We are certainly in a different market now. It seems none of the experts can quite predict what the next 6-12 months will look like, especially for housing.
While rising interest rates and high inflation have certainly created some areas of slowdown, the underlying conditions are so different from the Great Recession. We have a much tighter supply of homes than we did fifteen years ago, and lending changes made to reign in loose mortgage practices and prevent borrowers from getting in over their heads are also far different from back then.
These factors appear to be contributing to some easing off of the accelerator and lessening of price appreciation, but not a freefall. Recent news (as of May 10, when I am writing this article) also shows that inflation dropped for the tenth straight month and is at its lowest level in over two years. With the Fed signaling it may be at or near the end of rate hikes, mortgage demand increased 10% for refinances and 5% for purchases over the previous week.
Based on conversations I have had with many builders of varying sizes, building locations, and price points in our market, it appears as though most have experienced overall positive trends since the first of the year. Custom building
and remodeling in particular seem to be weathering the challenges pretty well, and even our large-scale production builders have had decent sales overall for the last 4-5 months.
The current federal debt ceiling stand-off certainly looms large, as do concerns about a further market correction. But the former is likely to be worked out, and the latter is a guessing game, somewhat like weather forecasting this spring.
HBA would like to increase its value in providing data and trends that will help all in our industry plan for the both the near and long term future. Included on page 23 in this edition of Building Home Magazine is information provided by our affiliated National Association on framing lumber pricing and the positive downward trend that has shown over the last twelve months, as well as info on the construction labor market and where that is currently trending.
I would love feedback on other areas related to new and remodeled construction that HBA could provide value by researching or providing data to help you in your jobs and businesses. Please email me at daven@hbapdx.org with any suggestions or resources.
Celebrate the kick-off of the 2023 NW Natural Street of Dreams® at Denali Summit in Sherwood! Enjoy live music by Portland's premier classic rock and soul bandThe Denominators Band! Local cuisine and Northwest wines, beer and spirits will be served. This is the signature event for Home Building Association of Greater Portland members and the entire building industry. Mingle among the builders, designers, subs and sponsors in this exclusive tour of incredible homes!
DEDICATED BUILDER TEAM WITH OVER 50 BRANDS TO CHOOSE FROM. SPECIAL BUILDER PRICING FROM ENTRY LEVEL TO LUXURY PREMIUM PRODUCTS. DEDICATED IN-HOUSE SALES, PARTS & SERVICE, INSTALLATION, AND DELIVERY. NO PROJECT TOO SMALL OR TOO LARGE. WE CAN SERVICE A SINGLE-FAMILY HOME UP TO LARGE MULTI-FAMILY PROJECTS.
Relatively speaking, you’d think there wouldn’t be much that makes Sherwood, Oregon stand out. Geographically, it mirrors dozens of other cities in our area—30 minutes to downtown, an hour and a half to the coast, and a few hours to Central Oregon. At just under 4 square miles, it clocks in as the state’s 52nd largest city by land mass. And at 20,000 residents, it resembles the population and make-up of many other towns that dot Portland’s suburban landscape, including Wilsonville, Troutdale, Forest Grove, Happy Valley, and Milwaukie.
At first glance, you may not suspect that much of Oregon’s economic growth will depend on or be benefitted from the transformational and well-planned growth projected in Sherwood.
However, what makes Sherwood exceptional isn’t necessarily its past, but its future. Capitalizing on smart planning, public investments in schools and public safety, sizable economic development ambitions, and a highlyskilled workforce with a median household income that tops $105,000—the city has perhaps the brightest future of any in the region. It is why new businesses are looking to Sherwood for growth, and why many builders are eyeing new expansion plans as the next opportunity for large-scale residential development.
Perhaps Sherwood’s most valuable asset is its proximity to hub sites for some of the world’s largest and most profitable companies. In any direction, Sherwood is fewer than 15 miles from nearly a dozen globally recognized companies in
the tech, manufacturing, and apparel sectors. These include Nike, Intel, Tektronix, FLIR, Columbia Sportswear, Precision Castparts, LAM Research, and OHSU. Although benefitted from its closeness to major employers, it may explain why the city never needed to stimulate its own economic ambitions. But like other local governments, tax receipts are not as plentiful or reliable as in years past.
While many reading this magazine may have greater interests in the residential sector of the economy, there is no denying that newly minted state and federal incentives designed to support advanced manufacturing and semiconductor development will eventually trickle their way to new housing demands for a growing workforce. Legislators on both sides of the aisle and at every level of government have, in a rare moment of bipartisanship, recognized the need to invest in our ability to compete in a growing global economy. Two pieces of legislation, in particular, are likely to increase the number of new jobs and economic output in and around Sherwood:
1. Oregon’s Senate Bill 4 (2023) . Invests $200 million in state funding and authorizes greater flexibility for the governor to expand the urban growth boundary to accommodate advanced manufacturing and semiconductor development.
2. CHIPS and Science Act (2022). Directs the federal government to spend up to $280 billion in new funding and incentives to revitalize the U.S. technology industries, including $52 billion in new grants for research and development, workforce training, and sector capacity for semiconductor fabrication.
Spotlight on Sherwood’s vision for growth, future plans, and how they are attracting builders to their potential new land
Eric Rutledge, Sherwood Community Development Director, and Bruce Coleman, Sherwood Economic Development Manager, shared with us that “Sherwood has seen limited interest from developers and the public for middle housing. New developments in the Brookman Addition feature low-density single-family homes despite allowances for duplexes, triplexes, and other housing types. The continued growth of single-family homes in Sherwood speaks to the continued demand for low-density development relative to the development encouraged under HB 2001.” While middle housing products are relatively new to the market, additions of this housing type in populated areas are becoming more common and there is the potential to see middle housing communities growing in the area.
Given its unique position to benefit from these new opportunities, Sherwood’s Mayor and city councilors share a vision of turning their community into a center for hightech innovation in its own right. Speaking of that vision, Eric Rutledge, Sherwood Community Development Director, and Bruce Coleman, Sherwood Economic Development Manager, said that growth in technology industries in Oregon will continue to make Sherwood a more highly valued place not only for living but also for startups and other tech companies to base their operations.
“Sherwood has been working to encourage the growth in semiconductors and other high technology companies including research and development, cleantech, [and] advanced manufacturing… With its location at a midway point between growing technology clusters in Hillsboro, Beaverton, Lake Oswego, and Wilsonville, the City has become recognized as a go-to location for such companies.”
Several companies, including Lam Research, NSI Manufacturing, and DWFritz Automation have all chosen to base operations in Sherwood’s newly developed TualatinSherwood Corporate Park. Schnitzer Properties is currently developing another 30 acres nearby at the Sherwood Commerce Center which will provide space for another 30 new and expanding companies to locate in Sherwood.
Regarding this, Rutledge and Coleman say that “the city
is focused on becoming a balanced community” by bringing jobs closer to where people live, offering a greater level of work-life balance, and sustainability that companies find attractive. Collectively, an increased employment base will provide Sherwood with more reliable and diversified sources of income. They say that developing lands for more jobs and employment also “reduces future tax burden on residential property owners while providing high-quality schools, police, library, and other public services.”
To accommodate such prolific growth, Sherwood has undergone a near-decade-long planning project to expand its Urban Growth Boundary to the city’s west. The project and related tracts of land are collectively called Sherwood West, roughly 1,300 acres of undeveloped land that has the
potential to accommodate 4,000 new homes, hundreds of new businesses, nearly a half dozen community parks, and a variety of hospitality and winery-related venue opportunities. Over the next 10 years, the City hopes to continue building high-quality neighborhoods with ample trails, including direct trail access to the Tualatin River National Wildlife Refuge, and open space for public enjoyment.
