According to local reports, most builders are choosing usable space over tall roofs, while others install laminate countertops and not the more expensive granite. Vinyl floors have also become much preferred over hardwood that could increase the price of a home considerably. Still others are building smaller houses to make sure that the price stays within the $271,000 mortgage limit imposed by the Federal Housing Authority.

For those who continue to build larger homes, they try to lower the price by offering sparse amenities to buyers and keep the selling price at $150,000 or less. Such techniques have been adopted by majority of home builders in the city and this, according to home building industry observers, have resulted in most firms having the ability to cope with the housing market downturn and the recession. Some have even recorded profits despite the economic downturn.

These efforts exerted by local home building companies are being rewarded by recent increases in new housing sales. According to the latest housing market figures, a total of 100 new houses were sold in March 2010 compared with the 31 dwellings sold in March 2009.

April 2010 saw the city selling 96 newly built dwellings compared with 61 in April a year ago. June 2010 totals were at 134, with June 2009 total at 44, while July 2010 saw 126 residences being sold compared with the 77 total posted in July 2009. So far, building permits for 2010 total 437, a figure that is considerably higher than the whole 12-month total of 385 recorded in 2009.

According to some home builders, this improved condition in the house building industry shows that most buyers are realizing that the prices of dwellings will not get any better and it would be better to make a purchase now instead of later. They also stated that the coping strategies used by most home building companies in Memphis have worked to keep most of the firms in business despite the recession.

Memphis Home Building Companies Adapt to Market Condition is a post from: HomeBuildingNet.com - The home building net!

According to industry observers, the poor economic condition of the country and the onslaught of cheap foreclosed dwellings that have discouraged people from purchasing new houses both played major roles in the industry's declining confidence. The score of 13 is way below the confidence threshold of 50. April 2006 was the last time builders' confidence index reached over 50.

The continuous decline of industry confidence was primarily blamed by analysts on fewer homebuyers investing in new residences. This is despite the fact that mortgage rates are at record lows and prices of residential properties have stabilized in most markets, allowing people with good credit history to qualify for loans. Analysts explained that the reluctance of homebuyers to make purchases is primarily due to high unemployment rates and stricter credit rules. In addition, home prices are expected to decline again in the coming months.

Most home building construction industry members believe that the confidence index will remain way below 50 unless the condition of the job market gets better. Majority of consumers are wary of making any residential purchase with the housing sector exhibiting a weak recovery and the job market remaining in poor condition. This sentiment is highly evident in the home building activity for June which recorded its lowest level since the start of the fourth quarter of 2009.

For the small number of people who are buying homes, most of them opt for cheap foreclosed dwellings, making hardly any contribution to the house building sector. A survey of homebuilders showed how much foreclosures have hurt the residential construction industry, with 90% of respondents blaming foreclosures for the industry's woes.

The confidence of the home building construction business is expected to continue to decline for the rest of the year, with analysts predicting that the only way the confidence index will improve is for the job market to show some positive movements.

Confidence of Home Building Construction Industry Dropped in August is a post from: HomeBuildingNet.com - The home building net!

DeGennaro was a businessman who operates in Tewksbury and Wilmington in Massachusetts. He was convicted for allegedly cheating customers for money totaling over $100,000. His co-defendant and bookkeeper, Charlene Conners, was also found guilty of fraud on five counts, although she was acquitted on 11 other charges.

Sources from the office of the Middlesex District Attorney have revealed that the crimes were committed between November 2001 and August 2002. DeGennaro reportedly accepted over $100,000 of escrow funds meant for the construction of two houses, but the money was allegedly used for something else. When the customers asked the contractor to return the money, he was unable to do so since the funds were allegedly already spent on something else.

In one of the cases, DeGennaro was revealed to have accepted an initial deposit worth $5,000 for the construction of a house in Wilmington. Once the contract had been signed, he supposedly accepted an additional $43,500. The money was supposed to have been put on escrow like most home building contractors usually do, but DeGennaro deposited it instead on a checking account. Conners, DeGennaro's co-defendant, was reportedly present during the meeting with the customer.

