The focus now shifts to the Senate.


NAHB Honored for 'Get Out the Vote' Campaign

Our grassroots efforts wield considerable influence on Capitol Hill.


Industry Insight


Have Gypsum Prices Found a New Normal?

Trend has been stable since 2015.


Use These Free Flooring Installation Guidelines

Don't get saddled with expensive insurance claims.


Association Update


Celebrate National Designation Month

Completing NAHB courses helps your business and your bottom line.


IBS 2017 Education Session Recordings Now Available

Find out what some of the industry's best experts have to offer.


Weekly News Digest of NAHB

Inside Washington

NAHB Seeks Solutions as Lumber Prices Rise

Stalled negotiations, short supply means costs may go up 30% by April.

More Clarity with New CGP, but Liability Still a Problem

EPA's 2017 Construction General Permit is now in effect.


Starts & Stats

Builders Still Optimistic in February

Overall housing market fundamentals remain strong.

Strong and Steady Market Nationwide

A seasonally adjusted annual rate of 1.246 million starts is a return to trend.

Lot, Labor Shortages Lead to Slight Rise in Home Prices

Housing Opportunity Index dipped last quarter.

The NAHB Advantage

An Alternative to Impact Fees

NAHB resources help you help your city find other ways to finance infrastructure.

Save Today, Tomorrow and All Year

NAHB members saved $20 million in 2016 with these exclusive discounts.

Missed IBS? We've Got You Covered

Watch videos from the board presentations and read committee meeting recaps at your convenience.

Challenges Inhibit More Robust Housing Growth

Industry Insight

Challenges Inhibit More Robust Housing Growth

In a nutshell: Too many regulations and not enough lots.


Conventional Financing Continues to Climb

Meanwhile, the share of new homes with FHA loans declines.

Building Success with Happy Owners

Managing expectations leads to satisfied customers.


Inside Washington


White House 'Unfreezes' Streamlined Wetlands Permits

NAHB cites confusion, cost and extra bureaucracy; the feds agree.



Builders to Confront Labor, Financing Challenges

Builders to Confront Labor, Financing Challenges


More than 80% of builders surveyed say that the scarcity of labor leads the list of challenges for 2017. While employment is growing within the housing industry—adding 128,000 jobs over the last year, and 20,030 in January alone—unfilled construction jobs remain a key supply-side headwind. Housing markets also continue to be held back by a lack of inventory, which has kept pending existing home sales flat for most of the last two years.
The rising cost of credit is another point of concern as the new year begins. Federal Reserve data indicate that demand for multifamily debt and commercial real estate construction and development loans slowed or declined at the end of 2016, perhaps due to rising interest rates. New home sales were also down in December, which some analysts attribute to higher mortgage rates. However, regional data do not fully support that claim.
While rising rates will act as a drag on housing demand going forward, sales were up 12% over the course of 2016 and favorable demographics will cause sales to rise more in 2017, supported by rising wages and job growth.
–NAHB Chief Economist Robert Dietz


Conventionally Financed New Home Sales Reach 9-Year High

Improved economic conditions help ease lending conditions for conventional loans.

Standards on CRE Loans Tighten as Demand Weakens

However, the pace of tightening has eased slightly after it peaked in mid-2016.

Federal Open Market Committee Meeting – No News is Good News

Economic conditions are right for a faster pace of monetary policy normalization.

Mortgage Rates Rising

Increasing rates too rapidly will likely impact sales.



Nation Moves Closer to Recovery

House prices are the lone bright spot amid lagging single-family permits and employment numbers.

Home Prices Continued to Rise in November

Tight inventory and high demand pushed prices up at a rapid pace.

Homeownership Rate Bottoming Out?

A 50-year low has been followed by two consecutive quarters of increases.

New Home Sales Grew 12% in 2016

A strong year overall, despite a weak December estimate.


Residential Construction Employment Growing

January's fast pace is an encouraging sign for 2017.

Record-High 4th Quarter for 55+ Housing Market 

Builders report increases in current sales, expected sales and prospective buyers.

Residential Construction Ends 2016 on High Note

Three consecutive monthly increases in spending add momentum at the start of a new year.

Housing Share of GDP Essentially Unchanged

A slight drop brings total contributions to 15.6%.


Employment Situation Looks Promising

Solid report from the Bureau of Labor Statistics starts off the year.

Consumer Confidence Decreased in January

Optimism about current conditions is overshadowed by low expectations for the future.

First Look at 4th Quarter GDP Growth 

Real GDP grew at a 1.9% annual rate, slowing from 3.5% in the previous quarter.


Products & Trends


Thoughtful Designs Can Make Your Home Stand Out

See what today's buyers are looking for.


Trendsetters Revealed at International Builders' Show

New report highlights the latest products and features consumers want most.


What are the Most Popular Floorplans?

Builders adjust layouts to match buyer preferences.


Industry Insight


55+ Building Confidence at All-Time High

Aging baby boomers fuel a growing demand.


An Affordable Green Building Community for Veterans

Silver level NGBS-certified program breaks new ground. 


NAHB Again Challenges Clean Power Plan

Implementing the rule could affect building energy codes. 


Close to Home


HBAs Awarded NAHB Grants for Litigation

More than $100,000 goes to local cases with national implications.


Take a Bow, Top Spikes

A special thanks to our most active recruiters.


NAHB's 75th Anniversary: The Drive Home

Connecting with home owners across the country.


Weekly News Digest of NAHB


What's the Top Builder Concern for 2017?

Hint: It's unchanged from last year.

4 Steps to Help Meet Your Firm's Labor Needs

Make your company the builder of choice in your local market.

HBAs Bring Workers Home

Successful strategies to get students excited about careers in construction.


Key Building Materials Prices Far Surpassed Inflation in 2016

OSB prices led the way, surging 13.8%.

Highest Property Tax States are in the Northeast

New Jersey has the highest average annual real estate tax bill. 

New Home Sales Register Monthly Dip in December

However, 2016 sales posted the highest rate since 2007. 



Industry Insight

Trump Administration Halts Cut to FHA Loan Costs

NAHB will encourage HUD to reinstate the premium reduction.





Builders Confident as Year Begins

Members hopeful regulatory burdens will be eased.


December Starts up 11.3% on Multifamily Surge

Single-family production posted solid gains in 2016.


Industry Insight


NAHB Congratulates Donald Trump on Becoming 45th President

Home builders will work with new administration and Congress to promote pro-housing policies.


Coalition Launches Skilled Labor Fund

Goal is to attract and train residential construction workers.


Big Wins on 2017 Construction General Permits

However, liability concerns remain.


Top 5 Roadblocks to Cost-Effective Green Infrastructure 

Builders polled say regulatory constraints top the list.


New Product Offers Agents a Safer Option When Showing Homes

Innovative, award-winning service boosts leads and allows buyers to tour on their own, at their convenience.



