Page 10 - Builder Brief February 2022 Issue

EXECUTIVE VICE PRESIDENT
WE NEED YOU — OUR STRENGTH IS IN NUMBERS!
The Greater San Antonio Builders Association (GSABA) recently hosted our annual Housing Forecast with Dr. Rob Dietz with the National Association of Home Builders (NAHB) and Bryan Glasshagel with Zonda. Nearly 600 members joined us eager to hear what to expect for the housing market in 2023. According to Dr. Dietz, the housing market has been in a recession for many months. As interest rates rise, more and more Americans are priced out of the market. Adding to the problem is the continued rise of construction costs — making each and every home built more and more costly. The proof is in the numbers — there are very few new home communities in our 22 county jurisdiction offering homes below the $200,000 price point.
People Need Housing Affordability
The American dream is alive and well among consumers. Even those who choose to rent understand the value of safe, affordable housing — and that it’s a struggle for many working Americans today to find. This impacts their financial stability, and it could hurt the economy, too. Too many of our neighbors in San Antonio live at or below the poverty level. Housing is affordable if it takes less than 30 percent of our gross income but over one-third of Americans are housing cost burdened and pay much more than 30 percent of their income for housing.
The greater San Antonio area needs over 60,000 new homes to meet the needs of our community. There is an overwhelming need for affordable housing for first-time homebuyers, seniors and families.
What Builders Need to Provide More Affordable Housing
Consumers understand the basic economic causes and effects of supply and demand; without more supply to meet growing demand, housing prices will continue to rise. Builders can educate our elected officials and the public on key challenges that hamper the ability to increase the much-needed housing supply and improve the housing affordability crisis.
Our statewide Texas Association of Builders (TAB) Rally Day is coming up on Wednesday, March 29th in Austin. We will meet with 28 local builders’ association members from across the state of Texas to bring our message to our elected officials. There is strength in numbers, and I want to urge you to get on the bus and invest one day supporting the residential and remodeling industry. GSABA will divide our members into teams with team leaders and we will provide talking points. It is our responsibility to advocate for our industry!
Changes Need to Happen at the Local and State Level
There’s a time and a place for state and federal involvement, and it’s good to draw the distinction between their involvement and involvement on the local level. Local planners — the ones closest to the issues — usually do a better job than state committees in determining how and where homes and buildings get built in local neighborhoods. This is the case in our
KRISTI SUTTERFIELD
community. We are all blessed to be able to work with San Antonio’s City Leaders and Development Services staff on reasonable housing policies.
Mayor Nirenberg and the City Council worked hard to get the bond package passed in 2022 that includes funds to build new affordable housing and refurbish older housing too.
The federal government can help by providing subsidies and tax incentives — such as home mortgage deductions, rental tax incentives and low-income tax credits — to ease the financial burden on renters and home buyers and encourage first-time homeownership.
Streamlining the permitting process and regulatory compliance process could save thousands of dollars. Building codes MUST be reasonable. We recently provided testimony to the San Antonio City Council on the drastic increase in costs to increase the R factor in attics and ceilings that would have little to no benefit. We were successful in defeating this proposed change to the energy code.
Looking to the Future
People want to live close to where they work, in walkable, livable neighborhoods with access totransportation. Mixeduseddevelopmentwith mixed incomes and infill developments should be encouraged.
The housing affordability crisis continues to put housing further out of reach for millions of American households. Although there is no singular solution to this crisis, the more that the home building community can engage policymakers and the public in this discussion, the quicker the situation can begin to improve.
Thank you for your membership. Please call me at any time if we can assist you in any way!
10 FEBRUARY 2023 | GREATER SAN ANTONIO BUILDERS ASSOCIATION