THE NAIL
The official magazine of Home Builders Association of Middle Tennessee
President Kelly Beasley
Vice President Eli Routh
Secretary/Treasurer Danny Clawson
Executive Vice President John Sheley
Editor and Designer Jim Argo
Staff
Connie Nicley Kim Grayson
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.
The annual event drew big crowds last month at the HBAMT where attendees enjoyed foor and beverages, visited exhibitor booths, and participated in cash and prize raffles.
the HBAMT Wednesday, June 4th at Piedmont Natural Gas for an Economic Forecast.
w/RSVP, Lunch served!
Volatile Spring selling season continues
The Census estimate of new home sales posted an unexpected gain in April even as builders and consumers continue to deal with economic uncertainty, elevated interest rates and rising building material costs.
Sales of newly built, single-family homes in April increased 10.9% to a 743,000 seasonally adjusted annual rate from a downwardly revised March number, according to newly released data from the U.S. Department of Housing and Urban Development and the U.S. Census Bureau. The pace of new home sales in April was up 3.3% compared to a year earlier.
“The April new home sales figure appears to be an anomaly, as builder sentiment moved markedly lower in May,” said Buddy Hughes, chairman of the National Association of Home Builders (NAHB) and a home builder and developer from Lexington, N.C. “A more reliable look would be the year-to-date figures, which show new home sales are down 1.2% on elevated interest rates, ongoing policy uncertainty and rising construction costs.”
“Rising inventory in the resale market is likely to place pressure on both pricing and sales activity for home builders during the second half of the year,” said NAHB Chief Economist Robert Dietz. “The April new home data reflects this as new home inventory
is leveling off near a half million of residences marketed for sale, up just 1.6% from January.”
To further illustrate the challenges builders are facing during the spring home buying season, Dietz added that as of May, 61% of home builders are using various kinds of sales incentives, including mortgage rate buydowns, to facilitate sales due to lackluster demand.
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 April reading of 743,000 units is the number of homes that would sell if this pace continued for the next 12 months. This estimate may be revised lower next month.
New single-family home inventory has leveled off in 2025, with 504,000 residences marketed for sale as of April. While this is 8.6% higher than a year ago, it is only 1.6% higher from January. At the current sales pace, the months’ supply for new home stands at 8.1 compared to 7.7 a year ago.
The median new home sale price in April was $407,200, compared to $415,300 a year ago.
Regionally, on a year-to-date basis, new home sales are down 32.5% in the Northeast, 14.8% in the Midwest and 2.4% in the West. Sales are up 5.7% in the South.. n
Builder confidence dips on soft Spring selling season
Builder confidence fell sharply in May on growing uncertainties stemming from elevated interest rates, tariff concerns, building material cost uncertainty and the cloudy economic outlook. However, 90% of the responses received in May were tabulated prior to the May 12 announcement that the United States and China agreed to slash tariffs for 90 days to allow trade talks to continue.
Builder confidence in the market for newly built single-family homes was 34 in May, down six points from April, according to the NAHB/Wells Fargo Housing Market Index (HMI) released recently. This ties the November 2023 reading, and is the lowest since the index hit 31 in December 2022.
“The spring home buying season has gotten off to a slow start as persistent elevated interest rates, policy uncertainty and building material cost factors hurt builder sentiment in May,” said NAHB Chairman Buddy Hughes. “However, the overwhelming majority of
survey responses came before the tariff reduction announcement with China. Builders expect future trade negotiations and progress on tax policy will help stabilize the economic outlook and strengthen housing demand.”
“Policy uncertainty stemming in large part from the stop-and-start tariff issues has hurt builder confidence but the initial trade arrangements with the United Kingdom and China are a welcome development,” said NAHB Chief Economist Robert Dietz. “Still, the overall actions on tariffs in recent weeks have had a negative impact on builders, as 78% reported difficulties pricing their homes recently due to uncertainty around material prices.”
The latest HMI survey revealed that 34% of builders cut home prices in May, up from 29% in April and the highest level since December 2023 (36%). The average price reduction was 5% in May, unchanged from the previous month. The use of sales incentives was 61% in May, the same rate as the previous month.
Single-family housing starts down on economic uncertainty
Economic uncertainty stemming from tariff issues, elevated mortgage rates and rising building material costs pushed single-family housing starts lower in April.
Overall housing starts increased 1.6% in April to a seasonally adjusted annual rate of 1.36 million units, according to a report from the U.S. Department of Housing and Urban Development and the U.S. Census Bureau.