Industry Insight


Where is Housing Headed?

Economists predict a gradual, upward trajectory but headwinds persist.


New-Home Buyers Prefer Amenities over Size

Survey shows that suburbs still reign. 


New Cost of Business Study a Must-Read for Remodelers

Report assesses profit margins, growth and demographics of industry.


Inside Washington


A Fast Start on Regulatory Reform

House approves third major regulatory relief bill.


FHA Lowers Annual Mortgage Insurance Premiums

Reduced rates will save FHA-insured home owners $500 in 2017.


Resolution to Vacate WOTUS Rule Introduced in Senate

In a related development, the Supreme Court will take up court jurisdiction on the issue.


International Builders' Show


2017 Kicks Off on a High Note 

Exhibit floors marked by heavy traffic.


Leadership Team Set

Texas builder Granger MacDonald elected as 2017 NAHB Chairman.



Rising Rates a Challenge for 2017


Economic conditions continue to mirror market reactions to the post-election environment. For example, the 10-year Treasury rate has risen from 1.8% in early November to approximately 2.4% this week. Rates escalated on the prospects of increased growth in a tight labor market. This higher cost of capital has pushed up mortgage rates (30-year fixed-rate mortgages jumped from 3.5% to 4.2% in recent months). And rising rates have already had an affect on pending homes sales which decreased 2.5% in November, 0.4% lower than a year ago.


However, it is important to keep in mind that rising rates are the result of improving economic growth prospects. Similar to the NAHB/Wells Fargo Housing Market Index, many market measures are showing post-election strength. For example, consumer confidence increased in December to the highest level since 2001. These trends reflect the broader economic challenge for 2017: a delicate balance of improved growth prospects and rising interest rates.


–NAHB Chief Economist Robert Dietz


Economic Insights

Consumer Confidence Reaches Post-Recession High

Assessments of current conditions declined but consumers are optimistic for the near future.


Employment Situation – Good Enough

Payroll employment rose by 156,000 in December.


FOMC December Meeting – The Devil is in the Details

Federal Open Market Committee members note the pace of economic growth will depend on several key policy changes from the Trump administration. 


Housing Trends


Age of Housing Stock by State

Median ages of homes range from as young as 20 years (Nevada) to as old as 57 years (New York).


Mortgage Rates Climb

Average rates on all loans increased in November from 3.60% to 3.64%.


Market Growth Expected Following Modest Construction Pace

Aging housing stock signals growing demand for remodeling projects and new construction.


Starts and Sales


Home Price Gains Continued in October

Tight inventory and high demand brought prices back to pre-recession levels.


Pending Sales Retreat

Index level drops to its lowest level in almost a year.


Single-Family Construction Up in November

Though total private residential construction spending slipped to an annual rate of $462.9 billion.


Builders Confident at Year's End

Confidence among single-family home builders reached a post-recession high in December, following the election of a new president who promises regulatory relief and increased economic growth. Sales in November also showed positive trends, as new home sales jumped more than 5%—almost 13% higher than the same time last year. Existing home sales also edged up in November, with a four-months' supply of inventory.


New home construction was disappointing in November—down nearly 19% for the month—largely due to an unusual decline for multifamily starts. However, home building in 2016 performed well overall. Single-family starts are up almost 10% for the year, while multifamily starts are down about 4%.


Despite an ongoing scarcity of lots and labor, we anticipate continued growth of residential construction in 2017. Economic growth should also improve next year, compared to the relative weakness experienced in 2016. The full NAHB economic and housing forecast will be unveiled during the NAHB International Builders' Show.


–NAHB Chief Economist Robert Dietz


Building Conditions


Absorption Data Show Multifamily Market Leveling Off

Following a peak in the third quarter of 2015, signs indicate a slight slowdown.


Construction Employment Across States

States with the highest annual growth rates are Nevada, Iowa and Washington. 


Builder Confidence Closes Year on a High Note

Presidential election spurs Housing Market Index to its highest reading since July 2005.


Prices Increase for Most Building Materials 

November saw costs rise for OSB, gypsum products and ready-mix concrete.


Home Sales 


New Home Sales Grow

November's sales pace was the second highest since the end of the recession.


Financing Sources for New Homes

Portion of conventional mortgages in the third quarter was the most since 2008.


Existing Sales' Year-End Sprint

Last month's increase lifted sales to the highest pace in nearly a decade. 


Economic Insights


3rd Quarter GDP Growth

Revised estimates show real GDP grew at a 3.5% seasonally adjusted annual rate.


Moderate Rise for CPI in November

Consumer inflation slowed from 4.37% to 2.43%.


Housing Starts Fall in November

Totals were down 18.7%, following a strong October pace. 


Top Posts of 2016


Economic Impact of Home Building

Constructing 1,000 single-family homes generates 2,975 jobs and $111 million in federal revenue.


Where are the Nation's Second Homes?

Counties in New York, Pennsylvania and Utah are among the hot spots for these houses. 


Regulatory Costs Add Up in a Big Way

Nearly one quarter of the price for an average new home stems from government fees.


Lots in 2015 are Smallest on Record

Median lot size of a new single-family home dropped below 8,600 square feet.


How Much Time it Takes to Build a Single-Family Home

Survey shows average completion time is about seven months.




Builder Confidence Ends Year on a High Note

Builders hopeful Trump will follow through on his pledge to cut regulations.


Fed Raises Interest Rates

NAHB Chief Economist Robert Dietz provides an analysis.


Housing Starts Down 18.7% on Multifamily Weakness

Single-family production is up 9.6% year to date.


Inside Washington


Illinois Builder Ed Brady Being Considered as FHA Commissioner

Outgoing 2016 NAHB chairman in discussions with Trump transition team.


Ways and Means Republicans Vote to Support LIHTC

Key housing tax credit to be included as part of efforts to revamp the tax code.



Industry Insight


Take Action Now to Stop Flawed HUD Floodplain Rule

NAHB has created a template letter for you to respond by the Dec. 27 deadline.


$1,000 Makes a Big Difference in Housing Affordability 

Modest price hikes can push hundreds of thousands of households out of the market.


Trench Collapse Fatalities Doubled in 2016

OSHA levies thousands in fines when employers repeatedly fail to follow safety protocols. 


By the Numbers


5 Negotiating Tips for Construction Loan Financing

These steps will make it easier to negotiate with your bank or lender.


Employers Face Earlier W-2 Deadlines, Higher Fines in 2017

As tax season nears, keep these two big payroll tax filing changes in mind.


8 Easy Ways to Keep Jobsites Safe

Following these guidelines can help workers steer clear of hazards.


Fed Raises Interest Rates

For just the second time since the Great Recession, the Federal Reserve increased its target for the federal funds rate by 25 basis points. While still low, the rate increase continues the path toward higher interest rates and a normalized monetary policy after years of stimulative policy designed to support an economic recovery. The current outlook is for three additional rate hikes in 2017. Economic growth remains modest, though the pace could increase with a fiscal stimulus in the form of deficit-financed tax cuts or government spending increases as the Trump administration takes office.


