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THE
NAIL The official magazine of Home Builders Association of Middle Tennessee President Steve Shalibo Vice President Nick Wisniewski Secretary/Treasurer Brandon Rickman Executive Vice President John Sheley Editor and Designer Jim Argo Staff Connie Nicley Hannah Garrard
THE NAIL is published monthly by the Home Builders Association of Middle Tennessee, a non-profit trade association dedicated to promoting the American dream of homeownership to all residents of Middle Tennessee. SUBMISSIONS: THE NAIL welcomes manuscripts and photos related to the Middle Tennessee housing industry for publication. Editor reserves the right to edit due to content and space limitations. POSTMASTER: Please send address changes to: HBAMT, 9007 Overlook Boulevard, Brentwood, TN 37027. Phone: (615) 377-1055.
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FEATURES 9 PPG Chili Cook-off at the HBAMT November 9th
The big event returns this month! Secure your space now by returning your completed registration form to the HBAMT today.
10 2021 Showcase House at Hardeman Springs
The second HBAMT Showcase House project wrapped with a celebratory reception at Hardeman Springs last month.
DEPARTMENTS 6 News & Information 15 SPIKE Club Report
Advertise in
THE
16 November Calendar 16 Chapters and Councils
NAIL Email jargo@hbamt.org for more details!
ON THE COVER: The 2021 Showcase House at Hardeman Springs opened its doors for a reception last month. See page ten (10) for more details. November, 2021
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NEWS&INFO
Low inventory leads to solid gains in new home sales
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ueled by strong demand, low existing inventory and buyers’ anticipation of future higher mortgage rates, new home sales posted a solid gain last month. Sales of newly built, single-family homes in September rose 14% to an 800,000 seasonally adjusted annual rate from a downwardly revised reading in August, according to newly released data by the U.S. Department of Housing and Urban Development and the U.S. Census Bureau. “Limited existing inventory and low interest rates are keeping demand strong, and more potential buyers may be coming off the fence as they expect interest rates to rise in the future,” said NAHB Chairman Chuck Fowke. “Solid demand and ongoing building material supply bottlenecks continue to put upward pressure on new home prices,” said NAHB
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Senior Economist Jing Fu. “Median new home sale prices are up 18.7% on a year-over-year basis. At the same time, only 21% of current sales are below $300,000, compared to a 35% pace a year ago.” A new home sale occurs when a sales contract is signed or a deposit is accepted. The home can be in any stage of construction: not yet started, under construction or completed. In addition to adjusting for seasonal effects, the September reading of 800,000 units is the number of homes that would sell if this pace continued for the next 12 months. Inventory remains steady at a 5.7-months’ supply, with 379,000 new single-family homes for sale, compared to 286,000 in September 2020. The median sales price continued to rise to $408,800 from the $401,500 median sales price posted in August, and rose 18.7% on a yearover-year basis, due to higher development costs, including materials. Regionally, on a year-to-date basis, new home sales rose 1.9% in the Northeast, 3.4% in the Midwest and 1.6% in the South, but fell 8.8% in the West. n
Housing starts flat in September, builder confidence rises
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ingle-family housing production held steady in September as strong demand helped to offset ongoing building material supply chain disruptions. Meanwhile, declines in multifamily production helped to push overall housing starts in September down 1.6% to a seasonally adjusted annual rate of 1.56 million, according to a report from the U.S. Department of Housing and Urban Development and the U.S. Census Bureau. The September reading of 1.56 million starts is the number of housing units builders would begin if development kept this pace for the next 12 months. Within this overall number, single-family starts were essentially unchanged from the previous month at a 1.08 million seasonally adjusted annual rate, and are up 20.5% year-to-date. The multifamily sector, which includes apartment buildings and condos, decreased 5.0% to a 475,000 pace. “Single-family construction continued along recent, more sustainable trends in September,” said NAHB Chairman Chuck Fowke. “Lumber prices have moved off recent lows, but the cost and availability of many building materials continues to be a challenge for a market that still lacks inventory. Policymakers should continue to work to improve supply-chains.” “Builder confidence increased in October, which confirms stabilization of home construction at current levels,” said NAHB Chief Economist Robert Dietz. “The number of single-family units in the construction pipeline is 712,000, almost 31% higher than a year ago as more inventory is headed to market. Multi-