The second case was almost the same as the first one. DeGennaro accepted a deposit for the construction of a house. The $5,000 deposit was reportedly followed by a check worth $41,000 after the building contract has been signed. Additional $7,000 was allegedly received by DeGennaro for extra expenses in the building of the house. The total amount was then deposited in a private account instead of being escrowed as promised by DeGennaro to his customer.

According to court documents, both homes were never built by DeGennaro. The two customers even signed extensions to have their homes built, but it turned out that the contractor had not even secured the property rights from the city. Authorities have stated that the case of DeGennaro should serve as a lesson to other home building contractors who are planning to commit questionable actions towards their customers.

Home Building Contractors Warned by Authorities is a post from: HomeBuildingNet.com - The home building net!

According to local housing officials, building a house according to the city’s code is important and the permit issued for the construction is necessary for the project to get started. Before the actual construction, homeowners are required to file a building permit application. In the application, owners are asked certain information such as the location of the house, legal and physical description and property lines among others.

The application is then forwarded to the public works department where it will be approved. The building inspector will then make a permit that will require additional information to make sure that the house or structure is built according to the requirements specified under the building code.

In Sidney, there are areas that have specific house building requirements, like what type of residence is allowed and what types are not. Certain areas might allow only single family houses to be built in the neighborhood, while others might allow multifamily dwellings. The city is currently using the 2006 International Building Code, although it has started the process of implementing the 2009 version.

According to county officials, the guidelines are not strictly required, but they do recommend them since acquiring a building permit will help homeowners get financing. They added that there are certain banks that do not grant loans to homeowners unless their homes comply with building code requirements.

Once the construction is completed, a final inspection to check whether the home fulfilled the requirements under the code is conducted. Local housing officials have encouraged homeowners to get help from a building inspector to make sure that they are following the house building code to avoid errors that could result in additional costs and troubles.

Sidney Code for House Building Provides Financing Advantages is a post from: HomeBuildingNet.com - The home building net!

The NAHB index for home builders’ confidence dropped to 17 in November from the unrevised index of 18 in October. Before the housing crisis, the NAHB index had never fallen below 20 in the 24-year history of the index, but over the past 19 months, the index remained below 20 points.

The index also has been below 50 points – the break-even level – for 43 consecutive months already. The index improved in September to 19 points, as indications of improvements in the market appeared, such as increases in home sales and prices. But the index later fell as home builders became discouraged by the approaching expiration of the federal tax credit scheme.

Goldman Sachs economist Ed McKelvey said that the October index was disappointing because it reinforced the view that recent increases in home sales were temporary and that the transitory factor of federal tax credit was largely driving home sales increases.

The one positive thing about the study was that it was held before Congress approved the proposed extension of the federal tax credit.

A study conducted by TD Bank Financial Group also showed a sharp slowdown in home building activity in October. TD Bank reported that new residential construction decreased by nearly 11 percent from 592,000 units in September to 529,000 units in October. The October count was far below the industry forecast of 600,000 units and was the second monthly decrease over the past 6 months. It also marked the lowest level of new home construction since April.

New single-family house construction dropped by 6.8 percent to 476,000 units and new multi-family construction fell by 15.2 percent to 89,000 units.

Housing starts in October fell by nearly 32 percent from October last year and dropped to almost 77 percent below their peak level of 2.27 million housing units in January 2006. Building permits also declined by 4 percent on a month-over-month basis to 552,000 units, driven by a drop in building permits for single-family units. It was in the multi-family subsector where building permits rose by six percent to 123,000 units.

The two reports are disappointing to housing analysts and housing market participants, but the expansion and extension of the federal tax credit are expected to spur increased activity in the home building sector.

Home Building Activity Remains Slow Nationwide is a post from: HomeBuildingNet.com - The home building net!

These niche builders have been constructing homes for retirees in active adult communities that have amenities for homeowners aged 55 and above.

Steve Romeyn, head of homebuilding firm Windsong Properties, said most retirees who are buying homes in the area are moving back from other states to be nearer their families or older couples who are downsizing because they no longer like to maintain big houses.