The move by the Fed is consistent with recent labor market data, which reveal tight employment conditions. The unemployment rate declined to 4.6% in November, as 178,000 jobs were created during the month, of which 19,600 positions were in the home building and remodeling sector. Over 120,000 jobs have been created in residential construction within the last year. While solid employment figures are good news for housing demand, ongoing labor constraints are an inflation risk and a motivation for the Fed to continue raising rates in 2017.


–NAHB Chief Economist Robert Dietz




Residential Construction Employment Rises

Number of job openings continued its upward trend in November.


Employment Situation in November: Step 2

The stage is set for the next move toward monetary policy normalization. 


Home Building Employment Still Far Below its Peak

New NAHB study shows which states were the hardest hit and slowest to recover from the downturn.




NAHB Releases 2016 'Priced Out' Estimates

New data reveals the delicate balance of housing affordability with increasing rates and regulations.


Home Owner Equity Continues to Increase

Home prices reach a new high as the portion of underwater homes dwindles.


Consumers Express Optimism in November

The current and near-term outlook is positive thanks to ongoing employment and economic growth.


Steady Growth for Personal Income

October's 0.6% rise was the biggest in the last six months.




Federal Reserve Chair: Rate Increase a Vote of Confidence

Strong economic growth is expected in the years ahead. 


Non-Mortgage Credit Expands

Federal Reserve Board reports consumer debt continues to climb. 


Rates Hold Steady in October as Increases Expected

Existing homes saw an uptick of one basis point, while rates for new homes fell two basis points.


Serious Delinquency Rates Show Improvement

But concerns persist regarding student and auto loans.




Popularity of Building Information Modeling Increases

Reliance on this project management technique has grown significantly among NAHB members.


Pending Sales Maintain Pace

Tight supply in October led to 40% of homes selling at or above list price.


Strong Growth Continues for Multifamily Construction 

Record-breaking spending brings the current total up to $63.7 billion.


Housing Finance


FHA Raises Loan Limits

The nationwide rise in home prices means buyers in 2,948 counties will see increases.


Outlook Gloomy for Tax Extenders, Including Energy Incentives

Popular temporary tax provisions are set to expire this month; it appears unlikely Congress will renew them. 


House Votes to Reinstate Health Reimbursement Arrangements

Legislation would allow home builders to help their employees cover rising health care costs.


Construction Safety


Framing and Roofing Companies Slammed with Hefty Fines

OSHA's enforcement of fall protection violations seems to have picked up in recent months.


New OSHA Director to Discuss Agency's 2017 Agenda at IBS

Dean McKenzie will review the agency's current activities and discuss plans for the new year.


Find it and Fix it...Before OSHA Does

Here's what you need to do to stay compliant.


Construction Surges in October


Single-family construction starts rallied in October, increasing nearly 11% to an annual rate of 869,000. Meanwhile, multifamily construction in October was also unusually strong. A gradually strengthening economy has led to a broadening of the types of residences being built, as depicted in the third-quarter data for the individual home building sectors:

  • Custom home building posted 49,000 starts—its best quarter since the recession.
  • Townhouse construction achieved a 12.4% share of the single-family market—near a cycle high.
  • Median single-family home size is trending down as more entry-level homes are constructed.
  • Rental housing continues to dominate, accounting for 92% of all new multifamily construction.

Overall growth helped support yet another strong level of builder confidence, according to this month's NAHB/Wells Fargo Housing Market Index. However, the surge from October is likely temporary. Single-family starts are expected to return to trend in the coming months, as will apartment construction while that market seeks a balance between supply and demand.


–NAHB Chief Economist Robert Dietz


Economic Conditions


Second Look at 3rd Quarter GDP Growth – Better, but Beware 

The upward revision was based mainly on faster growth in personal consumption expenditures. 


Review of November's FOMC Meeting: Not Much Clarity

Federal Open Market Committee now mulls the risks of moving too slowly.


Consumer Price Index Rose in October

Increasing energy prices accounted for most of the rise of inflation.


Industry Insights


Home Prices Jumped in September

The annual growth rate of 10.4% was the fastest in the past 36 months.


AD&C Lending Expands

Volume of residential construction loans grew to its highest rate since the summer of 2014.


Single-Family Built-for-Rent Construction Sees Growth

Current market share is higher than the historical average, but down from 2013 levels.


Steady Progress for New Homes Sales

Single-family home inventory stands at its highest level since the downturn.


Existing Sales Revive

October's sales pace of 5.6 million homes was the highest since February 2007.


NAHB Survey: AD&C Loan Standards Continue Easing 

However, the pace of easing slowed between the second and third quarters.


Housing Trends


Multifamily Construction Dominated by Rental Production

Multifamily developers expected to build more for-sale units in the years ahead. 


Post-Recession High Set for Custom Home Building

Starts totaled 49,000 in the third quarter.


Townhouse Construction in the 3rd Quarter

A gradual resurgence in market share is anticipated during the coming years.  


Single-Family Home Size Trending Lower

Average new homes slowly scaling back to their pre-recession size. 


Housing Starts Accelerate in October

A surge in single-family construction was coupled with a rebound in multifamily.


Positive Gains for the Apartment and Condo Market

Multifamily Production Index posted a three-point gain in the third quarter.




In Victory for NAHB, Federal Judge Blocks Overtime Rule

Dec. 1 effective date pushed back until a final court ruling is made.




Fannie Mae, Freddie Mac to Raise Conforming Loan Limits in 2017

This is the first increase since 2006.


New Home Sales Down 1.9% in October

Still, sales have been trending upward since last year.


Rules & Regulations


Businesses Get Ready: Overtime Rule Kicks in Dec. 1

In 10 days, the overtime salary threshold will double from $23,660 to $47,476.


NAHB's Legal Victory Blocks 'Persuader' Rule

Measure would discourage employers from seeking legal advice on union concerns.


Inside Washington


No Quick Fix for Builders as Trump Administration Takes Shape

NAHB hard at work to ensure its members' concerns are met in the post-Obama era.


NAHB Chair to Congress: Appraisal System Needs Fixing

Ed Brady outlines solutions to reform appraisal practices and oversight.


BUILD-PAC Runs a Winning Campaign

On election day, 95% of PAC-supported candidates won their races.


FHA Fund Rises Again

However, HUD officials signal no sign of a premium cut.


Business Matters


Which Green Infrastructure Techniques Do You Use?

Take this quick poll for a chance to win a $100 prize. 


Housing Starts Jump 25.5% in October

Single- and multifamily production post strong gains.


Apartment, Condominium Market Sees 3rd Quarter Gains

Overall, multifamily developers remain positive about the market.


