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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 Oktoberfest BUILDERS SHOW registration open The big event returns this October! Secure your space now by returning your completed registration form to the HBAMT today.
11 2021 James Hardie Golf Tournament
Big fun last month as the HBAMT’s annual golf outing was held at the Legends Golf Club in Franklin.
16 Showcase House program accepting contributions
Donate materials and/or labor to the HBAMT’s Showcase House program. There are currently two Showcase projects underway.
DEPARTMENTS
Advertise in
THE
NAIL Email jargo@hbamt.org for more details!
6 News & Information 17 SPIKE Club Report 18 September Calendar 18 Chapters and Councils
ON THE COVER: The James Hardie Golf Tournament was held last month in Franklin. See page eleven (11) for more details. September, 2021
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NEWS&INFO
New home sales level off, hold steady in July
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ales of newly built, single-family homes rose 1% in July to a 708,000 seasonally adjusted annual rate, according to newly released data by the U.S. Department of Housing and Urban Development and the U.S. Census Bureau. This data reflected an expected upward revision to the June new home sales estimate. “New home sales have leveled of this summer after a period of rising costs and strong demand,” said NAHB Chairman Chuck Fowke. “While new home sales are up 6.9% on a year-to-date basis, they are down 27% in July compared to the same time last year,” said NAHB Chief Economist Robert Dietz. “Builders will need to watch local home prices relative to incomes, given recent gains in building materials and other construction costs.”
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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 July reading of 708,000 units is the number of homes that would sell if this pace continued for the next 12 months. Inventory continues to rise to more balanced market conditions of a 6.2-month supply, with 367,000 new single-family homes for sale, 26.1% higher than July 2020. While inventory is rising, a growing share is of homes that have not started construction. As of July 2021, 29% of new home inventory consists of homes not started construction, compared to 20% a year ago. The median sales price was $390,500, up 18.4% from the $329,800 median sales price posted a year earlier, due to higher development costs, including materials. Regionally, on a year-to-date basis, new home sales rose in all four regions, up 7.5% in the Northeast, 10.6% in the Midwest, 9.1% in the South, and 0.5% in the West. These significant increases are due in part to lower sales volume during the Covid crisis a year ago. n
Housing starts down in July, builder confidence falls
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upply chain and labor challenges helped to push overall housing starts down 7.0% percent to a seasonally adjusted annual rate of 1.53 million units, according to a report from the U.S. Department of Housing and Urban Development and the U.S. Census Bureau. The July reading of 1.53 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 decreased 4.5% to a 1.11 million seasonally adjusted annual rate. The multifamily sector, which includes apartment buildings and condos, decreased 13.1% to a 423,000 pace. “The latest starts numbers reflect declining builder sentiment as they continue to grapple with high building material prices, production bottlenecks and labor shortages,” said NAHB Chairman Chuck Fowke. “Policymakers need to prioritize the U.S. supply chain for items like building materials to ensure builders can add additional inventory the housing market desperately needs.” “The decline in single-family permits indicates that builders are slowing construction activity as costs rise,” said Danushka Nanayakkara-Skillington, NAHB assistant vice president for forecasting and analysis. “Starts began the year on a strong footing but in recent months some projects have been forced to pause due to both the availability and costs of materials.” On a regional and year-to-date basis (January through July of 2021 compared to that same time frame a year ago), combined single-family and multifamily starts are 27.7% higher in the Northeast, 20.8% higher in the Midwest, 18.5% higher in the South and 27.7% higher in the West. Overall permits increased 2.6% to a 1.64 million unit annualized rate in July. Single-family
permits decreased 1.7% to a 1.05 million unit rate. Multifamily permits increased 11.2% to a 587,000 pace. Looking at regional permit data on a year-todate basis, permits are 24.9% higher in the Northeast, 23.0% higher in the Midwest, 25.9% higher in the South and 28.2% higher in the West. Builder confidence falls Higher construction costs and supply shortages along with rising home prices pushed builder confidence to its lowest reading since July 2020, according to the NAHB/Wells Fargo Housing Market Index (HMI). Builder sentiment in the market for newly built single-family homes fell five points to 75 in August. “Buyer traffic has fallen to its lowest reading since July 2020 as some prospective buyers are experiencing sticker shock due to higher construction costs,” said Fowke. “Policymakers need to find long-term solutions to supply-chain issues.” “While the demographics and interest for home buying remain solid, higher costs and
New single-family home size is rising
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n expected impact of the virus crisis is a need for more residential space, as people use homes for more purposes including work. Recent data confirms this impact on the market is occurring. According to second quarter 2021 data from the Census Quarterly Starts and Com-