family construction has expanded as well, with almost a 6% year over year gain for apartments currently under construction.” On a regional and year-to-date basis (January through September of 2021 compared to that same time frame a year ago), combined single-family and multifamily starts are 28.9% higher in the Northeast, 12.1% higher in the Midwest, 18.6% higher in the South and 22.6% higher in the West. Overall permits decreased 7.7% to a 1.59 million unit annualized rate in September. Single-family permits decreased 0.9% to a 1.04 million unit rate. Multifamily permits decreased 18.3% to a 548,000 pace. Looking at regional permit data on a yearto-date basis, permits are 19.6% higher in the Northeast, 19.9% higher in the Midwest, 22.9% higher in the South and 25.0% higher in the West. Builder confidence up Strong consumer demand helped push builder confidence higher in October despite growing affordability challenges stemming from rising material prices and shortages. Builder sentiment in the market for newly built single-family homes moved four points higher to 80 in October, according to the NAHB/Wells Fargo Housing Market Index (HMI) released today. “Although demand and home sales remain strong, builders continue to grapple with ongoing supply chain disruptions and labor shortages that are delaying completion times and putting upward pressure on building material and
Remodeling industry confidence improves year over year
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AHB released its NAHB/Royal Building Products Remodeling Market Index (RMI) for the third quarter, posting a reading of 87, up five points from the third quarter of 2020. “Demand for remodeling remains strong, and remodelers are doing quite well as long as they can adequately deal with material and labor shortages,” said NAHB Remodelers Chair Steve Cunningham. “So far, a sub-
stantial share of their customers have been willing and able to tolerate the extra cost and delays of requested remodeling projects.” The RMI survey asks remodelers to rate five components of the remodeling market as “good,” “fair” or “poor.” Each question is measured on a scale from 0 to 100, where an index number above 50 indicates that a higher share view conditions as good than poor. For the full RMI tables, please visit nahb.org/rmi.
home prices,” said Fowke. “Builders are getting increasingly concerned about affordability hurdles ahead for most buyers,” said Dietz. “Building material price increases and bottlenecks persist and interest rates are expected to rise in coming months as the Fed begins to taper its purchase of U.S. Treasuries and mortgage-backed debt. Policymakers must focus on fixing the broken supply chain. This will spur more construction and help ease upward pressure on home prices.” Derived from a monthly survey that NAHB has been conducting for 35 years, the NAHB/ Wells Fargo HMI gauges builder perceptions of current single-family home sales and sales expectations for the next six months as “good,” “fair” or “poor.” The survey also asks builders to rate traffic of prospective buyers as “high to very high,” “average” or “low to very low.” Scores for each component are then used to calculate a seasonally adjusted index where any number over 50 indicates that more builders view conditions as good than poor. All three major HMI indices posted gains in October. The index gauging current sales conditions rose five points to 87, the component measuring sales expectations in the next six months posted a three-point gain to 84 and the gauge charting traffic of prospective buyers moved four points higher to 65. Looking at the three-month moving averages for regional HMI scores, the Midwest rose one point to 69, the Northeast held steady at 72, the South and West each remained unchanged at 80 and 83, respectively. HMI tables can be found at nahb.org/hmi. More information on housing statistics is also available at Housing Economics PLUS (formerly housingeconomics.com). n
“We are seeing strong demand and continued optimism in the residential remodeling market, despite the fact that supply constraints are severe and widespread,” said NAHB Chief Economist Robert Dietz. “For example, well over 90% of remodelers in the third quarter RMI survey reported a shortage of carpenters. And 57% of remodelers reported having slightly raised prices for projects over the last six months, with another 28% indicating a significant increase in price, due in part to higher material costs and ongoing strong demand. Half of these remodelers reported some pricing out of demand due to higher prices for remodeling projects.” n November, 2021
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Spring Showcase House at Hardeman Springs!
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toneBridge Homes held an open house and dedication ceremony for the second Showcase House project last month at the Hardeman Springs community in Arrington. Steve Shalibo, founder of StoneBridge Homes and the 2021 HBAMT president, oversaw the development and construction of this year’s Showcase House, a project that raises funds through the sale of the house for the association to continue its support of the local home building industry.