Building Codes Voting Extended Through Nov. 27

One more week to "phone a friend" for a more cost-effective IRC, energy code.


Economic Impact of Trump's Victory

President-elect Donald Trump will undoubtedly have a profound and lasting impact on economic policy throughout his presidency. Costly business regulations are likely to be reduced or rolled back; rate-reducing, base-broadening, comprehensive tax reform will be under active consideration; and the leadership of the Federal Reserve will change in 2018.


The nation's low unemployment is placing pressure on the Federal Reserve to raise short-term interest rates, and those rates will influence many future policy decisions. The incoming Administration, in cooperation with a Republican-controlled Congress, will likely pursue policy that will boost GDP growth in the short run. However, if policy changes result in a growing deficit or overheating labor markets, interest rates will rise (faster) in response. Moreover, any policy changes that restrict trade will act as a drag on economic growth.


Interest rates are sure to grow in the years ahead. Smart policy is needed to identify economic efficiencies that will help limit how quickly those rate increases accelerate, thereby supporting housing affordability and improving business lending conditions in the longer term. 

–NAHB Chief Economist Robert Dietz




Construction Job Openings Continue to Rise

Access to labor remains a top business challenge for builders.


Employment Situation in October – No Surprise

Solid labor market report might convince the Fed to raise interest rates next month. 




Past-Due Mortgages at a Post-Recession Low

Share of delinquent loans has fallen significantly from its peak set in 2010.


Non-Mortgage Consumer Debt Accelerates

Both revolving and non-revolving credit are on the rise.


Mortgage Market Dynamics Largely Improve

Majority of loan officers report easing lending standards. 




Housing Affordability Edges Lower

Home prices appreciate enough to offset a small decline of interest rates.


Economic Recovery Continues, but Variations Persist

Solid gains for home prices, while permits in most markets are lagging. 


Strong 3rd Quarter for 55+ Housing Market

Builders report continued confidence despite declining production and demand.




Two-Thirds of New Homes in New England Include Decks

Among all U.S. homes started in 2015, 64% included porches and 23% included decks.


Big Decline of New High-End Homes in 2015

Number of new homes for sale priced at more than $1 million dropped nearly 50% from the previous year.


What does the GOP Sweep Mean for Housing?

2016 Elections

What Does the GOP Sweep Mean for Housing?

Read NAHB's analysis for a more detailed look at the results.

Trump Announces 'Most Likely' Supreme Court Nominees

His pick will break a 4-4 ideological split.

Codes & Regulations

FEMA Provides Early Notice of 2017 Rate Hikes

Average flood insurance policies to rise 5.4%.

Online Codes Voting Underway

Help keep codes affordable with one quick call.


Housing Affordability Edges Lower in 3rd Quarter

Home price appreciation offsets a small decline in mortgage rates.

Recovery Continues at Modest Pace

Nearly half of markets are back to normal levels of housing and economic activity.

First Look at This Week's Housing News

Codes & Regulations

NAHB Challenges Flawed WOTUS Rule

First brief filed before the Sixth Circuit Court of Appeals.

A Call to Action as the Online Voting Process Begins

Members need to call their building code officials and send them this voting guide. 


Where Do Your Impact Fees Really Go?

Misued impact fees can add up to millions of dollars.

New Clarity for Wetlands Permits

Guidance letter focuses on jurisdictional determinations.

Federal Reserve Holds Rates Steady


At the conclusion of its November meeting, the Federal Open Market Committee chose not to increase the federal funds rate. The Fed's comments gave no definitive signal of when the next increase will come, though it is widely anticipated that the first and only rate hike of 2016 will occur in December. While national job gains have been "solid," according to the Fed, concerns remain about weak GDP growth related to soft business investment.


However, housing data continually indicates improving market conditions. The month of September saw:

  • Pending home sales rise 2.4% higher than one year ago;
  • New single-family home sales grow 3.1% from the previous month; and 
  • The share of first-time buyers of existing homes increase to 34%. 

At just a 4.8 months' supply, inventory of new homes for sale remains tight. Meanwhile, multifamily construction spending reached a historic high in September. And in the remodeling industry, NAHB surveys show 14 consecutive quarters of positive market conditions.

–NAHB Chief Economist Robert Dietz


Industry Insights


Multifamily Construction Spending Hits Record High

Total private residential construction spending increased to an annual rate of $459.5 billion.


Framing Methods for Single-Family Homes

Wood still way ahead of concrete and steel-framed homes in 2015. 


Two-Car Garages Most Common in New Homes

But three-car garages are more popular than ever. 


Remodeling Market Optimism Strengthens

For 14 consecutive quarters, the majority of remodelers report positive market activity.


Home Sales


Homeownership Rate Edges Up

Millennials and seniors are driving most of the growth. 


Pending Sales Up

Good news for residential construction as the market broadens and demand grows.


Financing Sources Shift for New Homes

Growing share of conventional mortgages indicates the market continues to get healthier.


New Home Sales – Gains and Headwinds

Builders balance caution and available resources in their efforts to meet expanding demand.


First-Time Buyers Step Up

Existing home sales in September increased throughout the U.S., led by gains in the Northeast.


FHA Mortgage Share Increased in 2015

New data breaks down the changing makeup of financing sources. 


Economic Conditions


First Look at the November FOMC Meeting

Fed announces no rate hike "for the time being."


Mortgage Rates Tick Up, LTV Ticks Down

Loan-to-value ratio dropped for new homes but stayed the same for existing ones.


Personal Spending and Income Rose in September

Bureau of Economic Analysis data indicates worker compensation is growing. 


3rd Quarter GDP – Mind the Details

Initial estimates show real GDP grew at twice the annual rate of the previous quarter. 


Consumer Confidence Retreated in October

Mixed assessments about employment conditions, and more are saying business conditions are "bad."


Home Prices Continued to Climb in August 

Fifteen out of 20 metro areas in the U.S. had positive home price appreciation.


Inside Washington


HUD Proposes Expanded Floorplain Rules for FHA-Financed Loans

Single-family homes and multifamily structures face added requirements.


House Report Illustrates Need to Rescind WOTUS Rule

It's all about "politics over policy."


Codes & Regulations


5 Minutes to Better Codes

Get in the game and take these simple, quick steps to keep codes affordable. 


FHA Eases Condo Owner-Occupancy Requirements

Rules lowered from 50% to 35% under certain conditions. 


Industry Insight


Supreme Court to Hear Property Rights Case

At issue: A Fifth Amendment "takings" clause. 


New Home Sales Continue Year-Long Upward Trend

This gradual rise is in line with other positive signals.




Where Do the Presidential Contenders Stand on Housing?

2016 Elections 

Where Do the Presidential Contenders Stand on Housing? 
Donald Trump and Hillary Clinton provide their take on issues confronting the industry. 