Romeyn added that his clients are not financially troubled and that they have sold their homes at good prices. Additionally, he said that there are no short sales and foreclosure sales in the neighborhoods where he builds homes, so housing units continue to increase in price, unlike in other places in Georgia.

The Windsong builder also related that every home he builds has three bedrooms, two bathrooms, an outdoor courtyard and a bonus room in the attic. Some have sunrooms and screened porches and all units are made of high-quality building materials. Each home also has the Earthcraft energy-saving certification.

Building a home has also been good for John Wieland, whose current project is the 126-home adult community Cadence at Woodmont. The homes feature main-floor living and private courtyards. Home prices range from $300,000 to $500,000.

Another niche builder is Active Lifestyle Communities, which is continuing the development of the 728-home active adult community at Laurel Canyon. Evan Cramer, head of Active Lifestyle, said that one-story homes in the community are priced from $236,650 through $450,000, with many units featuring basements.

The Laurel Canyon community features a large clubhouse that includes a teaching kitchen, pottery kilns, a lakeside amphitheater, indoor and outdoor pools, tennis courts and membership to the nearby golf course.

Another home builder in Cherokee is Dan O’Dwyer, who is currently selling the Earthcraft-certified homes he has built at Heritage Springs. Home prices start at $219,900, with some houses attached and others detached. O’Dwyer built the homes in a way that their exteriors are maintenance-free.

An exclusive development called Hawk’s Ridge is also targeted at people who do not want the responsibilities of property maintenance. Homes in this project would be smaller than similar developments and would be priced below $1 million. Indeed, building a home with amenities for the financially stable retiree is profitable.

Building a Home in Georgia – Profitable for Niche Builders is a post from: HomeBuildingNet.com - The home building net!

Lucky for you, there are a lot of home builders who specialize in this particular home construction. You will only have to decide which construction and design you will go with. The choice usually ranges from using recycled materials to installing energy-efficient features to indoor quality of air to land-use.

With so many ways that a homeowner can participate in the green home movement, building a home can be so much simpler. Consider the following tips:

Installing solar panels, maximizing daylight, collecting rainwater – by utilizing natural energy and resources, you will be able to cut energy and water consumption considerably.

Use of sustainable products such as cork, bamboo and wheatboard cabinets – sustainable products usually make use of renewable materials and will have almost no impact on the environment.

Choose locally-manufactured materials and products – aside from not wasting energy since you have to transport these items; you also help the local economy.

Remodeling and upgrading to energy-efficient features – this could include the installation of maximum insulation, windows that are efficient in controlling penetration of sunlight, choosing water-fixtures with low flow, installation of tankless water heater, upgrading to a more efficient HVAC system and going for energy-efficient appliances.

Of course, the only way you can attain your “green” objectives is by working with a home builder who is familiar with sustainable design as well as green building. Your contractor should also be able to give you expert advice regarding energy efficiency.

Do not be surprised if such construction will cost you more than building a home without these green features. Just remember that you will actually be saving money in the long run and only have to shell out money at the beginning. For this reason, you might want to shop and compare home building cost and conduct some research about green homes. This way, you become familiar with the ins and outs and are able to make informed decisions.

Building a Home the Green Way is a post from: HomeBuildingNet.com - The home building net!

One of the reasons for the decline is the nearing expiration date of the tax credit program. For the NAHB, the upward trend being enjoyed since the beginning of the year is slowly stalling. And to make things worse for home builders, they are still facing the challenge of obtaining financing as well as reasonable appraisals.

Chief Economist of NAHB, David Crowe, also pointed out that it is the first time that the HMI, all its three index components, declined since November 2008. It is therefore obvious that the home construction industry is reliant on the tax credit incentive to boost new home sales.

In fact, considering that the expiration is almost a month away, builders are finding it nearly impossible to complete a sale wherein the buyer can still take advantage of the incentive. If Congress does not decide to extend the program, not only will the housing industry suffer from a decline in home sales, but there will also be an increase in unemployment rate.