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Companies contributing to the construction of the house were recognized during the event and presented plaques of appreciation by Shalibo. A big thanks to everyone for your support of the project and the association. See page fourteen for a full list of these companies. And a very big thanks to Steve and the entire StoneBridge Homes team for their efforts in constructing the Showcase Home and celebrating its success in such grand style. Thank you for your dedication and hard work. It is greatly appreciated! n
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Mike Brisky, American Bath Group, accepts the company’s appreciation award from Steve Shalibo.
Chuck Bibeau from Bank OZK
Turner Binkley from Binkley Designed
Anthony Bullington, Builders First Source
Emily Floyd and Rachel Holloway, Farmington Mortgage
Emily Kramer, Ferguson
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Barbara French and Kym Heaton, French’s Cabinet Gallery
Pete Hayes, The Hayes Company
Danny Anderson, Hardeman Development
Joe Dalton, James Hardie Building Products
Jamie Watford, JW Nash
Jennifer Earnest, Kenny & Company
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Patrick Hutchinson, Parksite/DuPont Tyvek
Barkley Legens, Pulley and Associates
Jeremi Gill, Real Wood Floors
Bryan Askew, RealSafe
Thank you Showcase House contributors! Alley-Cassetty American Bath Group Bank OZK Binkley Designed Builders FirstSource Builders FirstSource Cambria Central Woodworks Farmington Mortgage Ferguson French’s Cabinet Gallery JW Nash James Hardie Kenny & Company
Mountain Air Mechanical Nashville Fireplace Opportunity Landscapes and Nursery Hardeman Springs - Parks Realty Parksite/Tyvek Petersen & Sons Pulley & Associates/Delta Real Wood Floors RemainSafe Rosemary-Home Smokey Mountain Cabinets SPEC Building Materials The Edge Group The Hayes Company Tolbert Marketing & Events
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SPIKE REPORT David Hughes Jim McLean Nick Wisniewski
Twenty-five SPIKES (in bold) increased their recruitment numbers last month. What is a SPIKE? SPIKES recruit new members and help the association retain members. Here is the latest SPIKE report as of September 30th, 2021. Top 20 Big Spikes Jim Ford 912 Mitzi Spann 791 Bill King 776 Terry Cobb 570 Jim Fischer 567 Trey Lewis 523 James Carbine 414 Jennifer Earnest 379 Jimmy Franks 371 David Crane 340 Kevin Hale 302 Reese Smith III 261 Steve Moody 221 Davis Lamb 220 Sonny Shackelford 219 Jackson Downey 182 Randall Smith 172
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Life Spikes Tonya Esquibel 152 Steve Cates 146 Harry Johnson 146 Steve Shalibo 142 C.W. Bartlett 138 Jordan Clark 128 Brandon Rickman 126 B.J. Hanson 122 Carmen Ryan 121 Michael Dillon 119 Steve Hewlett 119 John Zelenak 118 Dave McGowan 115 Justin Hicks 113 Edsel Charles 111 Wiggs Thompson 107 Duane Vanhook 105 Joe Morgan 96 Jeff Zeitlin 87 Keith Porterfield 84 Jody Derrick 77 Erin Richardson 77 Sam Henley 76 Beth Sturm 74 Ron Schroeder 72 Nelson Bordeau 71 Lori Fisk-Conners 70 Christina James 64
Andrew Neuman 64 Brian Sebring 56 John Broderick 55 Rick Olszewski 54 John Ganschow 51 Joe Dalton 48 Phillip Smith 47 Rachel Holloway 46 Ryan Meade 46 Frank Jones 45 Ricky Scott 45 Frank Tyree 33 Don Mahone 31 Jeffrey Caruth 26 Maverick Green 25 Spikes Jim Hysen 21 Perry Pratt 21 Margaret Tolbert 20 Tammy Chambers 16 Nicole Bird 15 Rob Pease 15 Eric DeBerry 12 John Nehrenz 12 MacKenzie Curtis 10 Will Montgomery 10 Chris Richey 10 Lisa Underwood 10 Bob Bellenfant 8 Clint Mitchell 8 Matt Dryden 7 McClain Franks 6
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NOVEMBER CALENDAR Sunday
Monday
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Tuesday
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Wednesday
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Thursday
Friday
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Saturday
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Sales & Marketing Council Meeting
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Chili Cook-off 2022 General Elections
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30
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Sales & Marketing Council Meeting
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CHAPTERS & COUNCILS CHAPTERS
Robertson County RSVP line: 615-377-9651, ext. 313.