NAHB Endorses 135+ Candidates for Congress 
See who your association is endorsing in your state or congressional district

Safety & Labor 

OSHA Extends Anti-Retaliation Enforcement Deadline 
Move allows more time to consider a motion challenging the new provisions. 

Overtime Rule to Double Salary Limit Begins Dec. 1 
NAHB spearheading coalition efforts to delay Dept. of Labor's new rule from taking effect.  

Agency Seeks Feedback on Construction Safety Standards 
Chime in on OSHA's proposed updates. Some changes could affect your business.


Builder Confidence Remains Solid in October 
The housing market continues to make slow and steady gains. 

September Housing Starts Decline on Multifamily Weakness 
However, single-family production posts solid gains. 

Optimism Strengthens in 3rd Quarter 
Remodelers nationwide are seeing increased demand for jobs.

Around the Federation


NAHB Honors 150 'Defenders of Housing'

Legislators honored for promoting homeownership and a better small business environment.


Alabama Builders Provide Home for a Hero

Baldwin County HBA inspires community to build home for veteran severely injured in Iraq.


Tell Us Why You're the Best Builder

It takes more than stellar revenue to be named NAHB Custom Builder of the Year.


Codes and Regulations


Untangling Codes in Michigan

This HBA knows how to partner with building officials for safer, more cost-effective codes and standards.


Court Wants Changes for Consumer Financial Protection Bureau

Decision preserves longstanding statuatory interpretation of marketing service agreements.


Growing Demand Will Support Expansion in New Home Sales


The Federal Reserve held short-term interest rates constant last month, as expected, but the next rate hike is likely not far away. NAHB predicts rates will rise at the Federal Open Market Committee's upcoming meeting in December, one year after the first rate increase of this cycle occurred.Despite these expected increases, mortgage rates should remain relatively low throughout the next few years, supporting continued growth in the demand for housing.


Unlike the recent slowing of existing home sales, new home sales should continue to expand. August recorded the second-highest annual rate of new, single-family home sales since the end of the recession. And the low inventory—currently at just a 4.6 months' supply—points to an uptick in construction ahead, consistent with the growing amount of confidence among builders.


Economic Conditions


Single-family Construction Spending Declines

Recent drops in both single-family and home improvement spending overshadowed record-breaking gains for multifamily construction.


Effective Rate on New Home Loans Continues to Drop

August marked the seventh consecutive month of falling interest rates.


BEA Releases a Third Estimate of GDP Growth

Latest figures from the Bureau of Economic Anaysis indicate overall economic growth is accelerating.


Housing's Share of GDP Holds Steady 

But for the first time in more than two years, residential fixed investment had a negative effect. 


Market Trends


Construction Employment Growth by State

California, Florida and Colorado are among those with the biggest gains. 


Share of Plus-Sized Homes Keeps Growing

Not since 2007 have there been this many starts of new homes with more than 5,000 sq. ft. 


Inside Washington


House Votes to Delay Overtime Rule

NAHB continues push for stronger relief.


White House Releases Housing Development Toolkit

Though aimed at reducing regulatory hurdles, the strategies focus too much on inclusionary zoning. 


November Elections Could Chart the Future of Housing

You can help strengthen housing's voice in Washington. 


Industry Insight


Building Systems Housing Summit Breaks New Ground

Systems-built housing builders, manufacturers and suppliers discuss the future of the industry.


New Home Sales Remain Solid in August

Year-to-date sales pace indicates housing recovery remains firmly on track.


Codes & Regulations


New Voting Guides Point to Better Building Code Decisions

ICC will soon vote on thousands of proposed changes, many that would add unreasonable costs.


Court Hears Marathon Argument on Climate Change Rule

Clean Power Plan rule could uniquely impact home builders. 


NAHB Weekly News Digest

Inside Washington

NAHB, Business Groups Sue to Block Overtime Rule

Set to take effect on Dec. 1, rule would double the overtime salary threshold.

GOP Senators and NAHB Urge Democrats to Act on WOTUS

New report highlights major flaws of EPA's overreaching water rule.

ESA Changes to Flood Insurance Program Will Harm Housing 

NAHB tells Congress how the new mandates will add costly regulations and restrict development.

New Housing Tax Credit Would Benefit the Middle Class

Builders commend Oregon senator for his proposal to spur more development of rental homes.




Builder Confidence Surges in September

As household incomes rise, more serious buyers are stepping forward.

Housing Production Hits a Mild Speed Bump

August was a blip in what has otherwise been a gradual, long-term recovery.

Green Building

Everything You Need to Know About the New Green Standard

Latest edition of the NGBS reflects notable advances in sustainable construction.

The New Math: Zero Energy Equals a Perfect 10

A few lessons from a long-time green builder on how to master this profitable energy equation.

Builder Confidence Matches a Post-Recession High

Builder Confidence Matches a Post-Recession High

Last month's surprising dip in housing starts came as inventory remained tight for both new and existing homes. The seasonally adjusted annual pace of single-family starts in August was down 6% from the previous month, although year-to-date totals for single-family construction are still up 9% from this time last year.
Home building is noticeably down in the South, largely due to flooding that affected many areas of the Gulf Coast. Nationwide, multifamily starts declined 5.4% from July to August. Multifamily development has generally been flat, as the rental apartment market finds a balance between supply and demand.
However, despite persistent shortages of lots and labor — July estimates of unfilled construction sector jobs reached 214,000 — home builder confidence is growing stronger. The NAHB/Wells Fargo Housing Market Index (HMI) for September climbed to a level of 65, matching a post-recession high and suggesting a weak August will be followed by growth in permits and starts.

Business Conditions

Builder Confidence Surges in September

Upward momentum expected to built into 2017. 


A High Point for Large, For-Rent Multifamily Buildings

Completions in 50-plus unit buildings have skyrocketed 284% since 2011. 

Building Materials Prices Continue to Climb

Though overall producer prices remain flat, lumber and gypsum rose sharply in August.

Sales and Contract Prices Per Square Foot in 2015

Prices for spec homes in the Pacific and New England regions far exceed the national average. 

Housing Trends

Home Equity Grows Even as Homeownership Declines

Household holdings of real estate in the second quarter totaled $22.29 trillion.

New Single-Family Homes Have More Bedrooms

Share of new homes with four or more bedrooms in 2015 increased to 47%.

Concentration of Large Builders in Metropolitan Markets

Major housing markets have become more concentrated since the trough of the housing crisis.

Economic Insights

Housing Starts Pause in August

Single-family and multifamily posted declines after several months of gains.

Consumer Price Index Posts Strong Gain in August

Rising costs of medical care largely contributed to the increase in core inflation.


Consumer Credit Outstanding: What's Driving Auto Loan Growth?

The soaring auto loan market is drawing the attention of financial regulators. 