The planning commission and city council are expected to take up the issue this summer, followed by city officials going through a 6-month UGB expansion process beginning in December 2023. Formal approval of the plan could be decided as early as July 2024. If approved, the city can start the process of annexing lands and preparing to install the infrastructure needed to make these plans a reality.
However, there are two ways this long-awaited planning effort and the potential for economic growth could fail. One major hurdle could come from inaccurate calculations used to determine whether the region needs new housing lands weighed against growth projections. Metro could, through its own modeling forecasts, show that no new land expansions are necessary to accommodate new housing or employment growth. Another could be that the Metro Council does not feel that the plan is sufficient or that the city is prepared to execute its intended goals. In either case, Metro and the state’s Land Conservation and Development Commission will have the ultimate say in determining Sherwood’s land use planning ambitions.
Overcoming these potential obstacles will require vigorous advocacy from the home-building and business communities. Builders, businesses, and community groups will need to work together to ensure that involved decision-makers can clearly see the benefits that will emerge from the city’s well-planned vision for growth.
Spotting these burgeoning growth opportunities, several builders in our region have already decided to begin new communities in and around Sherwood, with even more eyeing locations within and around the proposed expansion areas.
One such builder, Ichijo USA, is excited to work in Sherwood as part of a larger expansion in the Portland area. The schools, amenities, and proximity to Portland were all considerations. The new high school, the lower permit fees, the natural environment, and the nearby wineries were the advantages of building in the Sherwood market. Throw in the bustling old town area and you have an attractive market.
In the short term, Ichijo will be constructing twenty-nine homes in Sherwood with the potential to purchase more lots in the future. Masaki Narita, Vice President of Ichijo USA, shared that they are planning to build single-family detached homes that are net-zero energy-ready using all-electric heat pumps. The unique in-house contemporary designs and innovative proprietary products such as their cabinetry and interior doors set Ichijo apart. “There is a great need for housing in the area and Ichijo believes that our uniqueness is welcome in the market,” said Narita.
Narita expressed concern that there are not enough incentives available for builders to construct greener homes, which is what Ichijo is largely known for. “Ichijo puts extra money and time into our homes without significant credits. Another thing that jurisdictions can do is make it easier to build. The time it takes to get permits and land entitlement approvals adds time which increases the price of the home.” Permit wait times, land entitlement approval delays, and constantly-changing codes all affect construction costs and overall affordability. These are issues that many of our builder members are facing and are at the forefront of HBA’s advocacy efforts.
Rutledge and Coleman expressed that housing demand will continue to be strong in Sherwood over the next few years. New housing is expected in the Brookman Addition, a 250acre planning area east of Hwy 99 and north of Brookman Rd, within the existing Urban Growth Boundary. The 1,000+ new households accommodated in the Brookman Addition will be centered around Cedar Creek and its tributaries, offering a well-connected system of parks, trails, and open space. A majority of the residential land will be zoned Medium Density Residential Low with a permitted density of 5– 8 units/acre.
The ambitious plans for Sherwood’s growth are only beginning and the importance of new housing is vital to relieve pressure on regional housing costs. The city’s proposed plan to add up to 4,000 new housing units is deeply needed to address the housing shortage crisis. “New housing will be required in the years to come to continue lowering costs and providing ownership opportunities to a wider range of families.”
“Quick turnaround with permit approvals helps support us in our building.”
- Masaki Narita, Ichijo
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Tour luxury homes in Sherwood’s Denali Summit , plus explore even more dream homes on tour throughout the region.
HBA members receive two free tickets to the NW Natural Street of Dreams! Complimentary tickets will be emailed to members in early July.
For more details about the show or to purchase additional tickets, scan the QR code or visit www.StreetofDreamsPDX.com.
JULY 29 - AUG 20, 2023
Denali Summit
UPCOMING HBA ORGANZIATION MEETINGS
Visit hbapdx.org/events for the most up-to-date information and event registration details. If you would like to attend a meeting, check in advance to ensure there have been no schedule changes.
June 8
HBF Executive, 8:30 am, HBA Offices + Zoom
Government Affairs, 10:00 am, Zoom
June 13
SOD Builder/Sponsor Meeting, 3:00 pm, HBA –First Floor
June 14
HPC Executive, 9:30 am, HBA Offices + Zoom
June 21
PWB Executive, 10:00 am, HBA Offices + Zoom
Membership & Retention Committee, 12:00 pm, HBA Offices + Zoom
June 29
HBA Board of Directors, 11:30 am, HBA Offices
July 3-4
HBA Offices Closed –Independence Day
July 5
PBUD Council Meeting, 9:00 am, Zoom
July 11
SOD Builder/Sponsor Meeting, 3:00 pm, Off Site
July 12
HPC Executive, 9:30 am, HBA Offices + Zoom
July 13
HBF Executive, 8:30 am, HBA Offices + Zoom
Government Affairs, 10:00 am, Zoom
July 19
PWB Executive, 10:00 am, HBA Offices + Zoom
Membership & Retention Committee, 12:00 pm, HBA Offices + Zoom
Trap Shoot Committee, 1:00 pm, HBA Offices
July 27
Finance Committee, 10:45 am, HBA Offices + Zoom
HBA Executive, 11:30 am, HBA Offices + Zoom
HBF – Home Building Foundation
H&G – Home & Garden Show
HPC – Home Performance Council
PBUD – Portland Building & Urban Development Council
RCB – Remodeling and Custom Building Council
PWB – Professional Women in Building Council
SOD – NW Natural Street of Dreams®
HBA CEO Dave Nielsen
Associate Publisher Mark Garber, Pamplin Media Group
Editor Samantha Thomas
Advertising Representative Chris Sweet
Graphic Design & Production Matias Ricco Published by
Saturday, June 3
5:30 – 10:00 pm
Tumwater Vineyard 375 SW Barrel House Way | West Linn
Want to help Home Builders Foundation throw the biggest philanthropic event of the year for the home building industry? Sponsors help Home Builders Foundation underwrite the cost of the event, and receive incredible marketing opportunities with over 300 of the industry’s influencers who attend the event each year. Contact Kyle Ellerbe at kylee@hbapdx.org to get on the waiting list for next year’s event.
All Member Happy Hour
Presented by Macadam Floor and Design and Programmed by the RCB Council
Thursday, June 8 5:30 – 7:00 pm
Macadam Floor and Design 5740 Jean Rd Suit 200 | Lake Oswego
Cost: Early Registration: $20 Members/$25 Non-Members | After June 2: $25
Join HBA for an All-Member Happy Hour at Macadam Floor and Design in Lake Oswego, with programming from the Remodeling and Custom Building Council that is relevant to all HBA members. All members are invited to attend. Register today!
presented by Ferguson and KitchenAid
Wednesday, June 14 1:45 Shotgun Start Langdon Farms Golf Club 24377 Airport Rd NE | Aurora
Thank you to our sponsors and HBA members for another SOLD OUT event! We expect another great day at Langdon Farms Golf Club and look forward to spending the day with you. Your participation in the HBA Golf Classic provides critical support to HBA’s political action committee, Oregonians for Affordable Housing (OFAH). OFAH supports industry-friendly candidates and measures locally and at the state level and confronts the legislative and regulatory challenges facing the housing industry. Through OFAH, we oppose anti-housing NIMBYism and advance pro-housing solutions to ensure that Oregonians, regardless of income, have access to world-class housing.
Tuesday, June 27 8:00 am – 12:00 pm
Builders FirstSource 15877 SE 98th Ave | Clackamas
HBA’s Home Performance Council & Building Science Program is bringing you a little BuildRight all year long! Join us on June 27 as Builders FirstSource hosts a BuildRight Road Show - earn 4 hours of CCB-accredited education, and networking.
Hear from APA’s Larry Oenning on Advanced Framing, HBA’s Building Science Consultant Carol Eisenlohr on 5 Easy Steps for Implementing Best Practices in the Field, and Greg Lasher of Energy Trust of Oregon on What the Oregon Energy Code Requires Now and Where Is It Going? Plus, stay for a special Behind the Walls Tour of Builders FirstSource’s Ready-Frame facility following the Roadshow.