pletions by Purpose and Design and NAHB analysis, median single-family square floor area increased to 2,297 square feet. Average (mean) square footage for new single-family homes increased to 2,540. Since Great Recession lows (and on a oneyear moving average basis), the average size
material access issues have resulted in lower levels of home building and even put a hold on some new home sales,” said Dietz. “While these supply-side limitations are holding back the market, our expectation is that production bottlenecks should ease over the coming months and the market should return to more normal conditions.” 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. The HMI index gauging current sales conditions fell five points to 81 and the component measuring traffic of prospective buyers also posted a five-point decline to 60. The gauge charting sales expectations in the next six months held steady at 81. Looking at the three-month moving averages for regional HMI scores, the Northeast fell one point to 74, the Midwest dropped two points to 68, the South posted a three-point decline to 82 and the West registered a two-point drop to 85. HMI tables can be found at nahb.org/hmi. More information on housing statistics is also available at Housing Economics PLUS (formerly housingeconomics.com). Single-family home builders are invited to join the exclusive group of NAHB members who participate each month in the Housing Market Index survey. To begin receiving the monthly HMI surveys, please submit this form. n
of new single-family homes is now 5.5% higher at 2,502 square feet, while the median size is about 8.5% higher at 2,280 square feet. Home size rose from 2009 to 2015 as entry-level new construction was constrained. Home size declined between 2016 and 2020 as more starter homes were developed. Going forward we expect home size to increase again, given a shift in consumer preferences for more space due to the increased use and roles of homes (for work, for study) in the post-Covid-19 environment. n
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James Hardie Golf Tournament 2021!
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he James Hardie Golf Tournament was held Thursday, August 12 at the Legends Golf Club. Over 250 golfers competed in the event and enjoyed food, beverages and support from a near record number of sponsors. The Barlow Builders team earned first place honors during the morning round. They were followed by second place winners Cadre Homes and the third place
foursome from GAF. The Arnold Homes team took home first place honors during the afternoon round. Goodall Homes earned second place honors during the round, and Tennessee Valley Homes took home the third place prize. First round hole competition winners included: Ryan Braun, “Closest to the Hole” on holes three and nine; and Kyle Marlin, who won “Longest Drive” on hole eighteen.
Second round hole competition winners included: Galen Bradley, “Closest to the Hole” on hole three; Andrew Bull, “Closest to the Hole” on hole nine; and Rachel Holloway, “Longest Drive” winner on the eighteenth hole. A big thanks again to our title sponsor James Hardie Building Products and to all the tournament sponsors who are recognized on page fifteen. n
Good times on the course during the afternoon round. From left, Duane VanHook, Jimmy Franks, Charles Schneider, Mark McMillen, Nancy Holloway, Jesse Felker, Rachel Holloway, Matt Dryden, and Steve Shalibo.
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Accurate Mortgage
American Heating and Cooling
Bank OZK
Contract Lumber
Diamond Kote
DR Horton
Ferguson
Hermitage
Intex Contracting
Jeffco Flooring
Kenny & Company
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PDI Kitchen and Bath
Pyles Concrete
Real Wood Floors
Sherwin Williams
Tennessee 811
VaVia
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Thank you tournament sponsors! James Hardie Building Products title sponsors
DR Horton - Lunch Landmark Homes - Breakfast
Diamond Kote Building Products - Wrap-up
Platinum sponsors Boise Cascade Ferguson GAF Jeffco Flooring Sherwin-Williams VaVia Gold sponsors Accurate Mortgage American Heating & Cooling Atmos Energy Contract Lumber DPIS Builder Services Hermitage
Kenny & Company Lennar Metro Carpets Ragan-Smith Sims-Lohman SPEC Building Materials The Tile Shop TrusJoist by Weyerhaeuser; distributed by DixiePly Silver sponsors Bank OZK Bell Law Settlement Services Circa Lighting Cosentino Crosslin Building Supply Davidson Homes Farris Bobango Hale Insurance Henley Supply Intex Contracting Irving Materials
Mid TN Erosion MidSouth Mutual Insurance Milwaukee Tool Mortgage Mike Lending Team Nashville Erosion Control Ole South Properties Owens Corning PDI-Kitchen, Bath & Lighting Parksite Pulley & Associates Piedmont Natural Gas Pyles Concrete Real Wood Floors Tennessee 811 Tolbert Marketing & Events Hospitality sponsors Cambria Pulte Group Smash My Trash T-Square Engineering
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SHOWCASE HOUSE Fundraiser Program The HBAMT Showcase House program is an effort to generate funds to help fuel the association’s daily efforts to promote the home building industry and defend its builders against unjust legislative activity. We currently have TWO projects underway: - The Showcase House at Nature’s Landing - The Showcase House at Hardeman Springs See the brochures below for a complete list of materials and labor needed for each project. Contact information for donating to each of the programs is listed below the brochure links.