Developers Push Back Against Burdensome Infrastructure Costs

Industry Insight


Developers Push Back Against Burdensome Infrastructure Costs

Government edicts must meet constitutional principles.


New State-by-State Data Available on Fire Sprinkler Mandates

Forty-four states have rejected such requirements. 


NAHB Seeks New Lumber Sources in Chile

CEO Jerry Howard holds productive talks with Chilean producers.


Gain a Competitive Edge at the 2016 Remodeling Show

Next month's event in Baltimore offers valuable networking and educational opportunities. 

Better Remodeling Sales Start Here

Sept. 14 webinar provides a blueprint to boost sales. 

Association & Council News

Making a Case for Systems Built Housing 

Former traditional home builder speaks to the advantages of systems built housing.

Professional Women in Building Week Kicks Off Today

Inaugural event highlights the role of women in home building. 


The Weekly News Digest of the National Association of Home Builders

Washington Update

FEMA Looks Beyond 100-Year Floodplain

Proposed rule would require FEMA-funded construction to be two to three feet higher but leaves flood insurance policies alone.


Energy Bill Heads to Finish Line

Contact your federal lawmakers and urge them to keep the House language on energy codes in the final bill.

Clinton Releases Small Business Assistance Plan

NAHB continues to work with both candidates to keep housing, small business at the forefront of the campaign.

Industry Insight

New Home Sales Climb to Highest Level Since October 2007

Positive data is consistent with builders' reports that market conditions are improving.

Supporting a Brand Through Social Media

Case study highlights the need to maintain a robust online presence.

Confidence in Apartment and Condo Market Dips in 2nd Quarter

Despite modest decline, developers are still reporting steady demand.


NAHB Leaders Discuss Arbitration Issues with CFPB Director

Builders seek clarity, submit comments on proposed agency rule.

Suit Seeks Protection for 417 Additional Species

Expedited Endangered Species Act listings could usurp private property rights.

The Weekly News Digest of the National Association of Home Builders



Dog Days Don't Deter Builders

New construction and sales are on the rise in most areas of the country


New household formations are upping the demand for rental housing.

Continued Growth for Housing Through 2017

Economists see construction sector moving forward.

Industry Insight

FHFA Ups Fannie Mae, Freddie Mac Multifamily Lending Caps 

Limit increases to $36.5 billion.


Presidential Campaigns

Trump Vows to Cut Burdensome Regulations 

GOP candidate talks housing in address to NAHB Board of Directors. 

Housing Creates Jobs, Says Top Clinton Economic Advisor

Gene Sperling lays out Hillary Clinton's housing agenda to association leaders. 

Charlie Cook Predicts a Tight Race

Political pundit believes a strong GOP voter turnout will be the difference maker.  

Industry Insight

The Key to Cost-Effective Building Codes

NAHB Chairman Ed Brady shows members how they can help reduce excessive regulations.  

New American Remodeled Home Focuses on Efficiency 

Renovated showhome will consume less than half the energy of the original.  

News Plug Helps Make Sales, Recruit Members

Media outreach to HBAs results in positive outcomes for builders. 


Rising Prices Affect Housing Affordability in 2nd Quarter

Housing Opportunity Index remains fairly high. 

Slab Foundations, Two-Story Homes Still Dominate

NAHB sheds more light on the details of today's new homes. 

Weekly News Digest from NAHB

Industry Insight

Streamlined Clean Water Permit Acts in Jeopardy

U.S. Army Corps proposes to reissue and modify existing nationwide permits. 

Housing Markets Continue Gradual Climb Back to Normal

Nearly half of metros are fully recovered, many of which have exceeded their pre-recession strength. 

Student Program Scraps the Boring, Starts Inspiring

Eastern Iowa partnership helps open more career opportunities for students.  


2nd Quarter Results Show 55+ Market Remains Solid 

Builders report steady demand, yet labor and lot shortages linger for many. 

Lots in 2015 Smallest on Record

Size varies substantially by region.  

Weekly News Digest of NAHB

Rules & Regulations

Federal Fines to Jump Aug. 1

Agencies hike penalties for OSHA, stormwater and other infractions.


OSHA Anti-Retaliation Enforcement Provision Delayed

Recordkeeping stipulation pushed from Aug. 10 to Nov. 1.

White House Heeds NAHB Call for Review of Stormwater Proposal

View the association's detailed comments on EPA plan.

Industry Insight

NAHB Calls on Trump and Clinton to Focus on Housing

CNBC interviews NAHB Chairman Ed Brady at the GOP National Convention.

What Do Single-Family Builders Pay their Staff?

Study highlights the most recent compensation and benefits data for 39 home building positions.


Builder Confidence Holds Firm in July

Fundamentals are in place for slow, steady growth in the housing market.

Housing Starts Rise 4.8% in June

Single-family production should continue to strengthen throughout the year.

Association News

Top Spikes Pull in the Members

Across the Federation, Spikes prove there is strength in numbers.

Associates Spreading the Word about BUILD-PAC

Their PAC participation is up 14% and growing.

Weekly News Digest of the National Association of Home Builders


Housing Recovery Strengthens, but Challenges Remain

Harvard study notes Americans remain optimistic about homeownership.

New Home Sales Post Solid Reading in May

Though down from April, the sales market continues to make overall gains.

Inside Politics

House Votes to Reinstate Health Reimbursement Arrangements

Legislation would help workers obtain health insurance.

Senate Bill Would Reform Federal Housing Programs

Measure includes many NAHB-supported bipartisan fixes.

House GOP Tax Plan Would Impact Key Housing Tax Provisions

NAHB Chairman Ed Brady cites major concerns, pledges to work with House leadership.

White House Issues New Rules to Minimize Drone Crashes

FAA yet to release long-term framework for commercial drone use. 

The Weekly News Digest of the National Association of Home Builders


Builder Confidence Resumes Upward Momentum

After holding steady for four months, builder sentiment is on the rise. 

Housing Starts Hold Firm in May

Groundbreaking on single-family homes inches up.

Inside Politics

House to Vote this Week on NAHB-Supported Health Care Bill

Measure would reinstate the use of Health Reimbursement Arrangements. 

PWB Strengthens Clout of BUILD-PAC

Council is a high-profile advocate for NAHB's political action committee.

Rules & Regulations

Don't Run Afoul of New Silica Rule

Webinar explains how the rule will affect construction job sites.

New Resources for Complying with Lead Paint Rule

Toolkit helps tackle inspections and recertifications.

HUD Proposes Using ZIP Code-Based Fair Market Rents

These changes would apply to the Housing Choice Voucher program.

Surprising Labor Market Data Pauses the Fed

Surprising Labor Market Data Pauses the Fed


A weak labor market report clearly influenced the Federal Reserve's decision to keep interest rates steady this week. The Fed noted that job gains have slowed and business investment has been soft. Housing, however, remains a bright spot as the economy picks up speed entering the second quarter. 