Behind the Walls Tour with HBA’s Home Performance Council - Touring Builders FirstSource’s Ready-Frame Facility
Tuesday, June 27 12:00 pm - TBD
Builders FirstSource 15877 SE 98th Ave | Clackamas
Cost – Free to All Members
Join the Home Performance Council for a “Behind the Walls” tour at Builders FirstSource’s Ready Frame Facility. Designed to give a behind-the-scenes look at a new development or technology that fits within highperformance home building, this Behind the Walls tour will offer attendees the chance to ask questions and learn about the specialty techniques used within the process. These tours are fun and educational, so come take a look inside, learn, and network over coffee and donuts. Registration required.
Block Party at the 2023 NW Natural Street of Dreams®
Presented by Community Financial Corporation
Thursday, July 27, 2023 | 6:00 - 9:00 pm
Sherwood’s Denali Summit - Site of the 2023 NW Natural Street of Dreams
BLOCK PARTY GENERAL ADMISSION TICKET: $100 per person
BLOCK PARTY EARLY ENTRANCE TICKET: $150 per person
To create a smoother experience for all attendees, this year’s event features limited overall attendance, an early entrance ticket option, and onsite parking.
Celebrate the kick-off of the 2023 NW Natural Street of Dreams® at Denali Summit in Sherwood! Enjoy live music by Portland’s premier classic rock and soul band - The Denominators Band! Local cuisine and Northwest wines, beer and spirits will be served. This is the signature event for Home Building Association of Greater Portland members and the entire building industry. Mingle among the builders, designers, subs and sponsors in this exclusive tour of incredible homes
NEW this year! Purchase the Early Entrance Ticket* for an exclusive early arrival time! Beat the Block Party traffic, receive a guaranteed closest parking space, and enter starting at 4:00pm. Pre-funk in the VIP space with samplings, drinks, and music.
VERY limited ticket quantities available for Block Party this year – both General Admission and Early Entrance. Capacity is reduced from prior year’s events. Early Entrance Tickets are available to improve arrival time traffic and flow. Advance purchase for all tickets is required for this sell-out event. This year’s event
will feature on-site parking. Private shuttle/limo dropoff/pickup is also permitted and encouraged. Limited tickets will go on sale May 15. Ten dollars from every ticket is donated to the Home Building Foundation, the charity of choice of the NW Natural Street of Dreams®. Open to all HBA members and guests. Tickets are required to attend, available at wwwStreetofDreamsPDX. org.
July 29 - August 20, 2022. More information on the show dates and hours will be released soon.
Denali Summit in Sherwood, Oregon
Cost: $22 before June 16; $27 thereafter
Whether you are looking for your dream home, wanting to build a new home, or getting ready to remodel or redecorate your current home, the NW Natural Street of Dreams will have something for you. The 2023 NW Natural Street of Dreams will feature stunning homes on a main hub site called Denali Summit in Sherwood. HBA Members will be emailed 2 complimentary tickets to the show. Details and tickets at www.StreetofDreamsPDX. com. Bulk rate tickets available. Children 10 and under are always FREE!
Presented by The Oregonian Media Group
Monday, July 31
3:00 pm – 7:00 pm
Denali Summit in Sherwood, Oregon
Cost: Free for Realtors but pre-registration is required with proof of active realtor’s license and photo ID Realtors are invited to attend a special event on Monday, July 31th from 3pm to 7pm at Denali Summit. Enjoy complimentary food, wine & distillery sampling while DJ Jared keeps the party going from the main stage. And don’t miss the incredible views and samplings from our NW Natural VIP space! Register for your complimentary ticket and present your business card and photo identification at the gate to receive complimentary entry to the NW Natural Street of Dreams® On Monday, July 31 ONLY. Realtors also vote for the prestigious “Realtors’ Choice” awards this day too. Visit the website for details and to register or purchase Guest tickets at www. streetofdreamspdx.com/events/realtor. Guests of realtors may purchase tickets in advance or at the ticketing gate.
The Home Building Association of Greater Portland has partnered with Regence BlueCross BlueShield of Oregon and Capital Benefit Services to bring members more affordable health care through the Building Industry Insurance Trust. HBA members deserve a health plan that's tailored to your industry and focused on the well-being of your employees and your business. Powered by the most trusted name in health insurance, your plan offers access to a broad provider network and support from an award-winning customer service team.
To learn more or get a quote, visit buildingindustryinsurancetrust.com or call (425) 641-8093.
DISCOUNT GAS
For more information contact Kathy Temple at 541-408-5155 Kathy.Temple@ edstaub.com
CREDIT CARD PROCESSING
For more information contact Tim Holstein at 503-975-0660 timh@ swipenow.com
BUILDER/REMODELER MANUFACTURER REBATE PROGRAMS
For more information contact Tami Walter, 503-684-1880 or tamiw@ hbapdx.org
ABB
Jay Poe 503-250-2926 jay.poe@us.abb.com
Area Floors
Andrea Nguyen 503-684-5585 andrea@areafloorsonline.com
B. Clark Interior Design
Beth Clark 503-267-8927 b.clarkinteriordesign@gmail.com
Guild Mortgage Brandt Hulse 503-703-3096 bhulse@guildmortgage.net
Hardworks LLC
Kelly Echols 423-710-5919 Kelly@hardworksllc.com
Jasons Top To Bottom Home Inspections
Jason Bartussek 360-823-3034 jason@detailshomeinspections.com
K2 Stone Ryan Spargo 406-253-0520 ryans@k2stone.com
Kelly McDougall Design Services, LLC
Kelly McDougall 503-516-3284 kelly@kmdesignservices.com
CONSTRUCTION INDUSTRY CRIME PREVENTION COUNCIL
For more information: www.cicpp.com
WORKERS COMPENSATION
Qualifying HBA members can save up to 1% on SAIF.
BENEFITS
For more information, contact the Program Manager at Capital Benefits Group at 425641-8093.
Light Benders
Kellan Sheeley 503-412-8905 kellan.sheeley@velux.com
MJT Plumbing
Matt Turpen 503-267-7365 mjtplumbing44@gmail.com
MW Design Workshop Inc.
Josiah Zukowski 503-364-6430 Josiah@mwdesignworkshop.com
Overhead Door of Portland Ryan Stumpf 503-252-5111 ryan@ohdpdx.com
40-49 Years
Builders FirstSource
30-39 Years
Bliss Roofing Inc.
Both Sides Construction
Consolidated Supply Co./ The Fixture Gallery
Craftwork Plumbing Inc.
JT Roth Construction Inc.
Kitchens & More Northwest
Lakeside Lumber
McCoy Millwork
PACE
20-29 YEARS
American Sani-Can
BASCO
Community Financial Corp.
Endicott-Woods Enterprises Inc
FASTSIGNS-Tigard
Ferguson Enterprises
GeoPacific Engineering
Lake Shore Concrete
M & T Bank
Mosaik Design & Remodeling
NW Natural
Pacific Western Homes Inc.
Sherwin-Williams Co.
10-19 YEARS
Affinity Home & Design
All Oregon Landscaping Inc.
Alpha Stone Works Inc.
B Ayres Plumbing
Business Investment Group LLC
C & L Properties LLC
Crown Tile, Inc.
Delap LLP
Earth Advantage
Elite Development Northwest LLC
Emmert International
Everett Custom Homes
Fireside Home Solutions
Integrity Painting, Inc.
Jordan Ramis PC
JT Smith Companies
Kinton Land & Bison, LLC
Konell Excavation
Kraft Custom Construction, Inc.