On the other hand, an extension of the program would definitely have an affirmative impact on the housing industry, in terms of new home sales. This would surely stimulate the housing demand and significantly improve economic conditions.

The said HMI survey is conducted monthly and gauges home builder’s awareness of sales expectations and actual sales of new single-family units for a six-month period. Builders rate their perceptions as poor, fair or good.

In addition, the said survey asks the home building industry to rate the traffic of potential buyers as low, average, high or very high. The scores obtained for every component will be used to compute the index, which is seasonally-adjusted. A score of 50 will reveal that home builders consider current sales conditions to be good.

For October, the component that gauges present sales condition dropped by one point to 17 while the sales expectation declined by two points. The last component, buyer traffic, slipped to 14, a difference of three points from last month.

As for the home construction industry confidence per region — the Northeast showed an HMI improvement of one point; the South and Midwest regions revealed a one-point drop as well; and the West region recorded a drop of four points.

Home Construction Industry Confidence Declines This October is a post from: HomeBuildingNet.com - The home building net!

Jackson-based company, Residential Advantage, is just one of the new breed of home builders which specializes in such field. For the company, building greener homes is considered to be a part of their responsibility to society.

Based on the records of the National Association of Home Builders, there are already twelve certified home builders working in the metro Jackson area. It is thus not surprising that awareness for the environment has grown considerably is the said area.

Of course, there are still some challenges that the local house building industry still faces. One issue is the reluctance of home buyers and even some of the homebuilders to pay extra for the green features. This is despite the fact that the long-term savings that will be enjoyed by the homeowner will outweigh such costs.

For example, if you buy a 1,500 sq ft home equipped with energy-saving features, you will only have to spend around $26 compared to $112.

One way to go around this cost issue is for the builders to look for and use environmentally-friendly materials that are affordable such as fiberglass insulation. Other green features that can be installed are faucets which feature automated water flow and reflective windows and roofs to keep regulate the entrance of light.

Aside from the homes, commercial buildings can also be fitted with these green features such as reflective roof, automatic light control and a new filtration system that can handle and manage stormwater runoff better.

The green home builders also avoid using carpets, toxic pest control products and containers made from Styrofoam. They also prefer using recyclable materials. All these will not only mean a cleaner environment but also a less expensive building cost.

It is indeed nice to hear about members of the house building industry making an effort to be environmentally-friendly. Consumers, on the other hand, should seriously consider buying these green homes if they too would like to join the fight against climate change.

Mississippi’s House Building Industry Goes Green is a post from: HomeBuildingNet.com - The home building net!

Many housing analysts are not sure if the extension is the answer to the housing problem. For one, the millions of foreclosed properties in the market have already dragged home prices down to record levels. And the bottom is nowhere in sight if you consider the Mortgage Bankers Association’s forecast that the foreclosure rate can be expected to climb until late 2010.

On the other hand, the federal tax credit program was actually part of the stimulus packaged which was approved at the beginning of the present year. Most of the $787 billion budget was geared to prop up the messed up housing and mortgage industries. Only those who will be buying a home for the first time and with an income of $75,000 (individual) and $150,000 (couples) are eligible.

If the extension is not approved, some economists believe that home sales will drop since the industry is still a long way from being self-sustaining. In addition, it might increase the risk for double-dip economic recession.

As the December 1 expiration nears, the building home industry has been quite vocal with its desire for the Congress to not only extend the tax credit incentive but to also expand it. Obviously, these home builders consider the program to be good for business.

Other economists consider the extension and expansion not a really good idea for the economy. They argue that, in the first place, these homebuyers will still purchase a property with or without the tax credit. Some even consider the approval similar to the program, Cash for Clunkers, which was launched to provide assistance to the car industry.

Whether or not the extension will be good for the building home industry and the national economy will be up to Congress. Basically, they have to consider the limitations of the government when it comes to using taxpayer’s money to revive an industry that has been hit hard by the mortgage mess.

Congress Debates Extension to Benefit Building Home Industry is a post from: HomeBuildingNet.com - The home building net!