Industry Insights

Who are NAHB's Builder Members?


The latest member census reveals that the median dollar volume for builders in 2015 was the highest on record.


Market Share of the Nation's Top Builders

The total number of closings among each of the top 100 U.S. builders in 2015 ranged from 365 to 36,736. 

One-Person Residential Construction Firms Total 1.7 Million

Though large in numbers, these contractors typically pull in modest receipts.  


Lending Trends

Non-Bank Institutions Account for Nearly Half of All Home Loans

The share of mortgage originations from independent mortgage companies is the largest among all lender types. 

Home Mortgage and Multifamily Residential Debt Expand

Rising real estate values outpaced increasing mortgage debt, resulting in overall home equity growth.

Consumer Credit Outstanding Grows on Auto, Student Loans

Outstanding non-revolving credit now stands at $2.65 trillion.

Macroeconomic Indicators


Increasing Energy Prices Drive Producer Price Index Higher

May's upsurge was twice the size of April's. 

Last Month's Employment: All Systems No

April was a bad month, May was a shocker, and June is a non-starter.

Construction Employment Drops as Job Openings Persist

The count of total jobs in the home building sector has declined for two straight months.

Personal Consumption Expenditure Jumps

April's increase was the biggest since August 2009. 

Private Residential Construction Spending Stalls

Both multifamily and home improvements declined in April, while single-family spending was virtually unchanged. 

Consumer Perspectives

Consumer Confidence Slipped Again

But expectations improved for business conditions six months from now.

New House Price Data Show Why Costs are a Problem

Nearly one-third of consumers expect to pay less than $150,000 for a home, while just 6% of new homes fall in that range. 


As the National Association of Home Builders (NAHB) celebrates National Homeownership Month in June, builders continue to demand affordable housing for all Americans, calling for sensible reforms to burdensome regulations that increase the cost of housing.

As the National Association of Home Builders (NAHB) celebrates National Homeownership Month in June, builders continue to demand affordable housing for all Americans, calling for sensible reforms to burdensome regulations that increase the cost of housing.


“The aggressive over-regulation of the housing industry is putting the American Dream of safe and affordable housing at risk,” said NAHB Chairman Ed Brady, a home builder and developer from Bloomington, Ill. 

In May, NAHB released a study, Government Regulation in the Price of a New Home, which showed that on average, government regulations account for 24.3% of the final price of a new single-family home. In fact, the regulatory costs for an average single-family home went from $65,224 in 2011 to $84,671 in 2016 – a 29.8% increase in five years.


“Regulators at all levels of government – local, state and federal – must understand that their actions have real consequences,” said NAHB Chief Executive Officer Jerry Howard. “The cost of regulation in the price of a new home is rising more than twice as fast as the average American’s ability to pay for it. That is simply not sustainable.”


NAHB has been fighting back against costly regulations that fail to meet their intended goals, including the Department of Labor’s new overtime rule that was implemented without considering its impact on small businesses, consumers, workers and the economy.


The 100% increase to the salary threshold for overtime eligibility will hit the home building industry particularly hard and harm housing affordability. It will reduce job-advancement opportunities and the hours of full-time construction supervisors, leading to construction delays, increased costs and less affordable housing options for consumers.


“Common sense reforms to the regulatory approval process would open the doors of homeownership to more Americans across the country,” Brady said.


During National Homeownership Month in June, and throughout the year, NAHB and its 700 state and local affiliates work hard to make affordable housing a reality and a priority to our nation’s leadership.

“Homeownership remains a core American value to consumers across the country,” Brady said. “In addition to building stronger communities, homeownership provides a solid foundation for family and personal achievement. It is critical that we keep this dream within reach, and not price out buyers with needless overregulation.” 

Weekly News Digest of the National Association of Home Builders


Regulations Add $84K to New Home Prices

Costs are rising more than twice as fast as incomes. 

Housing Markets Continue to Edge Forward

More than a third of metros are back to normal.

55+ Builder Confidence Still Upbeat

Index shows eight straight quarters in positive territory.

Industry Insight 

Double-Duty Spaces that Really Work

Boost business with these design ideas that give home buyers more for less.

NAHB Works to Improve Fire Reporting System

Fire marshals seek help from home builders. 

Using Nature to Add Value

Buyers want to be close to parks, walking trails and lakes.

Melancholy Millennials Putting the Car Before the House

Stagnant income deters home purchases but not auto buys.

Housing Finance

Freddie Mac Quarterly Loss Highlights Need for Overhaul 

Taxpayers dodged a bullet, says NAHB Chairman Ed Brady.

Fannie, Freddie Multifamily Lending Caps Raised to $35 Billion 

Action is a victory for NAHB's advocacy efforts.

Latest News & Information for Remodeling Industry

OSHA Rule Finalized for Silica Dust Exposure

OSHA issued the final silica rule to limit exposure to crystalline silica, found in many common building materials. Popular remodeling jobs like kitchens and baths that involve cutting tile, bricks and other materials containing crystalline silica over the new limit will likely be impacted by this new regulation. Remodelers will be required to use specified engineering controls like water or ventilation and provide respiratory protection for many common remodeling tasks.

March 31 Deadline to Recertify Training for EPA Lead Paint Rule

Though NAHB continues to beat the drum on the importance of a reliable, easy-to-use and inexpensive way to test for the presence of lead-based paint in walls and trim as key to the Environmental Protection Agency’s Lead Renovation, Repair and Painting rule, thousands of remodelers still face a March 31 recertification deadline. These remodelers are required to get refresher training either in-person or online through the new online class option.

Marketing In Your Local Media Market for Remodelers

You don’t have to spend the most money on advertising to beat the competition - just spend a little time on public relations. Former NAHB Remodelers Chair Robert Criner shares his keys to effective media relations that include recognizing the right opportunities and knowing who to contact. 