Mission Homes NW, LLC
Neptune Swimming Pools
New Era LLC
Olson & Jones Construction
Oregon Homeworks, LLC
Petrina Construction Inc
Red’s Electric
SFW Construction LLC / Yeah Dude Rentals
LLC
Stone Bridge Homes NW, LLC
SwipeNow
The Kelly Group
Tiffany Home Design
Trus Joist / Weyerhaeuser
Westlake Development Group LLC
5-9 YEARS
Brian Schmidt Builder
Creekside Homes Inc.
Envision Inc
HUB International NW, LLC
Kilmer Construction
Lexar Homes
Morrison Construction Co. LLC
Mr Handyman of Lake Oswego & Tigard
ON Electric
Options Financial Residential Mortgage
Oregon Truss
Pacific NW Marble & Granite
PG Long Floorcovering, LLC
Qualified Electricians
Raglione Construction LLC
Schwabe, Williamson & Wyatt PC
SK Hoff Construction LLC
Streimer Sheet Metal Works, Inc.
The Heating Specialist, Inc.
THE Remodel Group
TRC
Pacific 6 Innovations LLC
Josue Ramirez 360-721-3129 JosueR@Pacific6Innovations.com
Stantec
Chris Kittredge 503-220-5449 chris.kittredge@stantec.com
BUILDER MEMBER
HumanKind Homes
Eliot Kahn 805-450-9557 Eliot@humankindhomes.com
Summit Development Group Seth Henderson 503-720-3601 shenderson@leveldevnw.com
1-4 YEARS
Alpha Construction LLC
APA - The Engineered Wood Association
Atiyeh Bros., Inc.
C3S Concrete Services Inc.
Canyon Glass
Capital Benefit Group
Cosentino Surfaces - Portland
Cox Electric, Inc
Crystal Industries, Inc.
Dealers Supply Co.
Environmental Works
EquityQuest Homes
Golsan Scruggs Insurance & Risk
Management
GreenPointe Construction Inc.
LPG Specialties, LLC
Pure Floors Inc
River City Roofing
Robben & Sons Heating Inc.
Vial Fotheringham LLP
Take advantage of these exclusive member discounts from HBA business partners, visit hbapdx.org/benefits for more info.
The HBA provides significant value to our members through our advocacy and government affairs work. The government affairs team works with local municipalities on everything from fees and permitting timelines, to legislative issues that can affect a project’s bottom line.
But, there are more ways we provide value beyond advocating for the industry, and programs to help save you money.
The HBA Member Rebate Program has partnered with dozens of the industry’s leading manufactures to strengthen loyalty with HBA members.
Using the program is as simple as registering, submitting a claim form, receiving a rebate check. The program’s team has made it easy – you do NOT have to send in receipts to process your rebate claim. Instead of receipts, they get verifying
information from the manufacturers’ salespeople in order to process your claim.
Even if your subcontractor buys the product, you still qualify for the rebate because you specified the product purchased.
One HBA builder member received over $10,000 in rebates last year! The average rebate per builder/remodeler company who participated in 2021 was $1,582.20. The process is quick, with an average time to complete the rebate claim form around 15 minutes.
We would love to see more builders and remodelers utilizing this program and saving money. HBA is planning a webinar at the end of June with Kim Klein from the Member Rebate Program to walk you through the process and how easy it is to save money with this fabulous Membership Benefit. Visit www.hbapdx.org/events for more information on the upcoming webinar, or contact Jodi Bailey at jodib@hbapdx.org to learn more. You can learn more about the rebate program at www. hbarebates.com.
Interested in connecting with others in the industry, advising on HBA programs, benefits and services, or adding your voice on issues impacting housing in our region? Read on!
Each summer, HBA works to identify leaders for positions and opportunities in several areas of our organization for the following year. With an industry as diverse as ours in so many ways, we want to make sure our leadership represents the varied backgrounds, perspectives, and needs of our industry and housing in general. We also want to help HBA expand its voice to ensure all those who work in our industry, and the future of our industry, are represented.
The HBA Board and key groups within our organization work on major issues affecting our industry’s future. How we can become more representative of and inclusive of a wider range of people and businesses in our industry. How we can transform into a stronger educational, training, and workforce development resource. And ultimately, how we can continue to strengthen our core values: advocacy, member business value, and providing a diverse and supportive community.
If you’re interested in getting more connected within HBA, learning more about what HBA does or helping guide our
work on behalf of housing and the building industry, we likely have a leadership position that is right for you! We have various types of commitments ranging from short-term to monthly to seasonal, as well as a range of in-person, online or hybrid ways to engage and contribute your time most effectively.
Opportunities include:
• HBA Board
• State Directors and National Delegates
• Home Building Foundation Board
• Workforce Development Advisory Board
• Councils (Professional Women in Building, Remodeling & Custom Building Council, Home Performance Council, Portland Building & Urban Development Council)
• Government Affairs
• Special Event Committees
For more information and to be added to our list for an announcement on a future informational session in late July, please contact Samantha Thomas at samanthat@hbapdx.org.
BY: HBF STAFF
A loud buzz filled the ballroom at BuildRight, where a new generation of builders hoping to enter the field learned about jobs. Tiffany Jensen, who attended Oregon Tradeswomen’s PreApprenticeship program, is one of the graduates who attended. She explains “I’m still a little perplexed” so she came to the conference to learn more about jobs in the fields of home restoration and deconstruction.
A total of 17 graduates received a stipend to attend the day-long conference at the Kennedy School on April 19, the result of a grant from the Portland Clean Energy Fund. Longtime HBF partner Constructing Hope won a more than $7 million-dollar workforce grant aimed at training people living in communities most affected by climate change for sustainable industry jobs. Constructing Hope leads the collaboration with three other adult construction pre-apprenticeship programs; Oregon Tradeswomen, Portland Opportunities Industrialization Center (P.O.I.C), and Portland Youth Builders. They undergo a two-day intensive about sustainable building during their training from Earth Advantage, then receive a certificate. HBA agreed to provide opportunities such as attending BuildRight as a way to connect these newly minted “green” builders with jobs in the field.
At BuildRight, Earth Advantage also provided two sessions just for the trainees to help them navigate the day, and to teach them how to network. Anna Hilbruner of Elise Energy Solutions tried to calm their nerves, “We hope it introduces you to different options - I know it is like drinking from a fire hose.” Tiffany and the other trainees were allowed to pick which of the seminars they attended. Jensen chose “Concrete the Sleeping
Giant” as one of them. Even if she knew nothing about the seminar topics, she tells us “It reminds me of the avenues and opportunities I’ve already had.”
The day was capped by a special networking session. The graduates had a few minutes to shake hands and chat with a variety of employers, who were recruited by Earth Advantage and HBA’s Building Science Consultant Carol Eisenlohr. The gathering was lively, and the trainees appeared to have no trouble talking with the employers. William Castrillion, of NW Energy Collaborative, gave all the trainees a pep talk. “It’s your attitude and aptitude. I told them - if you show up, and you are willing to learnthat is what I need the most!”
HBA member Patrick Huske of Ironwood Homes told us he enjoyed himself and took down a few names. “The key takeaway for me was the trainees had found a direction and were excited to continue their path of employment and learning in the building trades.” Trainees tell us the employers were great at giving suggestions about focusing their job search. Jensen tells us “It was less awkward than I thought it
would be” and that it encouraged her to continue on her path.
HBA’s Eisenlohr says the energy in the room was contagious for everyone involved. “The diversity of the attendees at the BuildRight Conference is a big part of its success. It takes a village to build a home and the courage to keep forging ahead to adopt new technologies and building practices. When you bring builders, trades, innovators, designers and trainees together, great things happen.” This vital addition of trainees coming to BuildRight is just the beginning. There are three years remaining for the PCEF grant, and HBA and HBF are currently collaborating on additional opportunities to spark connections toward sustainable construction careers.