CHEATHAM COUNTY CHAPTER Chapter President - Roy Miles. Cheatham County Chapter details are being planned. Next meeting: to be announced. Chapter RSVP Line: 615/377-9651, ext. 310
SUMNER COUNTY CHAPTER Chapter President - Joe Dalton. The Sumner County Chapter meets on the fourth Tuesday of the month, 11:30 a.m. at the new Hendersonville Library. Next meeting: to be announced. Chapter RSVP Line: 615/377-9651, ext. 262
DICKSON COUNTY CHAPTER Chapter President - Mark Denney. The Dickson County Chapter meets on the third Tuesday of the month, 12:00 p.m. at Colton’s Steakhouse in Dickson. Next meeting: to be announced. Topic: to be announced. Price: FREE, lunch dutch treat. Chapter RSVP Line: 615/377-9651, ext. 264 MAURY COUNTY CHAPTER Maury County Chapter details are currently being planned. Next meeting: to be announced. Chapter RSVP line: 615-377-9651, ext. 312; for callers outside the 615 area code, 1-800-571-9995, ext. 312 METRO/NASHVILLE CHAPTER Chapter President - Tonya Esquibel. The Metro/Nashville Chapter meets on the fourth Monday of the month, 11:30 a.m. at the HBAMT offices. Next meeting: to be announced. Builders Free pending sponsorship. Price: $10 per person with RSVP ($20 w/o RSVP). Chapter RSVP Line: 615/377-9651, ext. 261 ROBERTSON COUNTY CHAPTER Next meeting: to be announced.
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WILLIAMSON COUNTY CHAPTER Chapter President - John Nehrenz. The Williamson County Chapter meets on the third Tuesday of the month, 11:30 a.m. at the HBAMT offices. Next meeting: to be announced. Builders Free pending sponsorship. Price: $10 per person with RSVP ($20 w/o RSVP). Chapter RSVP Line: 615/377-9651, ext. 305 WILSON COUNTY CHAPTER Chapter President - Nick Wisniewski. The Wilson County Chapter meets on the second Wednesday of the month, 11:30 a.m. at the Lebanon Wilson County Chamber of Commerce in Lebanon. Next meeting: to be announced. Topic: to be announced. Chapter RSVP Line: 615/377-9651, ext. 309 COUNCILS GREEN BUILDING COUNCIL Council President - Erin Richardson. The Green Building Council meets on the fourth Wednesday of the month, 11:00 a.m. Price: free for Green Building Council members pending
sponsorship; $20 for non-members with RSVP ($25 w/o). Council RSVP Line: 615/377-9651, ext. 308 HBAMT REMODELERS COUNCIL Council President - Eli Routh. The HBAMT Remodelers Council meets on the third Wednesday of the month at varying locations. Next meeting: to be announced Council RSVP Line: 615/377-9651, ext. 263 INFILL BUILDERS COUNCIL The Infill Builders Council typically meets on the third Thursday of the month, 11:30 a.m. at the HBAMT offices Next meeting: to be announced. RSVP to: 615/377-9651, ext. 265. MIDDLE TENN SALES & MARKETING COUNCIL Council President - Jessica Neal. The SMC typically meets on the first Thursday of the month, 9:00 a.m. at the HBAMT offices. Next meeting: Thursday, November 4th. Topic: “Local Market Real Estate Statistics and Reports,” with Bobbi Jo Nugent, GNAR. SMC Members FREE w/RSVP thanks to Goodall. Non-SMC members: $15 with RSVP; $20 w/o RSVP RSVP REQUIRED - LIMITED SEATING RSVP to cnicley@hbamt.org Council RSVP Line: 615/377-9651, ext. 260.
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