The April reading of 1.36 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 2.1% to a 927,000 seasonally adjusted annual rate and are down 12% compared to April 2024. The multifamily sector, which includes apartment buildings and condos, increased 10.7% to an annualized 434,000 pace.
“The decline in single-family housing starts in April mirrors builder sentiment, as elevated interest rates, uncertainty on the
tariff front and rising construction costs are exacerbating housing affordability challenges,” said Buddy Hughes, NAHB chairman. “In turn, this is making it more difficult for builders to deliver entry-level housing at a price point that is accessible to home buyers.”
“Economic uncertainty, especially around interest rates and inflation, continues to impact both builder financing costs and buyers’ ability to qualify,” said Danushka Nanayakkara-Skillington, NAHB’s assistant
Derived from a monthly survey that NAHB has been conducting for more than 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.
All three of the major HMI indices posted losses in May. The HMI index gauging current sales conditions fell eight points in May to a level of 37, the component measuring sales expectations in the next six months edged one-point lower to 42 while the gauge charting traffic of prospective buyers dropped two points to 23.
Looking at the three-month moving averages for regional HMI scores, the Northeast fell three points to 44, the Midwest moved one point lower to 40, the South dropped two points to 37 and the West posted a two-point decline to 33 n
vice president for forecasting and analysis. “However, recent developments on the tariff front concerning the United Kingdom and China along with major tax legislation advancing in Congress should provide a boost to housing demand and positive momentum for the economy.”
On a regional and year-to-date basis, combined single-family and multifamily starts were 19.8% higher in the Northeast, 4.4% higher in the Midwest, 7.4% lower in the South and 3.4% higher in the West. Overall permits decreased 4.7% to a 1.41-million-unit annualized rate in April. Single-family permits decreased 5.1% to a 922,000-unit rate and are down 6.2% compared to April 2024. Multifamily permits decreased 3.7% to a 490,000 pace.
Looking at regional permit data on a year-to-date basis, permits were 20.3% lower in the Northeast, 5.1% higher in the Midwest, 3.8% lower in the South and 3.5% lower in the West.
In April, the number of single-family homes under construction is at 630,000 homes while the count of apartments under construction is at 788,000 units. n
Spring Fling & Builders Show 2025!
The HBAMT's Annual Spring Fling & Builders Show welcomed a big crowd of builders to the association's offices last month. Over 50 member vendors and sponsors filled the event tent and welcomed attendees to the big show and their exhibit booths.
A big thanks to the Ferguson team for providing delicious food at their grilling station during the show, and to James Hardie Building Products for sponsoring the Builder's Bar. And of course, a big thanks to all the Spring Fling & Builders Show exhibitors and sponsors for making the event such a huge success. n
David Hughes was the big cash prize winner during the event's annual raffle.
Parade of Homes
The 2025 Parade of Homes at Rosebrooke
ADVERTISE & EXHIBIT
THE PARADE PLAN BOOK
At every Parade event each attendee is handed a magazine as they walk through the front gate - the Parade Plan Book
The Plan Book is a tremendous opportunity to put your message into the hands of pre-qualified customers who refer to the book several months after the Parade of Homes is over!
Plan Book Advertising Rates
Half Page 7.5” x4.75” (Horizontal) $960
Full Page 7.5”x10” 8.75”x 11.25” (B1eed) $1,440
Email jargo@hbamt.org for ad specs and availability.
If your company depends on new homes or related products, furnishings or services, here’s one opportunity you can’t pass up -- the 2025 Parade of Homes at Rosebrooke! Secure your space in the Plan Book or reserve an Exhibit Booth today.
THE PARADE EXHIBIT BOOTH
Here’s your chance to demonstrate your product or service to the thousands of qualified prospects who pass through the Parade of Homes exhibit center when they enter and leave the show. As with Plan Book advertising, the exhibit center produces virtually all pre-qualified customers!
It’s like opening up shop and having thousands of prospects visit your show room the first two weeks you’re in business. What other medium could come close to producing those kinds of results? The Parade ranks first of all home shows in the nation and you can take advantage of the prestige this show enjoys.
Exhibit Booth Price? $750
Each booth in the Parade of Homes exhibit center measures 10’ x 6’ at the front entrance where patrons must enter and exit -- perfect for eye-popping kiosks and marketing publications!