HBF is fortunate to have a team of young people from around the country who helped us with several of our shelter projects this year. They are volunteers with a unique program that teaches life lessons through construction
Building a new pen for goats is probably something the young construction crew never imagined when they signed up to spend their gap year in Portland. The nonprofit Tivnu brought the group to our project at A Village for One as a part of their mission to teach them that construction can bring social change. Construction Coach Erik Brakstad explains “Tivnu’s partnership with the HBF has leveraged us into more meaningful and consequential work in the community.”
This is the ninth cohort of Tivnu, which means build in Hebrew. The students pay tuition and move here from around the country for the nine-month-long, handson social justice engagement program for Jewish students. Tivnu’s founders say they focus on housing as a human right, and schedule the participants to provide volunteer help to nonprofits. Construction leader Brackstad says they are “Teaching the kids to use their minds, heart, and bodies to make positive change in the world.” Tivnu’s leaders also explain the
program helps young people explore the Jewish tradition of mutual aid.
We met the team last fall at Project Homeless Connect when they had just arrived in town. HBF Project Manager Chris McDowell had the group come to Hillsboro to build a fence. The instructors teased them that they were on their way to earning a PhD. Translation - “Post Hole Diggers”. McDowell says “They start out green and they quickly become skilled in carpentry, landscaping and other tasks related to shelter construction, which meshes well with our programming in providing low-cost alternatives to construction labor”.
Most of the students are ages 18-19 and have been admitted to college, but deferred for a year to have this experience. For many, this was the first time they’d held a hammer. Sasha Rosenfeld, from New Jersey, is one of them. “It’s something I’ve never done, working with my hands and building, and I really like doing new things.” There was a steep learning curve at first, explains Zac Askinasi of the Bronx, New York. “It’s definitely hard, it’s satisfying, it’s fun to do. I’ve done some volunteer work before, but I’ve never done anything like this”.
By the end of the year, cohort members tell us they enjoyed all of the HBF projects they assisted with, but especially working near the goats as they deconstructed, and rebuilt the goat house. McDowell gave them a progressively more challenging list of tasks, and Tivnu’s Brakstad says that set up the team for success. “Chris was good
at explaining the context of our work, and that helped the crew buy into trying their best - because it mattered.” Over the course of the year, they built gates and shelves, painted, installed cabinets, landscaped, and replaced window panes at three HBF projects, gaining skills and confidence along the way.
Tivnu students will also leave Portland with lived experience in HBF’s and HomeAid’s model of using the talents of the building community to meet the needs of shelter nonprofits. A great example is when McDowell and Tivnu repurposed lumber from a Lennar volunteer fence removal for Community Partners for Affordable Housing. “Those boards were loaded into Hazelnut Grove by Tivnu’s visiting group so it could provide heat for the community there in Overlook. There were really easy connections we can make with them because they have the labor.”
In addition to fieldwork for HBF, the Tivnu participants provided labor or interned for other local organizations such as Habitat for Humanity, REACH Community Development Corporation, and PCUN the farmworkers union. Tivnu’s guiding philosophy is that housing is intertwined with the overall health of neighborhoods and communities, which is an ideal partnership for our work. This successful year means we will welcome the next Tivnu group to lend us their hammers when they arrive later in the summer.
Would you like to volunteer for an HBF Project? Contact Chris McDowell Chrism@hbapdx.org.
Name: Nathan D. Young
Company & Title: MODS PDX INC
President
Tell us about yourself (What you do, how you got started in the business, etc.):
I started in construction in 1991 and founded Nathan D. Young Construction, Inc. in 1998.
During the 2007 recession I started MODS PDX INC to create sustainable modular projects. After working on numerous emergency housing projects, we have used our understanding of modular/ off-site construction to design and create efficient emergency housing units to accommodate semi-permanent housing for houseless individuals.
How did you get involved in the HBF? What keeps you involved?
I got asked to do a project by Mel in 2007 for the Portland Rescue Mission. At the time it was presented as a simple process to be a builder captain. The project was not simple, in fact it was the largest project HBF had done to date and took a 14,000 sq ft dilapidated building and converted into a new building with all new infrastructure and finishes. It was not until the project was done and we realized the impact to the community that I decided we would continue doing whatever we could for the HBF.
What is a fun fact about you that not everyone knows?
I have three amazing daughters that keep me extremely grounded. I may come across as rough and gruff, but around
them I’m putty in their hands and they know it!
What is your favorite hobby?
My favorite hobby is tied between golf and bow hunting. I love being outdoors and the challenge of hitting a little white ball around a course or chasing an elk in the woods keeps me alive!
Thanks again for being our “Hero”, we appreciate you!
Why is it a great time to be an HPC member… we are a community of industry professionals that enjoy sharing innovative ideas, engaging in peer-to-peer conversations, and learning how to build better together. The HPC council meets the second Wednesday of every month from 9:30 to 11am. We have a short educational presentation at each meeting and organize HPC events such as Behind the Walls on-site educational events, The Homes of Tomorrow Today Tour, BuildRight and of course the Holiday Pub Networking Event.
If you are a builder or remodeler that is interested in joining a community that embraces new technology and is on a path to continuous improvement you would enjoy the comradery of the members of the HPC.
Josue Ramirez with Pacific 6 Innovations, LLC had this to say his recent HBA and BuildRight 2023 experience… “I wanted to thank HBA/Build-Right and Carol Eisenlohr for everything so far. Pacific 6 Innovations is very happy that we have had the opportunity to be part of such an amazing organization. The open arm feeling you have given us has been incredible. The time we have been able to share with HBA/BuildRight whether it be at the monthly HPC meeting or at the Build Right event has been amazing and extremely rewarding so far. We had such a successful first event at the Build Right this year, It was such an educational event. Not only did we get a chance to show case our amazing, patented product, but we also got to network with many people that are looking to achieve the same goals as us:
Energy efficiency and building homes right and most importantly— a better looking home at the end of it all.”
HPC members in the spotlight…..
One of our newer HBA and HPC members, Robert Benjamin, Cofounder of Aris Hydronics, Inc. is one of the six finalists for Equitable and Affordable Solutions to Electrification and part of the American Made program. Read the press release below:
Washington, D.C. — Today, the U.S. Department of Energy (DOE) announced six finalists in the Equitable and Affordable Solutions to Electrification (EAS-E) Prize, which awards innovative solutions that advance electrification retrofits across various residential building types and geographies with $2.4 million in cash prizes and technical assistance.
“The goal of the EAS-E prize is to promote technologies and develop innovations that make home electrification easier, more affordable, and more accessible, with a specific focus on dwellings underserved by the current market for electrification,” said Alejandro Moreno, Acting Assistant Secretary for Energy Efficiency and Renewable Energy. “We look forward to seeing the concepts come to life as the teams compete in the next phase.”
• Aris Hydronics, Inc. (Milwaukie, Oregon) is developing and manufacturing a modular, multi-function air-towater heat pump system, especially applicable to multifamily housing, that incorporates a unified grid-interactive energy management control platform that provides heating, cooling, and domestic hot water.
Don’t forget to schedule your BuildRight Coffee Chat with industry experts!
Join the HBA Building Science Consultant, ETO and other experts every Thursday at 9am via Teams or Zoom. Talk through code questions, address specific building challenges and find resources for better building practices. To schedule your individual chat, contact HBA’s Building Science Consultant Carol Eisenlohr at 503-710-2910 or buildingscience@hbapdx.org.
I hope we see all of you at our next Behind the Walls June 27th at Builders FirstSource READY-FRAME Facility in Clackamas. Please register at hbapdx.org
The HBA Building Science Program is a technical resource available to HBA members free of charge, funded in part by Energy Trust of Oregon, Home Certified, OrePAC, Portland General Electric and NW Natural. If you would like to utilize the Building Science Program to create a continuous improvement plan focused on your building challenges or a plan to prepare for future code changes, contact Carol Eisenlohr, HBA’s Building Science Consultant at carole@hbapdx.org or call to schedule an appointment at 503-710-2910.
The City of Sherwood’s long-running plans for an Urban Growth Boundary expansion passed a significant milestone with the conclusion of its Technical and Community Advisory Committees in May 2023. The Sherwood West Preliminary Concept Plan is a study of 1,291 acres of Urban Reserve lands located to the west and north of city limits. While an earlier version of a preliminary concept plan was adopted in 2016, it’s been updated to accommodate for recent developments including the completion of Sherwood High School, Washington County’s Urban Reserve Transportation Study, the city’s Comprehensive Plan, and the implementation of newly allowed middle housing options from HB 2001.
With a robust public engagement strategy, city planning staff have guided this “re-look” with input from many stakeholders including citizens, county representatives, land owners, developers, and community groups. HBA had a seat on the Technical Advisory Committee and have been working closely with city officials to ensure that city planning objectives include ambitious and sufficient zoning for residential uses, included newly allowed middle housing options.
Erika Palmer, Planning Manager for the city said “Engaging with residents and other stakeholders was essential for producing a plan that reflects Sherwood’s community values with integrity and foresight. Every step of the way, community members including local high school students, provided meaningful guidance and feedback gathered through interviews, public events, public testimony at meetings, online surveys, and open houses.”
Taken together, the city anticipates that an adopted concept plan will generate anywhere from 3,000 to 4,000 units of new housing in the expansion area. Several HBA members including Holt, Ichijo, and David Weekley are already building communities in Sherwood, with several others hoping to build in adjacent expansion areas based on the city’s anticipated growth.
Additionally, and important to the city’s long-term objectives, there will be a strong focus on economic development and lands for job creation in the industrial and manufacturing sectors. The city hopes to create roughly 4,500 jobs in the coming years, helping to shore up its tax base and provide proximate employment opportunities for newly built homes.
The preliminary concept plan also includes creating two larger community parks, as well as six smaller neighborhood parks. Down the road, the city and school district are also anticipating the need for two new schools to accommodate future population growth. Included in the plans are also a large hospitality zone that could host a variety of “gateway to wine country” businesses including wine tasting rooms, hotels, and boutique shops.
To move the project forward, the Planning Commission votes to recommend the proposal on June 27th, 2023 with council taking up the question on July 18th for final sign-off. Formal adoption of this three-year planning effort will culminate in a Letter of Inquiry sent to Metro expressing interest in
undertaking an Urban Growth Boundary expansion, with a formal proposal due in April 2024.
Following this, it will be within Metro’s authority to review and accept this request. If approved, the city will begin the process of annexing lands and preparing to install the infrastructure needed to make these plans a reality. Speaking to the city’s next steps, Palmer says “Future planning of the area will continue to be informed by our community to ensure Sherwood West is a walkable community with a balanced mix of employment, residential, commercial, and greenspaces where families can safely live, work, shop, and play.”
If you would like to learn how to support the city’s expansion goals, please reach out to HBA’s Government Affairs team.
On March 6th, Governor Kotek announced a new 25-member Council to recommend and implement an action plan to meet the state’s new housing production target of 36,000 homes per year. Four HBA members including Justin Wood (Fish Construction), Natalie Janney (MultiTech Engineering), Deborah Flagan (Hayden Homes), and Eric Olsen (Olsen Communities) were appointed to the council and will help advance policies that will improve housing production in Oregon. In addition to these members, several local housing experts and leaders from the Portland area are also represented on the council including Damien Hall, Elissa Gertler, Ivory Matthews, Margaret Van Vliet, and Ernesto Fonseca. This group was assembled to help the governor identify policies and investments needed to adequately address Oregon’s ongoing and severe housing crisis.
HBA has been working with several builders to improve the process for determining vesting rights for approved subdivisions in Gresham. Having collaborated with city staff in regular Development Advisory Committee meetings, builders and HBA have identified several potential improvements to the way that the city approves and authorizes construction of housing in planned subdivisions. Based on those conversations, staff has presented several scenarios for consideration that would extend flexibility and time criteria allowed for developments to move forward given increased processing and approval times required by modern building guidelines. Once a builder has approval for a tentative plan, they may now qualify for several more years to complete needed platting approvals and to build-out phased construction.
As a continued priority for the HBA, we are constantly monitoring local jurisdictions’ implementation and approval criteria used for middle housing projects recently allowed by HB2001. Working with a member, HBA was part of a small group that helped advance an improvement to the way that the City of Beaverton administers ADU and duplex Right of Way (ROW) standards. In a recent memo, the City prioritized housing affordability by easing ROW standards previously required for the construction of ADUs and duplexes on a property with an existing residence. The interim rules specify that new dwelling units added to a property with one existing single detached dwelling “will not be required to dedicate property for public ROW purposes or construct frontage improvements such as sidewalks, even if the existing frontage doesn’t meet the standards in the [Engineering Design Manual].” This small change will make it more affordable and more feasible for smallvolume and middle housing builders to generate the needed diversity of housing units in Beaverton.
For more information on any of the below items, please contact Director of Policy and Government Affairs Preston Korst at prestonk@hbapdx.org
HBA is encouraging the City of North Plains to move forward with plans to expand their Urban Growth Boundary for needed employment and housing opportunities. In late February the city’s Project Advisory Committee moved forward with preferred plan that would expand and incorporate 688 additional acres for employment uses and 167 acres for housing and parks to accommodate predicted growth over the next 20 years. The anticipated preferred option will soon head to the Planning Commission and City Council for further discussion and input. HBA staff and members will continue to ensure that any plans under consideration make best use of lands to accommodate for needed housing by encouraging both flexibility and density.
On March 15th, HBA staff testified in front of the Portland City Council in support of a new Office to Housing Conversion program. In an effort to revitalize the city’s downtown core, in addition to addressing much needed housing supply, Council voted unanimously to approve the incentive package which will make it less expensive and more technically feasible to turn underutilized office space into apartments. Among other things, the program will exempt office-to-residential conversions from needing to pay for System Development Charges (up to $3m) while technically lowering the seismic improvement standards that are typically required of multi-unit residential buildings.
Both alternatives will make it more financially viable for building owners to generate value at a time when in-person office work has fallen dramatically since the start of the pandemic. There is also a bill in Salem (HB 2984) that replicates these steps while lowering thresholds to change zoning standards from commercial to residential.
As many builders and remodelers have been experiencing since January, the wait times for simple inspections in Washington County have become unacceptable. According to the county’s data, inspection time frames for most jobs went from 1 to 2 days to an average of 10 days for basic electrical, plumbing and other inspections. This inadequacy puts builders, remodelers, and homeowners in a difficult position of halting work on build sites and delaying much needed housing opportunities during a time of high interest rates and extremely low vacancy rates.
We are actively working with the county’s Land Use and Transportation leadership to find ways that mitigate these delays. Staffing shortages are still the root cause of the delays— they are down roughly 5 positions, or about a quarter of a fully staffed team, three of which have recently been filled and will begin work soon, and the other two will start in the coming months.
In the meantime, we are urging our members working the county to leverage video calling, photos, and videos for inspections on their simple jobs, especially for re-inspections. While the county hasn’t yet outlined a formal policy for which types of inspections qualify for this type of submission, individual inspection staff do have the discretion to accept them in this form. We continue to urge the county to remain flexible in the interpretation of regulations that do not pertain to health and safety standards.
HBA realizes how much of an impact this has on builders and trades being able to deliver homes on time to their customers as well as the frustrations, scheduling issues, and costs involved with these delays. We are actively working to address and get relief as quickly as possible.
On March 28th the City of Happy Valley’s Comprehensive Plan for the Pleasant Valley and North Carver areas received a Notice of Intent from a local resident to appeal land use decisions to the Land Use Board of Appeals. In response, HBA is working within a coalition of landowners and builders who were involved in the early planning efforts to support the city in its defense of the adopted plan. While we are still weighing our options, we are likely to file an intervening motion that will allow HBA and others involved in the planning process for Pleasant Valley / North Carver to participate in the defense of the plan, if any further legal action is pursued. If you or your company participated in or supported the Comp Plan process and would like to become more involved, please reach out to HBA staff.
