Page 8 - Builder Brief June 2023 Issue

2023 PRESIDENT
THE HOUSING AFFORDABLITY CRISIS
We are headed to Washington, DC next week to participate in one of the most important Legislative Conferences for the residential construction industry; hosted by our National Association of Home Builders (NAHB). The GSABA leadership team will meet with every member of our Congressional delegation to share the issues facing our industry and our members. At the top of the list is the growing housing affordability crisis.
There are 10 significant problems identified facing the housing industry:
• Building Material Prices
• Availability/Time to Obtain Building Materials
• Cost/Availability of Labor
• Rising Inflation Rates
• Cost/Availability of Lots
• Difficulty Obtaining Zoning/Permits
• Appraisal Issues
• Impact and Regulatory Fees
• Federal Environmental Regulations and Policies
• Local and State Environmental Regulations and Policies
The housing affordability crisis is real and there are several things our elected officials can do to ease or eliminate certain issues, requirements, and barriers. Home prices continue to rise. Mortgage interest rates continue to climb. The latest increase in rates is the largest magnitude increase for mortgage costs in decades.
With home building material costs up significantly since the Spring of 2020, the largest 24-month record increase on record, the costs continue to imperil the U.S. housing sector and have dramatically affected home prices and rental costs.
The other high-priority topics for our trip to D.C. are the shortage of distribution transformers. This is also aggravating the nation’s housing affordability crisis. We will share critical information on the new energy codes, I wrote about this serious issue in my May Builder Brief article. The new energy code requirements could increase the cost of a new home up to $10,000 with only modest savings for the buyer/homeowner.
GSABA members and key staff have been working diligently on the local level on workforce development programs to help the industry build the pipeline of new workers needed to meet the demand for new housing. This will be on the list of important issues to discuss.
We will share information on our student chapters at St. Philip’s College, the University of Texas at San Antonio, and Warren High School’s
SHAD SCHMID
Construction Careers Academy. We need to look at new federal funding sources to provide critical training and education.
We invite you to get involved in GSABA’s government affairs and lobby efforts. Join us at our Tuesday, June 20th Board of Directors lunch meeting at 11:30am and stay for our Government Affairs Meeting with the City of San Antonio’s Development Services Department (DSD). Please call the Association at 210-696-3800 to let us know if you can attend so we can have your lunch waiting for you. There is no charge to attend and GSABA’s Board meetings are open for all members to attend.
We have a call with Cibolo’s City Manager and the DSD team on Wednesday, June 14th. If you are actively building, developing, or working in Cibolo and would like to be part of this bi-monthly call and you haven’t attended before, call the Association and ask to be added to the Cibolo City Team Call.
There are many ways to get involved in your association, check the calendar, and join us for one of our upcoming events. Enjoy your summer!
Sincerely,
8 JUNE 2023 | GREATER SAN ANTONIO BUILDERS ASSOCIATION