2025 PARADE OF HOMES - PROMOTIONAL OPPORTUNITIES COMMITMENT FORM
Return completed form to: HBAMT, 9007 Overlook Blvd., Brentwood, TN 37027 | Email: jargo@hbamt org
PLAN BOOK AD - please check the size of ad you would like to secure in the 2025 Plan Book: r Half Page r Full Page r Page One r Inside Front r Inside Back r Back Cover
EXHIBIT BOOTH SPACE - please check here to secure your 2025 Exhibit Booth Space: r Your name: ____________________________________
SPIKE REPORT
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 April 30, 2025.
Mitzi
CHAPTERS & COUNCILS
CHAPTERS
CHEATHAM COUNTY CHAPTER
Chapter President - Roy Miles
Cheatham County Chapter details are being planned. Next meeting: to be announced.
RSVP to: cnicley@hbamt.org
DICKSON COUNTY CHAPTER
Chapter President - Mark Denney
Dickson County Chapter details are currently being planned. Next meeting: to be announced.
Price: FREE, lunch dutch treat.
RSVP to: cnicley@hbamt.org
MAURY COUNTY CHAPTER
Chapter President - Sam Gray
Maury County Chapter meetings are typically held on the first Tuesday of the month.
Next meeting: Tuesday, June 3rd, 11:30 a.m, at the Graymere County Club - 2100 Country Club Ln, Columbia, 38401
Topic: The State of Maury County 2025, with guest speaker Maury County Mayor Sheila Butt. The Mayor will speak about growth in Maury County in the building and development space, water opportunities, and zoning changes. A Q&A session with the Mayor will follow.
FREE w/RSVP thanks to United Communications
$20 w/o RSVP
PLEASE RSVP to cnicley@hbamt.org
METRO/NASHVILLE CHAPTER
Chapter President - Lisa Underwood Metro/Nashville Chapter details are typically held on the fourth Thursday of the month.
Next meeting: to be announced. RSVP to: cnicley@hbamt.org
ROBERTSON COUNTY CHAPTER
Robertson County Chapter details are currently being planned. Next meeting: to be announced. RSVP to: cnicley@hbamt.org
SUMNER COUNTY CHAPTER
Chapter President - Joe Dalton
The Sumner County Chapter typically meets on the third Tuesday of the month. Next meeting: to be announced. RSVP to: cnicley@hbamt.org
WILLIAMSON COUNTY CHAPTER
Chapter President - Rachel Holloway
Williamson County Chapter meetings are typically held on the third Tuesday of the month. Next meeting: to be announced. FREE w/RSVP pending sponsorship. RSVP to: cnicley@hbamt.org
WILSON COUNTY CHAPTER
Chapter President - Margaret Tolbert
Wilson County Chapter meetings are typically held on the second Thursday of the month.
Next meeting: Thursday, June 12th, 8:00 AM at the Habitat for Humanity ReStore in Lebanon. 200 Granville Dr., 37090
Topic: Start your morning with us on June 12 at 8:00 AM for a special HBAMT Wilson County Chapter Meeting filled with networking, community insight, and an exclusive look at one of Lebanon’s newest developments. We’ll kick off with breakfast at the Habitat for Humanity ReStore, generously sponsored by Lennar. Then we’ll walk across the street to tour One
Lebanon Place, Lennar’s new master-planned community. FREE with RSVP thanks to Lennar.
RSVP to: cnicley@hbamt.org
COUNCILS
HBAMT REMODELERS COUNCIL
The HBAMT Remodelers Council meets at varying locations throughout the year.
Next meeting: to be announced. RSVP to RMC meetings and events to: cnicley@hbamt.org
INFILL BUILDERS COUNCIL
Infill Builders Council meetings are typically held on the last Wednesday of the month.
Next meeting: to be announced. FREE w/RSVP pending sponsorship.
RSVP to: cnicley@hbamt.org
MIDDLE TENN SALES & MARKETING COUNCIL
Council President - Chuck Payne
The SMC typically meets on the first Thursday of the month. Next meeting: Thursday, June 5th, 9:00 a.m. at the HBAMT9007 Overlook Blvd., Brentwood, 37027
Topic: "Home Appraisals," with an expert panel who will lead a roundtable discussion on the topic.
SMC Member Free w/RSVP thanks to Mike Runion and Movment Mortage!
NON-SMC MEMBERS MUST RSVP and PAY: $15 with RSVP; $20 w/o RSVP
**HBAMT members must be a paid member of the Sales & Marketing Council in order to receive council rates** RSVP REQUIRED DUE TO LIMITED SEATING
RSVP to: cnicley@hbamt.org