For more information on any of the below items, please contact Director of Policy and Government Affairs Preston Korst at prestonk@hbapdx.org
You want to do it right, and we want to help you. Get information for the Northwest Region including technical literature, products, and contact details for your local territory managers.
You want to do it right, and we want to help you. Get information for the Northwest Region including technical literature, products, and contact details for your local territory managers.
NORTHWEST BUILDER RESOURCE CENTER
IF YOU ARE:
MIKE BAIR - Portland Metro Trus Joist Territory Manager bairm@trusjoist.com (503) 853-4638
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IF YOU ARE:
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Headline inflation is too high and well above expectations; FED response was to raise its benchmark interest rate by another 25 basis points; Labor market conditions remain tight giving impetus for the FED to tighten financial conditions; US GDP growth outpaced expectations and chances of a mild recession diminish (at least for now)
US inflation has shown modest signs of easing but remains stubbornly high. The rate dipped to 6.0% in February, easing from 6.4% in the prior month. This is a welcome trend, especially after inflation had peaked to 9.1% last June ’22. Energy and fuel costs had spiked and significantly added to last year’s inflation rate but has since eased. Inflation remains elevated because rent inflation has partly replaced high energy prices as the key contributor to higher-than-expected headline inflation. According to BLS (Bureau of Labor Statistics) rent data for US cities, the increase in contract rents accelerated to 8.8% on a 12-month basis in February, over double the rent inflation from a year ago (4.2%). As the FED lifted interest rates, it drove down affordability for firsttime home buyers. This led to an increase in rent inflation as more households remained stuck in apartments and couldn’t afford to buy a house with mortgage rates that had sharply risen.
Bottom line: Higher interest rates have
yet to quell the headline inflation rate. Financial conditions will thus remain tight for the remainder of this year because of the FED’s price stability mandate. Pundits believe rent inflation will taper significantly later this year as lease renewals turn over with lower rent increases which will help alleviate some of the pressure on the FED to act.
The FED’s chief concern stems from a fear that high inflation expectations become permanently embedded in the US economy. The Central Bank has undertaken steps during the last 12 months to tighten its grip, including sharply lifting interest rates and reducing its immense portfolio of mortgagedbacked and US Treasury securities. The FED’s latest action on March 22nd was to lift its benchmark interest rate 25 basis points to a range between 4¾% to 5%. Central bankers at the FED reiterated their restrictive monetary stance, despite the collapse of Silicon Valley Bank in California and Signature Bank in New York.
Bottom line: Expect more economic headwinds and crosswinds that will impede the FED. The spate of bank failures is an unintended consequence, but it has not lessened the FED’s resolve on fighting inflation. The FED will continue taking forceful actions, but recent banking woes have raised the degree of uncertainty of its actions. The FED will have to move with greater caution. Steps it may take to quell
inflation will be smaller. In the end the FED will have to maintain greater vigilance for a longer duration if it is to achieve its goal of price stability.
The FED’s efforts to slow US economic growth and impede inflation have not yet yielded the decline that central bankers had hoped. US growth has exhibited far greater resilience than expected, especially labor markets. At current rates of unemployment and job growth, the US labor market remains tight. The unemployment rate in the US has bounced around 3.5% since a year ago. US unemployment claims have edged up in recent months but one must squint hard at the data to see the trend. Unemployment remains near the lowend, offering little indication of weakness in US labor markets at this juncture of the business cycle. Employment has rebounded above pre-pandemic job levels and the job market continues to register strong monthly gains, although it is clear that annual growth has begun to slow with the latest labor report showing growth of 3%.
Bottom line: The US labor market continues to register strong monthly gains, enough to absorb jobless claims and hold down the monthly unemployment rate. With recent GDP and other economic indicators registering positive or tapered gains, the current strength in labor market conditions is likely to carry forward for a while longer. Expected weakness in the US labor market will be deferred to subsequent quarters this year.
BY: METRO
The US housing market may soon be bottoming out. More prospective homeowners are again looking to buying a house. Homebuyers, who had been priced out by last year’s surge in mortgage rates and home prices, began returning as the 30-year fixed-rate mortgage slid roughly 80 basis points between October and February. A leading measure of home prices, the S&P CoreLogic Case-Shiller index revealed home prices continued its trend lower. The national index slid -0.55% in January and slid a total of -2% during the last 3 months. This may not seem much, but it helps regional markets like Portland see affordability improve. The downturn in nationwide housing permits for homes and apartments came to end in February, posting solid gains in both single family
houses and apartments. Builder sentiments (i.e., HMI) surveyed by the National Home Builders Association reveal an uptick in the HMI to 44, the third monthly increase in a row.
Bottom line: A rebound in the housing market is unclear but there are early indications that the market is improving. Mortgage rates recently started trending higher again on renewed inflation fears and the economy’s shaky footing makes at best for a very fragile rebound in housing.
Nonfarm payroll employment is solidly above its pre-pandemic peak. Jobs remain robust in the region; however, the 12-month growth rate is beginning to show signs of slower growth since the FED sharply raised interest rates. Permits
for residential single-family construction in the region are anemic but the number of issued permits for apartment construction is still going strong. With housing affordability improving, construction employment rebounded in February. Although the gain was modest and only for 1-month, it might suggest the construction sector is at the brink of recovering if the economy doesn’t tumble into a recession.
Bottom line: Home sales are beginning to show signs of an uptick. Median single-family sales prices have eased in the last two months and along with lower mortgage rates marks a modest improvement in market-rate affordability. The employment situation in the region is not as firm as it once was, so any spillover from a nationwide economic contraction would cause regional growth to tank.
The count of open, unfilled jobs for the overall economy declined again in March, falling to 9.6 million, after an 11.2 million reading in December, which was the highest level since July. The count of open jobs was 12 million a year ago in March 2022. The count of total job openings should continue to fall in 2023 as the labor market softens and the unemployment rises. From an inflation perspective, ideally the count of open, unfilled positions slows to the 8 million range in the coming quarters as the Fed’s actions cool inflation.
While higher interest rates are having an impact on the demand-side of the economy, the ultimate solution for the labor shortage will not be found by slowing worker demand, but by recruiting, training and retaining skilled workers.
The construction labor market saw a decline for job openings in March as job
openings in the sector trend lower. The count of open construction jobs decreased from a revised reading of 404,000 in February to 341,000 in March. This came after a data series high of 488,000 in December 2022. The overall trend is one of cooling for open construction sector jobs as the housing market slows and backlog is reduced, with a notable uptick in month-to-month volatility.
The construction job openings rate decreased to 4.1% in March. The recent trend of these estimates points to the construction labor market having peaked in 2022 and is now entering a cooling stage as the housing market weakens.
Despite the weakening that will occur in 2023, the housing market remains underbuilt and requires additional labor, lots and lumber and building materials to add inventory. Hiring in the construction sector increased to a solid 5.1% rate in
The below information is provided by NAHB, under their Housing Economics webpage. For more information and to view the latest updates, visit NAHB.org/ news-and-economics.
Volatile prices of lumber products in recent years have caused the average price of a new single-family home to increase by more than $14,000. NAHB has been relentlessly working on all fronts with government officials to develop long-term solutions to lumber and supplychain challenges that threaten housing affordability across the nation.
The price tracker below provides an overview of the behaviors within the U.S. framing lumber pricing market. NAHB sources this information each week using the Random Lengths Framing Lumber Composite which is comprised using prices from the highest volume-producing regions of the U.S. and Canada.
March. The post-virus peak rate of hiring occurred in May 2020 (10.4%) as a postcovid rebound took hold in home building and remodeling.