SEE INSIDE FOR A COMPLETE LIST OF MATERIALS AND LABOR NEEDED FOR THE PROJECT. Visit https://hbamt.org/natures-landing/ for updated lists on needed materials/labor.
SEE INSIDE FOR A COMPLETE LIST OF MATERIALS AND LABOR NEEDED FOR THE PROJECT. Visit
For specific details regarding materials please contact Jimmy Franks: 615-794-7415 or franco314@aol.com; or Blake Parks: 615-243-6373 or blake@tennesseevalleyhomes.com
For specific details regarding materials please contact Steve Shalibo: 615-772-1019 or shalibo42@gmail.com
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https://hbamt.org/hardeman-springs/ for updated lists on needed materials/labor.
SPIKE REPORT Randall Smith Jim McLean David Hughes
Twenty 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 July 31st, 2021. Top 20 Big Spikes Jim Ford 912 Mitzi Spann 789 Bill King 776 Terry Cobb 570 Jim Fischer 567 John Whitaker 565 Trey Lewis 521 James Carbine 413 Jennifer Earnest 379 Jimmy Franks 365 David Crane 340 Kevin Hale 302 Reese Smith III 261 Steve Moody 221 Davis Lamb 219 Sonny Shackelford 219 Jackson Downey 182
170 164 163
Life Spikes Nick Wisniewski 153 Tonya Esquibel 152 Steve Cates 146 Harry Johnson 146 C.W. Bartlett 138 Steve Shalibo 136 Jordan Clark 126 B.J. Hanson 122 Carmen Ryan 121 Brandon Rickman 120 Steve Hewlett 119 Michael Dillon 118 John Zelenak 118 Dave McGowan 115 Justin Hicks 113 Edsel Charles 111 Wiggs Thompson 106 Duane Vanhook 105 Joe Morgan 96 Jeff Zeitlin 87 Keith Porterfield 82 Erin Richardson 77 Jody Derrick 75 Sam Henley 75 Beth Sturm 74 Ron Schroeder 72 Lori Fisk-Conners 70 Andrew Neuman 63
Christina James 59 Brian Sebring 56 John Broderick 55 Rick Olszewski 53 John Ganschow 51 Phillip Smith 47 Joe Dalton 46 Ricky Scott 45 Rachel Holloway 44 Frank Jones 43 Ryan Meade 41 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 14 Eric DeBerry 12 John Nehrenz 12 MacKenzie Curtis 10 Will Montgomery 10 Chris Richey 10 Bob Bellenfant 8 Clint Mitchell 8 Lisa Underwood 8 Matt Dryden 7 McClain Franks 6
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SEPTEMBER CALENDAR Sunday
Monday
Tuesday
Wednesday
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Thursday
Friday
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Saturday
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Sales & Marketing Council Meeting
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Remodelers Council Meeting
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Sales & Marketing Council Meeting
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: THURSDAY, September 16th, 5:00 p.m. at the Ferguson Showroom, 3201 Powell Ave., in Nashville. Topic: “End of Summer Mix & Mingle!” Price: Builders Free with RSVP thanks to Ferguson! $20 per person w/RSVP; $25 w/o RSVP Council RSVP Line: 615/377-9651, ext. 263 INFILL BUILDERS COUNCIL The Infill Builders Council typically meets on the third Thursday of the month, 11:30 a.m. at the HBAMT offices Next meeting: to be announced. 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, September 2nd. Topic: “Titan up Your Team and Systems,” with Tammy Chambers, 615NashvilleRealestate.com at Keller Williams, and former Tennessee Titan Kevin Long, The Long Team Mortgage at CMG Financial. SMC Members FREE w/RSVP thanks to Stewart Title. 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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