NAHB estimates 55,000 total tear-downs for 2015 single-family home starts. Anecdotal evidence suggests that tear-down construction has become a significant modus operandi in some parts of the country. Due either to local topographic or political constraints, replacing older structures with new ones can potentially be an important option.
CAPS instructor and remodeler, Vince Butler, explains how he prepped an office above the garage for an in-law suite conversion. Here are 21 design ideas that even an expert should have included in the original office remodel to ensure a smooth transformation into his mother's living space.
Home owner seminars are evolving for a clientele who wants information ondemand and online. Professional Remodeler interviews remodelers for tips on organizing seminars to maximize leads and sales force resources.                             
MT Students
A possible solution to the widespread labor shortage: Restock the low inventory of laborers with a new group of fresh (young) faces. 38 high school students in Montana are building a full-sized, two-story, four-bedroom house all on their own (with the oversight of Flathead Building Association members and skilled subcontractors).
Membership Saves You Money
Don't waste your limited time and resources on leads that don't pan out. The goal of this webinar is to give attendees the information they need so that they never again go on a sales call with an unqualified prospect. NAHB Remodelers members get an additional $5 off registration.                         
Remodeling Month
Happy clients and beautiful homes - that's what it's all about. Join us as we turn up the volume in May to celebrate all things remodeling. We've created public relations, social media and other promotional resources for you to use during National Home Remodeling Month, saving you money on your marketing budget.
Knowing how much the competition is bringing in can help you better gauge your financial performance and further enhance your industry intellect. NAHB is confidentially surveying remodeler members to provide them with real-market benchmarks they can use to compare their business to others, pinpoint improvement opportunities and set budget targets. Survey participants will receive a free copy of the final report, the 2017 Remodelers’ Cost of Doing Business Study.
Join Professional Remodeler and industry peers for this exciting networking event. The inaugural GenX-Change event is in Dallas, April 13-15 and will provide a day and a half of interactive content for attendees to learn from those who have succeeded by taking risks to grow their businesses. The Professional Remodeler 40 under 40 winners will also be honored at this event. NAHB Remodelers members get $100 off the $325 registration cost.
Give your clients the best during foundation, framing and exterior finishing when you better understand selection criteria, properties of materials, application techniques and the long-term performance of each system. Building Technology: Structures and Exterior Finishes Live Online will be offered in webinar format from 1:00-3:00 PM ET over three consecutive Tuesdays April 5, 12 and 19. Register today!
NAHB has formed a strategic alliance with Houzz Inc., the online platform for home building, renovation and design, to help NAHB members use Houzz’s technology and marketing capabilities to connect with a community of 35 million users. Visit the Houzz NAHB member portal to create or update your free professional profile, which includes a verified NAHB badge. Members also have access to the Houzz concierge for assistance.                              


The 2016 IBS Show in Las Vegas was described by many as the Best Show Yet!

IBS 2016 was "Awesome," "Exciting," Unbelievable."


Check out IBS 2016!


Make plans right now to attend IBS 2017 in Orlando, Florida, January 10-12, 2017!

Weekly News Updates from NAHB



How Much Profit Do Builders Make?

Find out how your single-family construction business stacks up against industry-wide averages.

New Home Sales Edge Up in February

A positive indicator as we enter the spring buying season. 


Rules & Regulations

Final Silica Rule Announced 

NAHB expresses concern that the rule is neither technologically nor economically feasible for home builders.

New Persuader Rule Reporting to Begin in Late April

May have a big impact on HBAs offering presentations, seminars and other union and labor-related content.

Builders Seek Regulatory Reform to Ease Housing Affordability

NAHB First Vice Chairman Granger MacDonald calls on Congress to take action. 

Time to Get the Lead Out

March 31 deadline looms for remodelers to take refresher training course.

Association Update

Now's Your Chance to Speak at IBS

Industry experts have an opportunity to share knowledge and insight at NAHB's premier event. 

NAHB Kids Shine a Light on Home Building

Creative contest captures the great work of our industry through the eyes of our children.  


Rules & Regulations

Confined Spaces Regulation Now in Effect
NAHB resources offer helpful guidance to comply with the rule.

Connecticut Lawmakers Reject Sprinkler Mandates
High costs, few benefits favor smoke alarms over sprinklers in one- and two-family homes.


Industry Insight


Bringing Housing Home a Grassroots Success
Builders cement stronger ties with their lawmakers during in-district visits.

Fair Housing, Warranty Issues in Latest Liability Update
Also see what's trending with regard to OSHA enforcement activity and worker misclassification.

Home Building Gets Competitive in Lego League
It's never too early to get kids excited about a career in residential construction.


HUD Seeks Comments on AFFH State Assessment Tool
States will use this tool to evaluate fair housing choice.

6 LIHTC Expense Traps to Avoid

March 17 webinar will help protect your bottom line.

HUD Proposes Revisions to Risk-Sharing Program
NAHB to weigh in on this housing finance proposal.  

NAHB has launched the Defender of Housing award to honor our senators, representatives and state elected leadership who understand the importance of the housing industry and take stands to help it grow.


NAHB has launched the Defender of Housing award to honor our senators, representatives and state elected leadership who understand the importance of the housing industry and take stands to help it grow.

HBAs are encouraged to think about the contributions of their legislators who have demonstrated support for home building, remodeling, development and the contributions we make to the economy and submit an application.

Nominated by state and local HBA leaders, each candidate is reviewed by a select group of NAHB Federal Government Affairs Committee members before being chosen for this national award. And each legislator honored helps raise the profile of the state or local HBA making the submission.

Nominations are now being accepted and close April 29. Award winners will be announced in late May. For additional information, contact Alyssa Rajabi.

NAHB Chairman Ed Brady and First Vice Chairman Granger MacDonald this week conducted two days of meetings with Democratic and Republican leaders in both chambers of Congress to urge lawmakers to pursue a strong national agenda for housing

NAHB Chairman Ed Brady and First Vice Chairman Granger MacDonald this week conducted two days of meetings with Democratic and Republican leaders in both chambers of Congress to urge lawmakers to pursue a strong national agenda for housing. The NAHB Senior Officers reiterated the importance of housing and homeownership to the economy and stressed that a vibrant housing market is necessary in order to maintain robust job and economic growth.


From left, NAHB Chairman Ed Brady, House Majority Leader Kevin McCarthy
and NAHB First VIce Chairman Granger MacDonald


On Capitol Hill, Brady and MacDonald met with several influential lawmakers from both sides of the political aisle, including Senate Majority Leader Mitch McConnell (R-Ky.); Senate Minority Whip Dick Durbin (D-Ill.); House Majority Leader Kevin McCarthy (R-Calif.); House Minority Whip Steny Hoyer (D-Md.); House Appropriations Committee Chairman Hal Rogers (R-Ky.); House Financial Services Committee Chairman Jeb Hensarling (R-Texas); and Rep. Ben Ray Lujan (D-N.M.), chairman of the Democratic Congressional Campaign Committee.

Discussions focused on the need to enact policies that would provide a stable and affordable supply of credit for home buyers, home builders and rental housing and to reduce or eliminate unnecessary regulations to make homeownership more affordable for firefighters, teachers, police officers and other middle-class families. Lawmakers were also urged to address soaring health care costs by allowing the use of health reimbursement arrangements and to adopt sensible workforce development and immigration policy that will help our industry fill open jobs and boost our nation’s economy.

Amidst this presidential election year, when so much hangs in the balance for the housing industry, these meetings will help to lay the groundwork for a successful Bringing Housing Home™ NAHB Legislative Conference during the week of March 7-11 when our members will hold in-district meetings with their lawmakers.

Builders are encouraged to log on to BringingHousingHome.com now and register to attend the industry’s most important lobbying event of the year.

For more information on Bringing Housing Home, email Michael Persaud at NAHB or call him at 800-368-5242 x8542.