Construction sector layoffs jumped to a 3.7% rate in March, consistent with an increase in volatility. In April 2020, the layoff rate was 10.8%. Since that time, the sector layoff rate has been below 3%, with the exception of February 2021 due to weather effects. The layoff rate increasing above 3% in March matches the recent trend for a weakening of construction job openings.
Looking forward, attracting skilled labor will remain a key objective for construction firms in the coming years. While a slowing housing market will take some pressure off tight labor markets, the long-term labor challenge will persist beyond the ongoing macro slowdown.
Are you a stressed parent? Here’s what you can do.
Just like a roller coaster, parenting can be full of highs, lows and unexpected surprises. From watching your toddler’s first steps to seeing them graduate high school, parenting can be one of life’s most rewarding experiences. And yet, the constant demands of raising children, combined with the pressures of work, money and life in general can leave many parents feeling overwhelmed and stressed out.
Taking measures to prevent unnecessary stress is crucial to keeping a sense of balance and perspective. A recent article in Psychology Today notes, parents’ anxiety and household stress have been linked to their children’s emotional problems, including behavior issues, aggression, anxiety and depression. While parents won’t always be able to stop their own stress from affecting their kids, there are ways to reduce stress and help parents cope with daily demands.
Take care of yourself
One of the most important things parents can do to manage stress is to take time for self-care. This means getting enough sleep, eating well, and exercising regularly. It’s easy to neglect self-care when you’re keeping up with after-school activities, but it’s essential to prioritize health. When parents take care of themselves, they’re better equipped to handle family demands.
It’s time to stop trying to be a perfect parent. Many parents can feel pressure from family, friends and social media to meet
every demand from breakfast to bedtime. This pressure can be particularly intense for new parents who may feel like they’re being constantly judged by others. It’s okay to let the housework wait. Being “perfect” should never be the goal. Focus on what you’re doing right.
Time pressure is a universal stressor, but there is no one-size-fits-all solution. Establishing a routine can help parents manage time more efficiently. Creating a schedule for each day allows parents to identify the most important tasks and tackle those first. This can help reduce stress and ensure certain responsibilities are met. Know that unexpected events can disrupt even the most carefully planned schedule. Be prepared to adjust plans as need and reprioritize what is most important.
Reach out to others
Seeking support from others can also be a helpful strategy for managing stress. Having someone to listen and provide guidance can help you manage feelings of stress and anxiety. Imagine sitting down with a close friend or family member and sharing your feelings of stress and overwhelm. They listen attentively and offer words of support and encouragement, leaving you feeling understood and less alone.
Seek professional help
Any parent who is worried about uncontrollable stressors, such as a divorce or sick family member, may consider seeking help from their doctor, a psychologist or a psychiatrist. If stress and anxiety are getting in the way of daily activities, it’s essential to pause and prioritize emotional well-being.
Impacts of interest rates on buying power
Just two years ago interest rates were at a record low. However, in the last 18 months as the Fed tries to control inflation, interest rates have increased dramatically. Without a reduction in home prices to offset increased interest rates, homebuyers will either have a larger home payment or need to adjust their home budget. Interest rates nearly doubled in the last year as
there was a period of time where a 2.5% interest rate was fairly common.
We wanted to share an example of how the increase in interest rates affects home purchasing power. At a 2.5% interest rate, you could have a $525,000 mortgage for a payment of about $2,075 a month. That same $525,000 loan at 6.25% interest will cost you 3,233 a month. An increase in your monthly payment of $1,158 or nearly 56%!
If we take a different look at this by
If you or your loved one needs emotional support or mental health care, we can help you find the behavioral health care option that fits your needs. Most of our health plans offer virtual mental health treatment options from providers such as AbleTo Therapy+, Doctor on Demand, Talkspace, Charlie Health and more. No referral is needed – you can visit the provider website and fill out their intake form for an appointment.
In addition to the broad range of traditional and virtual mental health providers, most Regence members have access to specialized behavioral health care for those seeking help for eating disorders (Equip) and obsessive-compulsive disorders (nOCD).
Regence also offers access to traditional and virtual substance use disorder treatment providers such as Boulder Care, Eleanor Health (WA only) and Hazelden Betty Ford. If your employer has an employee assistance program (EAP), your use of the program is confidential and at low or no cost.
We encourage you to visit these providers’ websites or call our customer service team at the number listed on your member ID card to verify which virtual care and traditional behavioral health options are available through your health plan.
Remember 988 – the new National Suicide & Crisis Lifeline. When people call, text, or chat 988, they will be connected to trained counselors who will listen, understand how their problems are affecting them, provide support, and connect them to resources if needed.
fixing the monthly payment amount, we can see the drastic change in buying power with changes in interest rates. If someone wanted to have a $2,400 monthly home payment (principal + interest), at 2.5% interest rates they could have a mortgage of just over $600,000. If the interest rate ticked up to just 3.5%, that drops the person’s buying power to about $525,000. If we look at interest rates at 6.25%, that takes the buying power down to $388,000.
Locating underground utility lines should be step one when planning outdoor projects and spring planting
With spring blossoms on the horizon, many are anxious to get outside for yard, garden and home projects. NW Natural reminds homeowners, contractors and landscapers to call 811 to locate underground utilities at least two business days ahead of starting any project that involves digging. Locate requests are accepted over the phone or online at Oregon811.com and Washington811. com.
“It’s incredibly important to contact 811 to have utility lines located before digging,” said Jaimie Lemke, NW Natural’s damage prevention supervisor. “It’s free, and it’s the law. It can also help prevent service interruption, thousands of dollars in damages, and the risk of injuries.”
Here in the Northwest, NW Natural responds to more than 500 dig-ins or
Oregon OSHA suspended all COVID-19 related rules on April 3, 2023
As of April 3, Oregon OSHA began the process to fully repeal COVIDrelated rules. While Oregon OSHA is suspending its COVID-19 rules, the agency recognizes that some employees may still feel vulnerable to contracting COVID-19. In response, the agency is retaining the ability for an employee to wear a facial covering, if they so choose, by temporarily amending the Personal Protective Equipment and Work Clothing rules. Employers are no longer responsible for providing facial coverings to their employees. However, if employers require their use, they must supply these items at no cost to employees. Oregon OSHA also added a note stating that employers are not required to allow voluntary use of respirators if an employee requests to use one in lieu of a face covering.
damages each year in its service territory, which are often caused by a third-party contractor or homeowner who didn’t call 811 before starting a project.
NW Natural has a team of employees dedicated to educating contractors in such damage prevention efforts, and has reduced damages by about 70% since 2006 when it began comprehensive efforts to address the issue. In 2021 NW Natural became the first Oregon-based utility to earn a Gold Shovel Stand Certification for its commitment to practicing and promoting safe excavation practices.
A new national public opinion survey of homeowners conducted by Common Ground Alliance revealed 74% of American homeowners plan to complete a home improvement project involving digging this year, and approximately 49.3 million Americans will take a risk by not contacting 811 beforehand.
The most popular planned projects cited
among surveyed homeowners who plan to dig include:
• Planting a tree or shrub: 74%
• Building a fence: 28%
• Building a deck or patio: 24%
• Installing a mailbox: 20%
• Something else: 8%
More important safety reminders:
• Report damages
immediately: If while digging, you accidentally hit a gas line, report it immediately by calling NW Natural’s 24-hour emergency line at 800-8823377, or 911. No damage is too small to report, even a small dent could weaken a natural gas line.
• Smell. Go. Let us know. If you smell natural gas, leave the area immediately, then call us at 800882-3377 and we will come over to check things out.
For more information, visit nwnatural. com/safety/call-before-you-dig.
At this year’s BuildRight, graduates from local pre-apprenticeship training programs and HBA member companies took part in a networking session, where graduates connected with a variety of companies in the industry.
