flexiblefullpage - default
Currently Reading

NAHB Chairman’s Message: Members Urge Action on Housing Crisis

Advertisement
billboard - default
NAHB

NAHB Chairman’s Message: Members Urge Action on Housing Crisis

The National Association of Home Builders is relying on strength in its membership numbers to press the issue of housing affordability with the White House and Congress


By Jerry Konter, NAHB 2022 Chairman June 5, 2022
U.S. Capitol push for affordable housing
Proposed legislation, including the No Timber From Tyrants Act and the Ocean Shipping Reform Act can help address materials supply bottlenecks that are contributing to rising housing prices. | Photo: Thomas Lin / Pexels
This article first appeared in the May/June 2022 issue of Pro Builder.

A growing affordability crisis threatens to derail the housing industry and the country’s current economic expansion, and the National Association of Home Builders (NAHB) is taking action. More than 10,000 NAHB members from all 50 states, the District of Columbia, and Puerto Rico sent a letter to the White House calling on President Biden to act.

In the letter, sent in late April, members of the housing community hammered home the message that rising costs stemming from historically high prices for lumber and other building materials, supply chain bottlenecks, surging interest rates, excessive regulations, and a persistent lack of skilled workers have combined to decrease housing affordability. And a new NAHB Housing Trends Report shows expectations for housing affordability and availability continue to worsen.


RELATED


But there is power in numbers, and the strength of our federation lies in utilizing our powerful grassroots network to call for meaningful steps to allow builders to increase the supply of affordable single-family and multifamily for-sale and for-rent housing.

Addressing Lumber Tariffs

In the letter, builders called on the White House to immediately suspend tariffs on softwood lumber imports from Canada and to move quickly to enter into negotiations for a new, long-term lumber agreement. Tariffs on Canadian lumber shipments into the U.S., along with insufficient sawmill production and supply chain hurdles, have fueled lumber price volatility, adding nearly $19,000 to the price of a new home since last August. The jump also translates to $7,300 added to the market value of the average new multifamily home, equating to households paying almost $70 more per month to rent a new apartment. The letter also asks the White House to reform excessive federal regulations that are driving up housing costs. Regulations and government fees account for nearly 25% of the price of building a single-family home and more than 30% of the cost of a typical multifamily development.

While there has been some progress recently with lumber prices beginning to decline and the Commerce Department announcing a reduction in lumber tariffs, more must be done to improve housing affordability in this high-inflation environment, particularly as other building materials are up more than 20% year-over-year.

Easing Supply Chain Disruptions

To help ease the supply chain disruptions causing those prices to rise, NAHB is calling on Congress to act as well. Proposed legislation, including the No Timber From Tyrants Act from Rep. Bruce Westerman (R-Ark.) and the Ocean Shipping Reform Act, can help address materials supply bottlenecks. Westerman’s proposal would ban wood product imports from Russia and Belarus while ramping up responsible harvesting of American timber from federal lands, in turn creating jobs at home. The Shipping Reform Act would address long-standing, systemic supply chain and port disruptions that have slowed movement of key building materials, pushing construction costs higher and negatively affecting affordability.

In addition, Congress needs to promote and fund job training programs to prepare individuals for careers in home building and pursue immigration policies that can help to fill huge labor gaps while still protecting the nation’s borders.

We must prevent the housing sector from faltering, or the overall economy will surely follow. Learn more about what NAHB is doing to address the lumber and material supply chain crisis at nahb.org/supplychain.


W2W4

• NAHB’s Professional Women in Building Council is the voice of women in the building industry, supporting members through education, professional development, and networking opportunities. Learn more at NAHB’s PWB web page.

• Take advantage of NAHB BizTools to gain a competitive edge. Resources in NAHB’s BizTools library help you refine your business expertise, boost your bottom line, and build a stronger company.


 

Written By

Jerry Konter, a Georgia-based builder with more than 40 years’ experience in residential construction, is the National Association of Home Builders’ 2022 chairman of the board. Throughout his career, Konter has been active in NAHB’s leadership at the local, state, and national levels and has chaired several NAHB committees. 

Related Stories

NAHB

Seeking Bipartisan Solutions for the Housing Affordability Crisis

NAHB Policy Briefing | Housing is a bipartisan concern, with housing affordability a top-tier political issue; residential construction sees continuing labor shortage

Government + Policy

Midterm Election Results Will Affect the Housing Market in More Ways Than One

The polls are closed and the ballots are being counted. Here's how voters' decisions will impact the housing market over the next two years...

Affordability

What Issues Hold the Most Weight for the Upcoming Election? Redfin Survey Finds Out

Housing affordability is at the top of buyers’ minds as the election draws near

Advertisement
boombox1 -
Advertisement
native1 - default
halfpage2 -

More in Category




Advertisement
native2 - default
Advertisement
halfpage1 -

Create an account

By creating an account, you agree to Pro Builder's terms of service and privacy policy.


Daily Feed Newsletter

Get Pro Builder in your inbox

Each day, Pro Builder's editors assemble the latest breaking industry news, hottest trends, and most relevant research, delivered to your inbox.

Save the stories you care about

Lorem ipsum dolor sit amet lorem ipsum dolor sit amet lorem ipsum dolor sit amet.

The bookmark icon allows you to save any story to your account to read it later
Tap it once to save, and tap it again to unsave

It looks like you’re using an ad-blocker!

Pro Builder is an advertisting supported site and we noticed you have ad-blocking enabled in your browser. There are two ways you can keep reading:

Disable your ad-blocker
Disable now
Subscribe to Pro Builder
Subscribe
Already a member? Sign in
Become a Member

Subscribe to Pro Builder for unlimited access

Lorem ipsum dolor sit amet, consectetur adipisicing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua.