Builders Outlook 2019 Issue 7

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www.elpasobuilders.com

VOL 2019 ISSUE 7

BuildersOutlook PUBLISHED BY THE EL PASO ASSOCIATION OF BUILDERS: NATIONAL, STATE AND LOCAL HOME BUILDING INDUSTRY NEWS

Parade of Homes continues 50 year tradition Upper Valley living showcased in ten model homes By Ray Adauto

Plans for the 2019 Parade of Homes™ presented by Franklin Building Materials began as a search for available lots to build on. Most people don’t realize how much planning goes into the annual event and how sometimes there just isn’t any place to hold a Parade. “I think that most people think of the Parade as something easy to put together, but it requires two very important elements, the land and the builders,” said Delton Deal, the 2019 Chairman of the Parade of Homes™. “It is getting harder and harder to find a single site that will accommodate the number of builders required for a good show, and the willingness of the developers to support the event,” he continued. This year’s event will be held at Valley Creek Unit 3, and Hanson Development in the upper valley. When the site committee reviewed prospective locations there were some that just didn’t fit the requirements a show like the Parade has to have. “We look for a development where we can get at least ten lots next to each other or across from each other, but with the hot market we’re in that challenge was greater this year than ever before,” said Mark Dyer, Winton/Flair Homes and a Parade participant. When the Association put out a request for bids there were several entries but only Valley Creek Unit 3 was ready to go. The Parade of Homes™, a trademarked event, is located at the 5800 block of Juniper Creek, near the intersection of Upper Valley Road and Gomez Road. Hanson Development had the availability and willingness to put the show on their property. The participating builders are: Deal 2 Deal Custom Homes, ICON Custom Builder, Winton/Flair, Diamond Homes, Rosewood Design and Build, Pacifica Homes, BIC Homes, JER Custom Homes, and Palo Verde Homes. In participating with the Parade Franklin Building Materials jumped at the chance to be the Presenting Partner. “ We always support the Association, but rarely do we have the opportunity to showcase to the consumers like we can at a Parade of Homes™,” Cristina Sheldon President told the Outlook. “We look forward to a very successful show once again,” she concluded. The same sentiment was shared by the Community Partners who pay for the

Model Home for graphic purposes only

admission of certain work groups. “GECU Mortgage is sponsoring school and University employees, which means anyone that works for a private or public school or college can come in for free, compliments of GECU Mortgage,” said Adauto. The military sponsor, WestStar, will host active duty, retired or veterans. “We feel that our commitment to provide admission to the military is just a way to say thanks for your service,” said David Osborn, President of WestStar. Morrison Supply will host the medical employees. “We want to welcome all the professional health/medical employees no matter what job they do in the field,” said Sam Shallenberger. First Responders, fire, EMS, law enforcement at local, state, or federal levels are being sponsored by First Light Federal Credit Union. “At First Light FCU we want to welcome our own heroes to the Parade by paying their admission,” said Lorenzo Revelez of First Light FCU. For any of these groups all one has to do is show an employee ID or badge to get in compliments of their sponsor. The 2019 Parade of Homes™ begins on Saturday September 21 and runs through Sunday October 6. For additional information and pricing please visit: www.facebook.com/elpasoparadeofhomes/

PRSRT STD U.S. POSTAGE PAID EL PASO TX PERMIT NO. 429


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Special Industry Preview Party September 20, 2019

Located in Valley Creek 3 subdivision located at Upper Valley and Gomez Road by Hanson Development

The premiere open house event of the year showcasing new homes by: BIC Homes Deal 2 Deal Custom Homes Diamond Homes ICON Custom Home Builder JER Custom Homes Pacifica Homes Palo Verde Homes Rosewood Design & Build Winton Homes

Military Sponsor: WestStar Bank School Employees Sponsor: GECU Mortgage Medical Employee Sponsor: Morrison Supply First Responders Sponsor:

Call 778-5387 for more information www.facebook.com/elpasoparadeofhomes/

First Light Federal Credit Union


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President’sMessage

Comparing New Homes to Existing Homes

Sergio Cuartas President El Paso Association of Builders

First of all, let me say that every opinion is valid because people are free to think the way we see fit. In this article, I will discuss my personal opinion about new homes as compared to existing (used) homes. When I first came to the US, I used to drive a 1980 Toyota Corolla. I did not pay much for the car, but on average, I spent about $300 every month on repairs. One month it was the alternator, then the starter, then the battery, the wires, etc. For a few years, I continued to own used vehicles and I had the same issues. Now I only buy new cars requiring low maintenance with a good warranty and better safety, comfort, fuel efficiency, improved technology, etc. The cost of repairs plus the opportunity cost of loss of time and use is just too much for used vehicles. I feel the same way about purchasing used phones, computers, appliances, tires, and clothes. I understand some people truly love classic cars and styles such as Victorians, Revivals or

Colonials and pay a lot more for them than new ones. However, I feel grateful that I do not have to get used to avocado green appliances or have to scrub stained countertops or grease covered appliances any more (knock on wood). Used homes are usually located in centralized, well-established neighborhoods whose yards are larger and have mature trees and more character. They may also be historic. However, buying a new home gives you access to enjoying a care-fee space with the latest designs, life styles, comfort, efficiency, technology and safety among other benefits as described below. Design & Space: New homes come with a modern look, wide open floor plans where large kitchens flow into large family rooms, larger and brighter master bedrooms and bathrooms, higher ceilings with lots of natural light, and theater rooms among other features. New homes also feature larger walk in closets, larger garages, more bathrooms, more windows, more storage and greater average living square footage than used homes. Standard new homes come in with built-in dishwashers, microwaves, refrigerators and sometimes wine coolers, washers and dryers. Low maintenance: New homes have lower monthly ownership costs since they normally include 1 to 10 years of warranty in many components. Used homes, however, often require extensive and expensive maintenance, just like the experience of Tom Hanks’ character in the movie The Money Pit. Buyers could end up having to replace the water heater, the AC unit, the roof, the furnace, kitchen

appliances, doors, windows, flooring, or (God forbid), they may have to replace the plumbing, aluminum wiring or have to fix the foundation or resolve a termite, pest or mold problem Efficiency: New homes have lower utility bills because they incorporate cutting-edge high efficiency equipment, components and certifications including walls, ceilings, roofs, windows, doors, skylights, HVAC equipment and kitchen appliances. Constant building code upgrades require new homes to include high-performance, insulated, double pane windows, as compared to single-pane windows found in used homes built even as recently as 15 years ago.New homes have superior insulation (sometimes offering noise control), duct work and systems, which means that they are easier to cool and heat, and they provide better indoor air quality. Additionally, some new home builders offer manabloc home-run plumbing systems which save energy and water while providing comfort safety and convenience. Advanced technology: New homes today offer sophisticated wiring for smart, highspeed electronics, entertainment centers, communication equipment, programmable thermostats, security systems, smart keys, cameras, internet data, and USB charging outlets. Safety: New homes are required to include many more hard-wired (backed by battery power) smoke and carbon monoxide detectors than used homes built only a few years back. In addition, new homes feature modern fire-retardant materials such as carpeting and insulation. New building codes (which constantly

address consumer safety issues) require more electrical outlets, more arc-fault circuit breakers and GFCI outlets which make homes safer. Environmentally friendly coolants, cabinets, carpets and paints that use fewer volatile compounds allow for better air quality. On the flip side, used homes sometimes come with leadbased paint, tree roots that break sewer pipes, galvanized rusted pipes, and dangerous aluminum wiring among other potential health hazards. Financing and closing costs: Most builders will pay buyers’ closing costs and will help with finding a lender who could tailor the loan with points to lower the monthly payment or reduce the down payment. Some builders will allow certain upgrades and customizations to be included in the 30-year mortgage. Other benefits: New homes offer higher resale value, more community amenities (parks, schools, shopping, hiking or biking trails), the ability to choose colors and layouts, trendy updates, customization, and in some cities, better price per square foot than used homes. As with a new car, my favorite features of a new home are the fresh smell, look and especially the feel of brand new! As you can see, the benefits of new homes often outweigh those of used homes for many people. This is why new homes are a key part of many families’ lives. Thank you for supporting our association. Do business with a member and have a great month ahead!


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Executive’sMessage

PRINT & INTERNET PUBLISHING

Change in Building Fees

SOCIAL MEDIA & WEBSITE CONTENT MANAGEMENT

What lies in store for builders, consumers

Ray Adauto Executive Vice President El Paso Association of Builders

The changes that occurred at the Texas Legislature this year have impacted cities and builders everywhere. The requirement to find a new or return to the cost associated with a building permit for single family homes. The state passed a bill to require all building permit fees to be calculated on a per square foot basis. Many cities, like El Paso, had been calculating the fees based on the “cost of the structure” and taking the word of the contractor or builder as to what that was. It got expensive in some communities and in fact one major reason the law was changed is that some municipalities were using the building permit fees for other things, like roads and bridges. The Texas law states that a municipality can not charge more than the costs

associated with producing the permit, in other words they could not profit. By using monies from the permit to fund other things would be considered an illegal tax and that is clearly out of the allowable rules. When the law was passed it became in effect immediately, a dangerous and unnecessary move in our opinion. But it was and so therefore the municipalities had to scramble to begin charging the fee based on square footage immediately or as soon as they could. El Paso city leaders were told by their attorney’s that they had to do something NOW, and so they did. The change which affects the very core of costs of building was changed without consulting or notifying the industry, including us. They rushed into the budget a change that has since been passed without input from the industry, a tactic that I went before the City council to complain about. The excuse was that the city’s attorneys were pushing for an immediate move and that there was no time to get our input. That, my friends, is absolute garbage. Why? Because other cities around Texas moved their fees with consulting the industry, taking time not to rush into a bad decision, and to win both their bosses as well as the industry. In El Paso they passed an

.82¢ per square foot fee, while most other cities went to an average of .45¢. My argument was how could San Antonio, Corpus Christi, Amarillo or Lubbock be so much lower? Well the city continued to say its costs were correct and that the other cities would be making up their fee in other charges. Our Government Relations committee dug in and worked with the city, and our outcome, not exactly the best but as good as we could get, was a systematic variable rate for the fees. It’s not perfect but it got overall support from the different committee members and leadership. We still have the issue of what the fees must be for any builder using a third-party company, those companies that do the work for the city permit and inspections but are private sector. Over the past 12 plus years the City of El Paso has charged full fees, with a small discount, for anyone using third party. We did ask for that topic to be included in our talks about fees. We will continue to work on that part in the near future. We will be asking member support for any initiative or action that may arise from those discussions because high fees translate to higher cost and potentially lost consumers. We hope to chalk up another win soon. Stay tuned.

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NationalOutlook New Home Sales Rebound, Affordability Concerns Persist Sales of newly built, single-family homes increased 7 percent to a seasonally adjusted annual rate of 646,000 units in June from a downwardly revised reading in May, according to newly released data by the U.S. Department of Housing and Urban Development and the U.S. Census Bureau. On a year-to-date basis, new home sales for 2019 are 2.2 percent higher than the same period in 2018. "Though there is a clear demand for new homes, builders continue to wrestle with affordability headwinds, including shortages of buildable lots and skilled labor, that are constraining sales,” said Greg Ugalde, chairman of the National Association of Home Builders (NAHB) and a home builder and developer from Torrington, Conn. “The June figures are in line with our forecast predicting a modest 3.5 percent growth in new home sales for 2019, due largely to affordability concerns,” said Danushka Nanayakkara-Skillington, AVP for Forecasting and Analysis at NAHB. 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 June reading of 646,000 units is the number of homes that would sell if this pace continued for the next 12 months. The inventory of new homes for sale was 338,000 in June, representing a 6.3 months’ supply. The median sales price was $310,400, nearly identical to the $310,500 median price from a year earlier. Regionally, and on a year-over-year basis, new home sales are 19.4 percent higher in the West and 9.5 higher in the South. Sales are down 50 percent in the Northeast and 17.6 percent in the Midwest. Single-Family Starts Increase in June Single-family gains helped offset a drop in multifamily production as total housing starts edged 0.9 percent lower in June to a seasonally adjusted annual rate of 1.25 million units, according to a report from the U.S. Housing and Urban Development and Commerce Department. The June reading of 1.25 million starts is the number of housing units builders would begin if they kept this pace for the next 12 months. Within this overall number, single-family starts increased 3.5 percent to 847,000 units. The multifamily sector, which includes apartment buildings and condos, fell 9.2 percent to a 406,000 pace. “The monthly pick up from May to June in single-family starts is in line with the slight rise in our latest builder confidence survey, as demand remains solid due to a healthy job market,” said Greg Ugalde, chairman of the National Association of Home Builders (NAHB) and a home builder and developer from Torrington, Conn. “The relatively flat housing starts data in June is due to a decline in multifamily production, which still remains somewhat elevated due to affordability concerns in the for-sale market,” said NAHB Chief Economist Robert Dietz. “The Census data show that the only region showing single-family construction gains for the first half of 2019 is the South, where housing is generally more affordable relative to incomes.” Regionally, combined single-family and multifamily starts in June rose 31.3 percent in the Northeast, and 27.1 percent in the Midwest. Starts declined 9.2 percent in the South and 4.9 percent in the West. Overall permits, which are a harbinger of future housing production, fell 6.1 percent to a 1.22 million unit annualized rate in June. Single-family permits edged 0.4 percent higher to 813,000 while multifamily permits fell 16.8 percent to 407,000. Looking at regional permit data, permits rose 21.9 percent in the Northeast. Permits fell 10.4 percent in the South, 7.9 percent in the West and 0.6 percent in the Midwest.

TE X XA S ASSOCIATION O OF

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2 0 1 9 - 2 0 2 1 TA B C O N T R A C T S T E X A S A S S O C I AT I O N O F B U I L D E R S I S H E R E TO H E L P P R OT E C T YO U ! Updated TA AB Contracts will reflect the most recent legislative changes affecting the homebuilding industr y in Texas. TAB A ’s current Texas Residential Construction Cont o racts Package subscription will expire August 31, 2019 9.

www.TexasBuilders.orrg


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ElPasoOutlook El Paso Builder Market Break-Down By the El Paso Association of Builders Market Intelligence Committee

In an ongoing effort to provide member value for the El Paso association of Builders, the Market Intelligence Committee has been tasked with compiling valuable market insight for our members. This is the 2nd article of a monthly reoccurring market breakdown to be featured in the Builders Outlook. Below you will find detailed market information relevant to those in the home building industry. Government Affairs Comittee.

BECOME AN EPAB MEMBER TODAY: • INDUSTRY ADVOCACY • MEMBER DISCOUNTS • NETWORKING • HEALTH PLANS • RETIREMENT PLANS • BUSINESS DEVELOPMENT

Call 778-5387 today!

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FinancialOutlook As Trade Uncertainty Drags on Growth, Strong Consumer Demand Backstops Slowing U.S. Economy Housing Remains a Bright Spot, But Supply and Affordability Problems Persist By Matthew Classick Fannie Mae

WASHINGTON, DC – The Fannie Mae (FNMA/OTCQB) Economic and Strategic Research (ESR) Group predicts full-year 2019 and 2020 real GDP growth to slow to 2.1 percent and 1.6 percent, respectively, despite expectations that the Federal Reserve will significantly ease monetary policy through the end of the year. An inverted yield curve, weak business investment, waning consumer and business sentiment, and ongoing trade and global growth concerns contributed to the ESR Group’s updated prediction that the Fed

will cut interest rates by 25 basis points in July, followed by another 25 basis points in December. Consumer spending, buoyed by a strong labor market and a recent rebound in equity valuation, remains the primary driver of domestic growth and is now expected to come in stronger in 2019 than previously forecast, helping to offset growing weakness in business investment and government expenditures. Housing continues to benefit from the lower mortgage rate environment, according to the ESR Group. Total origination volume is expected to improve 7 percent in 2019 on the back

of a surge in refinances and moderate house price growth. Refinance activity is expected to represent 32 percent of originations in 2019, up from 29 percent in 2018 and more than 2 percentage points higher than was forecast last month. While new home sales dipped in May, existing home sales rose, and both are expected to pick up through the rest of the year as inventories improve. Homebuyer sentiment has also improved, with the Home Purchase Sentiment Index® re-approaching its survey high.\ “As the current U.S. expansion celebrates its tenth anniversary, it does so under an economic backdrop of growing domestic and global uncertainty – and slowing growth,” said Fannie Mae Senior Vice President and Chief Economist Doug Duncan. “The heightened uncertainty, stemming in part from the seemingly intractable trade dispute between the U.S. and China, appears to have reduced business’ investment incentive, which is now poised to be a material drag on growth over the forecast period. With consumer spending the principal remaining GDP growth driver, in addition to the recent re-inversion of the yield curve

suggesting that market participants expect economic activity to slow further, we believe that the Fed will take a more accommodative posture beginning with a rate cut at the July meeting of the FOMC.” “Housing remains a net positive to the economy, as the industry anticipates growth fueled by strong household balance sheets, low mortgage rates, and a surge in refinance activity,” Duncan continued. “However, the housing industry still doesn’t have an answer for the related problems of low supply and affordability. While home price appreciation has largely moderated – particularly compared to the recent past – and demand for modestly priced homes has proven strong and resilient, the lack of affordable inventory continues to cap sales and limit the potential pool of would-be homeowners.” Opinions, analyses, estimates, forecasts, and other views of Fannie Mae's Economic & Strategic Research (ESR) Group included in these materials should not be construed as indicating Fannie Mae's business prospects or expected results, are based on a number of assumptions, and are subject to change without notice. How this information affects Fannie Mae will depend on many factors. Although the ESR Group bases its opinions, analyses, estimates, forecasts, and other views on information it considers reliable, it does not guarantee that the information provided in these materials is accurate, current, or suitable for any particular purpose. Changes in the assumptions or the information underlying these views could produce materially different results. The analyses, opinions, estimates, forecasts, and other views published by the ESR Group represent the views of that group as of the date indicated and do not necessarily represent the views of Fannie Mae or its management.


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The ins-and-outs of your business transactions are especially sensitive. Our clients trust us when confidentiality is key. Keep it confidential and call us at (915) 225-8200


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EPABMembers&Services Builder-DeveloperMembers BUILDER & DEVELOPERS Bain Construction Scott Bain 915-852-8620 Althon Investments, LLC Jose Luis Martin (915) 532-3100 Bella Vista Custom Homes, Inc. Edgar Garcia 915-433-4854 BIC Homes Antonio Cervantes 915-855-8236 Blue Sage Homes, LLC Jaime Gonzalez 915-787-9175 Blue Star Construction Carlos Villasana 915-217-6003 Carefree Homes Richard Aguilar 915-590-8511 Casas De Leon, LLC Nick Bombach 915-584-5050 Cisco Homes LLC Francisco Arroyos III 915-633-8002 Classic American Home Priscilla Hernandez 915-593-7707 Crown Heritage Homes Lydia Mlouhi 915-252-8193 CS Custom Homes Steve Gonzalez 915-346-1107 Cullers & Caldwell Builders John Cullers 915-584-5600

Cullers Homes Jason R. Cullers 915-584-5600 D B Innovations LLC Dan Berry (915) 283-7558 Dawco Home Builders Walter O. Lujan 915-587-5267 Deal 2 Deal Custom Homes Delton Deal 915-217-9233 Del Rio Engineering, Inc. Sal Masoud 915-833-2400 Diamond Homes, LLC Valerie Baquera 915-449-9044 E. Valencia Land Development LLC Eddie Valencia 915-855-0622 Eclat Homes & Designs Veronica Guerra (915) 630-6729 Edward's Homes, Inc. Eduardo Fernandez 915-849-8819 EPT Bella Custom Dream Homes Leti & Javier Navarrete 915-779-4553 EPT Land Communities David Bogas 915-838-8100 Everest Homes Edmundo Dena, Jr. 915-855-8633 Fortune Custom Homes Javier Andrade 915-856-7795 Gaddy Construction Charles Gaddy 915-581-3966

AssociateMembers 3RD PARTY INSPECTIONS Vision Consultants, Inc. Kelly Sorenson 915-227-2100 ALARM SYSTEMS ADT Security Veronica Vazquez 915‐258‐3870 APPLIANCE DISTRIBUTORS Builders Source Appliance Gallery Sandra Lucero 915-775-1000 Morrison Supply Sam Shallenberger 915-778-3086 APPLIANCES GE Appliances Christine R. Villanueva 806-252-3683 Whirlpool Gwen Walker 505-220-3915 ASPHALT PAVING Alpha Asphalt Gabriel Chavez 915-252-6244 ASSOCIATION El Paso Mortgage Bankers Association Brenda Aguirre 915 204-3867 Greater El Paso Assoc. of Realtors Jason Sanchez 915-779-3521 Greater El Paso Chamber of Commerce David Michael Jerome 915-534-0522 ATTORNEYS Firth, Johnston, Bunn & Kerr Jay Kerr; Victor Firth 915-532-7500 AUDIO El Paso Audio Video by Design Joe Gutierrez 915-346-9118

BANKS/BANKING SERVICES Bank of Texas Ray Owen 915-313-6720 City Bank Texas Bob Kotarski 915-833-0267 1 Citizens Loan Center Jim Easley 915-275-0715 First National 1870 Ernesto Avila 915-881-6702 Vantage Bank Josie Cantu 915-594-3404 Western Heritage Bank Kathy Carrillo 915-782-2400 WestStar Bank David Osborn 915-747-1640 BATHROOM RENOVATIONS Rebath of El Paso/Las Cruces Lisa Walling 915-633-8101

BUILDER REBATES Home Sphere, LLC Chris Hoag 214-425-9482 BUILDING MATERIALS BMC Select David Quintana 915-218-5816 Boise Cascade Mike Flores 915-525-6037 DWS Building Supply Sabrina Voorhies 915-351-7300

Pacifica Homes, Inc Juan Jose Vasquez 915-857-1855 Padilla Homes Misael Navarrete (915) 833-3839 Palo Verde Homes Edgar Montiel 915-584-9090 Pointe Homes Carlos Villalobos 915-790-1515 Porter Homes Albert Porter 915-833-3597 R.C. Baeza & Associates Robert C. Baeza 915-857-1818 R.E. Welch Contractor Gordon Welch 915-778-9977 Rassette Homes, Inc. Donald Rassette 915-585-3330 Rio USA Fredduy Klayel 915-526-2885 Rosewood Design and Build Brianna Barnes (915) 730-4747 Santana Custom Homes Fernando Santana 915-694-4256 Southwest Land Development Services Doug Schwartz 915-592-0290 Spanish Oaks Custom Homes Juan R. Saenz 432-238-3090 The Heritage Group David Bingham

915-598-6606 Trejo Construction Co Juan Trejo 915-637-5193 Tropicana Building Corp. Bobby Bowling IV 915-821-3550 Tropicana Development Greg Bowling 915-757-1802 Tropicana Homes Randy Bowling 915-821-3550 Tropicana Properties Demetrio Jimenez 915-755-9113 Uptown Homes Residential, Inc. Francisco Baquera 915-240-4996 Vallance Construction LLC Oswaldo Prieto (915) 245-8580 Villagi Homes, LLC Kristi Eddings 915-449-8570 Will Harvey Development Will S. Harvey 915-584-8242 Winton/Flair/Accent Homes Herschel Stringfield 915-584-8629 Zia Homes of El Paso, LLC Preston Brown 915-490-9525

Appears Alphabetically by Service or Product

AUTO HOMEOWNER INSURANCE TAB endorsed State Auto (Association Insurance Solutions) Russ Sartain, Danner Bethel 512-203-2910

BRICK Acme Brick Company Brent Smith 915-859-9171

Guel Construction Rudy Guel 915-595-0979 Hakes Brothers LLC Chris Hakes 575-373-1120 Hanson Asset Management, LP Russell Hanson 915-842-0111 Homes by Design Leslie Driggers Hoard 915-525-4765 Hunt Communities, LLC Kathy Parry 915-298-0490 ICON Custom Builder, LLC. Carlos Garcia 915-859-3713 Industrial Realty Group Incorporated Brent D. Harris 915-877-4300 JER Custom Homes, LLC Jorge E. Rodriguez 915-929-8420 Lloyd Hamilton Contruction Lloyd Hamilton, III 915-588-8558 LMJ Construction Co., LLC Mike Lopez 915-855-2323 Loyalty Homes Gustavo Loy 915-471-1894 M A Builders & Design, LLC Mustafa Ali 915-587-9566 Maravilla Homes Victor Robles 915-328-8599 Metro Homes, Inc. Judith Arrunada, Fernando Torres 915-538-2497

E.F. Building Materials, Inc Efren Fraire 915-593-1301 El Paso Building Materials Ken Wade 915-549-1170 Franklin Building Materials Cristina Sheldon 915-855-3859 Simpson Strong-Tie Company, Inc. Ken Donham 505-991-4719 Lowes Home Improvement Johnny Rodriguez 915-755-9155 McCoy's Building Supplies Doug Danner 915-751-8261 L & P Building Supply Denise McConnell 575-527-8000 Foxworth Galbraith Lumber Dan Villarreal 915-779-7777 CABINET MANUFACTURING J. B. Laminates Gina Rodriguez 915-886-5510 CABINETS Cabinet Masters Mike Robles 915-256-5012 David Hernandez Cabinets David Hernandez 915-342-7847 Eagle Custom Cabinets Juan Benabidez 915-820-8532 Bassett Woodworks Danny Murillo 915-855-2184 CIVIL ENGINEERS Moreno Cardenas Inc. Roberto Moreno 915-532-2091 CONCRETE Agustin Favela Concrete Agustin Favela 915-822-0375 Oropeza Concrete

Angel Oropeza 915-873-7391 CONCRETE & LANDSCAPING MATERIAL GCC Sun City Materials, LLC Antonio “Tony “ Chavez 915-565-4681 Jobe Materials, LP Charlie Tellez 915-298-9900 Mini Concrete Materials Joe Soto 915-852-4468 MTI Ready Mix, Inc. Tony Mullen 915-859-5767 CONCRETE ACCESSORIES & MASONRY-LANDSCAPE Border Construction Specialties Ricardo Yvellez 915-566-1688 CONCRETE CONTRACTOR Felipe Rocha Construction Agustin Favela Concrete Oropeza Concrete CONCRETE WORK -CURB Big A Construction Thelma Vasquez 915-838-6611 CONCRETE WORK-POST TENSION J & H Concrete & Post Tension Jorge Herrera ‘ 915-581-3103 CONSULTING, COACHING AND TRAINING Senpai Training and Development Leonardo Corral 915-303-0743 CONSULTING/ENGINEERING LOI Engineers Bernardino Olague 915-781-1532 915-871-1190 CORPORTATE RETIREMENT PLANS Bukaty Financial Companies Group Ruth Rivera 512-796-1205

CPA Beasley, Mitchell & Co., LLP Brad Beasley 575-528-6700 James L. Ellis, CPA, PC Jim Ellis 915-593-7070 915-598-8631 Pate & Appleby, LLP Richard De Santos 915-532-8000 SBNG, P.C. Tyler Smith 915-544-6770 Randall Smith, CPA Randall Smith 915-225-5200 915-533-8266 CREDIT UNION First Light Federal Credit Union Lorenzo Revelez 915-225-0581 GECU- Greater El Paso Credit Union Danny Galindo 915-774-4733 TFCU Yolie Melendez-Estrada 915-843-8328 CUSTOM PADS, LANDSCAPING, CUSTOM AQUARIUM, BUBBLE WALLS The Dorian Group/Ocean Gallery USA Miguel Angel Mercado 915-778-5111 DESIGN & BUILD EZE-R-DESIGNS Leticia Mata 915-329-5102 DISPOSAL HAULING Demcon Disposal Management, LLC Maria Elena (Nena) Gomez 915-577-9477


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DOOR SHOP/ MILLWORK SUPPLIER Trim Team 915-856-0791

Sun City International Doors Jorge Carmona 915-591-1423 915-222-8607

DOORS Masonite International Jesse Carlson/ Bob Westby 480-271-5553 Franklin Door and Trim Jesse C. Brown 940-210-0450

GRADING Juan Carlos Perez Grading Juan Carlos Perez 915-252-4036

DRY WALL Barraza Drywall Corp. Ignacio Barraza 915-502-1732 Jose Moreno Dry Wall Jose Moreno 915-922-8972 S & J Drywall, LLC Yair Jalil/ Sergio Jalil 915-694-7024

GRANITE COUNTERTOPS Magicstone Marco Gomez 915-843-2500 Quality Granite Hector Porras 915-892-1340 GRANITE/QUARTZ COUNTERTOPS Stone City Rocks Chris Baca 915-246-7614

DUMPSTER RENTAL/SPRAY FOAM INSULATION 915 Siteworks, LLC Hugo Jasso 915-859-3713

GYM Forge Factory Strength & Conditioning Edmundo Portillo 915-549-9145

ELECTRICAL CONTRACTORS Allbrite Electrical Carlos Nunez 915-630-9432 Castillo Electric Jose Del Val 915-877-3335 Elizardo Garcia Electric Elizardo Garcia 915-333-9675 Haskins Electric Charles B. Haskins, Jr. 915-629-9196 IES Residential Joshua Garnica 915-356-5644 Saldivar Electric, Inc. Martin A. Saldivar 915-778-7085

HOME FURNISHINGS Copenhagen Imports Flemming Carlsen 915-581-8897 915-584-7769

ENERGY STAR RATER Senercon Javier Ruiz 915-892-0547. ENGINEERING CEA Engineering Group Jorge L. Azcarate 915-544-5232. Conde, Inc. Conrad Conde 915-592-0283. TRE & Associates Linda Troncoso 915-852-9093. EVENT VENUE/CATERING 150 Sunset Danny Heredia 915-585-0801 EXTERIOR FOIL SHEATHING Powerfoam Insulation Arnie Pedersen 972-299-5556. EXTERIOR PATIO PRODUCTS Modern Exteriors Hector Macias 915-857-5126 FIREPLACES/INSTALLATION Jack White Building Specialties Claudia Lardizabal 915-855-8630 FLOORING Bordertown Carpets Brian M. Abraham 915-522-8993 Carpet Warehouse Erez Belkin 915-565-7847 Edgar's Flooring Edgar Enriquez 915-626-4865 FOAM INSULATION New Era Foam George Tollen 915-861-6683 FOUNDATION REPAIR & STABILIZATION G & G Enterprises Gen. Contractor Juan F. Garcia 915-726-8995 FRAMING Segura Framing Erika Segura 915-407-9400 Sergio Herrera Framing Sergio Herrera 915-328-6024 GARAGE DOORS Garage Doors and More Miguel Moran 915-831-9828

HOME WARRANTY 2-10 Home Buyers Warranty Leslie Schey 915-242-7699. 303-306-2222 Centricity Brent R. Morgan 800-749-0381X4790 Home of Texas Amanda Eason 210-540-7891 StrucSure Home Warranty Scott Whisenant 210-232-3947 HVAC 4 Tech A/C Service Enrique Hernandez 915-519-7239 A C Refrigeration, LLC Angel Cabrera 915-820-8503 Go Pro Refrigeration Humberto Diaz Parra's A/C and Heating Service Aureliano Parra 915-401-9667 Polar Mechanical LLC Francisco Amezquita 915-694-8313 Startech Heating and Air Conditioning Luis Procter 915-757-1982 Wolf Air Arturo Alcantar 915-694-8214 HVAC EQUIPMENT Lennox Industries Brandon Walker 818-932-5063 Goodman Mfg. Jorge Guajardo 915-219-3896 HVAC SALES/INSTALLATION Belmont's Air Conditioning, Inc. Rafael Belmonte 915-778-7399 HVAC Supplies Hercules Industries John Chaney 915-778-9377 HVAC/ROOFING Diaz Services, Inc. Emmanuel Diaz 915-822-0039 I T & WEB DESIGN Cognent, Inc. Martin Paredes 407-809-4417. INSULATION New Start Insulation Jose Carreon 915-256-2371 INSURANCE Compareowl Insurance Agency Victoria Dominguez 915-598-3500 Farmers Ins. Mercedes Ruiz Agency Mercedes Ruiz 915-860-1000. Great American Insurance Group Julie Tomlinson 513-412-4921 Joe Bernal Ins. & Financial Services, Inc. Joe M. Bernal 915-542-0900.

INSURANCE - RISK MANAGEMENT HUB International Luis Rosas 915-206-6023 INSURANCE AND BONDING C. D. Lee/Britton Insurance & Bonding Anthony Landavazo/Lisa Daniels 915-595-3393 IRON WORK PRODUCTS Area Iron & Steel Works, Inc. Fred L. Edmonston Jr. 915-833-9494 De la Torre Ironworks Alfredo De La Torre 915-328-4933 JANITORIAL SERVICES Amelia's Janitorial Services Amelia Gomez 915-867-8513 Service Master Commercial Heidi Avedician 915-525-5535 LEGAL SERVICES/TITLE COMPANY David J. Ellis Fee Office for Sierra Title David J. Ellis 915-566-2666. 915-566-0111 LIGHTING City Lights Thomas Brown 915-533-6045. 915-533-6096 Designer's Mart Valerie Edmiston 915-778-9223 LIGHTING & BATH FIXTURES Ferguson Enterprises Inc. Albert Holguin 915-231-5836. 915-231-9357 LOW VOLTAGE WIRING Prewire of El Paso, Inc. Steven Drury 915-598-4937 LUMBER 84 Lumber Ernie Chavez 915-584-8447 MIRROR, SHOWER DOOR, STOREFRONT,AUTOMATIC DOORS & CURTAIN WALLS Performance Glass & Aluminum Hector Hernandez 915-592-5583 MOLDING & LUMBER Adams Moulding & Lumber Tom Swahlen 915-584-1440 MORTGAGE COMPANIES Cadence Lending Group Carolyn De Leon 915-779-1633 915-706-2649 New American Funding Tania Guzman Campaign 757-831-7322. Patriot Mortgage Randy Bowling 915-757-9500 Rocky Mountain Mortgage Company Dean Inniss 915-593-3111 Supreme Lending Lisa Wren 601-549-6768 Commerce Mortgage Stephen Sepulveda, Gilbert Pedregon 915-209-3189 NEWSPAPER El Paso Times Sal Hernandez, Justin Riley 915-546-6244. 915-546-6406 PAINT DISTRIBUTOR Dunn-Edwards Paints Nathan Gordon 915-855-7535 915-855-8168 Sherwin Williams Paint Cruz Lopez 915-532-6921. PAINTING A Plus Remodeling & Repairs Martin Arroyos 915-474-6548 J. C. Balcorta Painting Cruz Balcorta 915-731-4565 Ramon Romero Painting Ramon Romero 915-487-0465 Rey Construction Manuel Reyes 915-252-2238 X Construction Emmanuel Chavarria 915-820-3392

VMP Painting Victor Prieto 915-407-6231 PLASTERING J. F. Plastering Juan Florez 915-474-7137 Alvarado Plastering & Stucco, LLC Jorge Enrique Alvarado 915-691-3870 PLUMBING Desert Quest Plumbing Hector Gonzalez 915-253-4908 Q Martins Plumbing Jose Martinez 915-240-5218. PLUMBING & IRRIGATION SUPPLIES-DISTRIBUTORS Baron Supply David Trammell 915-886-3697 Moen Frank Graf 505-238-2731 Sun City Winnelson Dean Moore 915-532-1600 El Paso Winnelson Rene Goldfien 915-778-4640. W.W. Sales Eric Hoppes 505-463-8204 PORTABLE RESTROOMS Sarabias Blue Sanitation Monica Brown 915-544-9022. 915-533-3108 Porta- Jons POST TENSION Post Tension Steel Dennis Moore 915-474-0180. 915-532-0119 PREWIRE Southwestern Prewire Joe Trejo 915-549-2611 PUBLICATIONS Homes of El Paso Riley Stephens 915-585-1000 Su Casa Magazine Edwin Rosario 915-355-7190

11

Felix Vizarreta 915-691-0532 Hernandez Roofing Concepcion Hernandez 915-222-1797 Imperial Construction Alexandro Garcia 915-222-3838 RGR Roofing, LLC Mario Rodriguez 915-329-1001 USA General Contractors Javier Olmos 915-633-3339 ROOFING PRODUCTS ABC Supply Co., Inc. Larry Eck 915-533-0645 Eagle Roofing Products Scott Aguilar 928-220-3899. SANITATION & FENCE United Site Services Ramon Armendariz 915-330-2318 SELF STORAGE Remcon Self Storage Will Harvey 915-833-2399. SHUTTERS Loyas Shutters Alfredo Loya 915-999-7799 SOIL TESTING Soil Mechanics Lorenza Escareno 915-433-2720 SOLAR PANELS Border Solar Javier Ruiz 915-613-4168 Solar Smart Living Larry Perea 915-400-2995 STONE VENEER Value Stone Isabel Chacon 915-474-4289 STORMWATER/SAFETY ESS Environmental and Safety Solutions Jose L. Garcia Ramirez 915-775-1171 915-775-1174

PUBLISHING SERVICES Snappy Publishing, LLC Ted Escobedo 915-820-2800

STUCCO EDLR Platering Eduardo De La Rosa 915-203-8979 JFM Enterprises, Inc. Jaime Flores 915-255-9945

READY MIX MTI Ready Mix, Inc. Tony Mullen 915-859-5767

SURVEYING ENGINEERING Barragan & Associates Benito Barragan 915-591-5709

REAL ESTATE SERVICES ERA Sellers & Buyers Karla Rayos 915-585-2222 Team Juan Uribe, LLC Juan Uribe 915-479-5151. Home Pros Real Estate Group Penny Moore. 915-585-8806 Legacy Real Estate Services Patrick Tuttle 915-231-9994. Century 21 The Edge Scott Kesner 915-772-0553 Harris Real Estate Group Lane Harris 915-443-8423 Hector De La Canal Real Estate Group Hector De. La Canal 915-630-0686 Keller Williams Mo Goodarzi, REALTOT 915-549-3027 Majestic Realtors Patti Musshorn 915-779-5740 Minerva Al-Tabbaa Realtor Minerva Al-Tabbaa 915-740-3463 Bella Vista Realty Grisel Ortega 915-491-2056

TESTING & ENGINEERING CQC Testing and Engineering,LLC Jaime Rojas 915-771-7766

RES. & COMM BUILDING PRODUCTS Massey Johnson Josie Ledesma 915-487-3359 ROOFING H P Roofing & Construction Heriberto Prieto 915-727-2461 MAK Roofing & Construction

TILE & NATURAL STONE Interceramic Tile & Stone Gallery David Holguin 915-593-7357 TILE INSTALLATION CMF Carlos Munoz 915-633-3517 Miguel Sanchez Cano 915-226-2148 TITLE & ESCROW  COMPANIES Del Sol Title Co. Hector Phillips 915-838-8000 Lone Star Title Co. of El Paso Aaron Rich 915-545-2222 Sierra Title Company Angelique Roman, Marielsa Pulido 915-544-3322 Stewart Title of El Paso Cindy Bilbe 915-225-8200 WestStar Title Rachel Valles 915-849-5537 Texas Title Company Steve Raney 915-593-3400

TITLE INSURANCE Prosperus Title & Escrow Alexandra Jade Hedrick 915-288-2462

TOTAL OFFICE SOLUTION SOURCE Spectrum Technologies Miled Daou 915-781-2000. 915-781-2288 TRUSS El Paso Truss Luis Mendiola 915-751-0025 Franklin Building Materials, Cristina Sheldon, 915-855-3859 UTILITY Texas Gas Services Maria Ortiz 915-680-7288 VEHICLE DEALERSHIP Rudolph Chevrolet Mike Ruffin 915-544-4321 WASTE DISPOSAL El Paso Disposal Irma Parsons 915-772-7495 WATER SOFTENERS El Paso Water Softeners Rebecca Estrada 915-307-9183 WATER REMOVAL Jimmy Garza Emergency Water Removal Jimmy Garza 915-562-1123 WINDOW TREATMENTS Southwest Décor El Paso Corporation Chris Matthews 915-594-9240 Marlo Building Services Roberto Martinez 915-832-1121 915-757-0774 WINDOWS Pella Windows Jason Bates 915-833-3066 Sun West Windows and Glass Ernie Hernandez 915-383-2201 WROUGHT IRON ENTRIWAYS The Iron Snail Inc. David Zuniga 915-204-7215 SUBCONTRACTOR Rito Magallanes 915-228-5968 Serrano's Construction Juan Serrano 915-288-0398


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2019Issue7

El Paso Disposal

772-7495

For All Your Electrical Needs Residential Specialists Tract Homes • Custom Homes

NAHB: President Trump Signs Executive Order on Housing Affordability In a key victory for NAHB, President Trump today put housing at the forefront of the national debate by signing an executive order that cites the need to cut costly regulations that are hampering the production of more affordable housing in America. NAHB Chairman Greg Ugalde attended the White House signing ceremony and provides further analysis on what the executive order means for our members in the video at the bottom of this blog post. Ugalde also issued the following official statement: “NAHB applauds President Trump for making housing a top national priority. With housing affordability near a 10-year low, the president’s executive order on this critical issue underscores that the White House is ready to take a leading role to help resolve the nation’s affordability crisis. “Given that homeownership historically has been part of the American dream and a primary source of wealth for most American households, the need to tackle ongoing affordability concerns is especially urgent. As we celebrate National Homeownership Month, we must ensure that homeownership remains in reach for younger and future generations. This can be achieved by providing access to affordable rental housing and growing the inventory of for-sale housing, particularly at the entry-level. “NAHB analysis has found that regulations account for nearly 25% of the price of building a single-family home and more than 30% of the cost of a typical multifamily development. We are pleased that the president’s executive order calls for the formation of a White House Council chaired by HUD Secretary Ben Carson that will seek to reduce regulatory barriers that are making housing more costly.” More Progress on the Affordability Front Addressing the housing affordability crisis is the association’s top priority. NAHB has met with top White House officials and leaders of Congress numerous times to discuss strategies to resolve supply-side constraints that are acting as barriers to increase the production of quality, affordable housing. During the first week in June, NAHB and HUD cosponsored the Innovative Housing Showcase that took place on the National Mall. The event provided a great opportunity to shine a spotlight on the nation’s housing affordability crisis and to seek meaningful solutions. Industry and policy experts – including Cabinet secretaries, members of Congress and NAHB leaders – participated in several panels with the goal to seek innovative solutions to make housing more affordable. Exhibitors also featured model homes and new technologies designed to increase affordability. And on June 5, nearly 700 builders went to Capitol Hill and held 300 individual meetings with their representatives and senators as part of NAHB’s 2019 Legislative Conference. Builders delivered an important

message to members of Congress: There is an urgent need to implement practical solutions to ease the nation’s affordability woes and enable more families to achieve homeownership or have access to affordable rental housing. NAHB will continue to work with the White House, HUD Secretary Carson and Congress to achieve these goals.

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2019Issue7

BuildersOutlook

13

MembershipOutlook Upcoming Events AUGUST 6‐9 TAB SUNBELT SHOW GAYLORD TEXAS GRAPEVINE, TEXAS

AUGUST 15 BOARD MEETING AT 11:00 GENERAL MEETING AT 12:00 EL PASO CLUB

Soda Sponsor EPT BELLA CUSTOM DREAM HOMES

New Members ADT SECURITY CONTACT: VERONICA VAZQUEZ 12305 MERCANTILE AVE., SUITE F EL PASO, TX 79928 915‐258‐3870

Congratultions Justin And Victoria on the birth of their daughter Nicole Marie Hahn, June 26, 2019

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What to Look for in a Title Agency Whether you are closing on a home or are working on a legal case that involves a property, title agencies play a huge role in obtaining the right documents for these situations. Finding the right title agency — with the right people who are leading it and closing the transactions — is crucial because it will determine how smoothly the process goes. Title agencies can help you obtain a variety of different documents, such as titles, deeds, title insurance and more. These documents are essential to realtors who close on homes regularly. Attorneys may also need to work with a title agency when they have a case where a client may be inheriting a property or may be fighting to obtain the rights to own a property. “The role of title agents and agencies is to be an unbiased third party or fiduciary. In this role, everyone involved in the transaction is held accountable by us to do their part before the transaction can be closed, funded and recorded. This action protects everyone involved. Clients should look for willingness to get the job done, follow-through, engaging attitudes, integrity, trustworthiness, knowledge, flexible hours, offices that offer a wonderful atmosphere and high-tech tools,� says Janette Coon, president of Prosperus Title & Escrow LLC. Speak with several title agencies to see what agency will meet your needs. Whether you are a realtor or an attorney, find an agency that is efficient, trustworthy and safe. Make sure that you feel confident with the people that you are working with. Do not be afraid to ask questions. The more questions you ask, the more confident you will feel during the process of closing on your home or business.

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HOME O F

T E X A S

800.445.8173 ext. 2149 sales@homeoftexas.com • www.homeoftexas.com


www.elpasobuilders.com

VOL 2019 ISSUE 7

BuildersOutlook

PUBLISHED BY THE EL PASO ASSOCIATION OF BUILDERS: NATIONAL, STATE AND LOCAL HOME BUILDING INDUSTRY NEWS

6046 Surety Dr. El Paso, TX 79905 915-778-5387 • www.elpasobuilders.com

■ EXECUTIVE OFFICERS PRESIDENT Sergio Cuartas VICE PRESIDENT Edgar Garcia SECRETARY Sal Masoud EXECUTIVE VICE PRESIDENT Ray Adauto PAST PRESIDENT Edmundo Dena ■ COMMITTEE CHAIRS: ASSOCIATES CHAIR Luis Rosas GOVERNMENT AFFAIRS Sal Masoud GOLF TOURNAMENTS Sam Shallenberger FINANCE COMMITTEE Kathy Carrillo/Treasurer COMMUNITY OUTREACH Angelique Roman LAND USE Sal Masoud EDUCATION Patrick Tuttle INDUSTRY PROMOTIONS Ted Escobedo ■ ADVISORY TO THE BOARD Jay Kerr, Firth, Johnston, Bunn & Kerr ■ BOARD OF DIRECTORS Builders: Jaime Gonzalez, Blue Sage Homes Lee Gillett, Classic American Homes Lydia Mlouhi, Crown Heritage Homes Dan Berry, D B Innovations,LLC Delton Deal, Deal-2-Deal Eder Gallardo, Edwards Homes Leti Navarrete, EPT Bella Custom Dream Homes Kathy Parry, Hunt Companies Samira Gonzalez, Icon Custom Home Builders Laura Loy, Loyalty Homes JJ Vasquez Pacifica Homes Trevor Turner, Rassette Homes Fernie Santana, Santana Homes Jacob Barde, Tropicana Homes Associates: Sandra Lucero, Builders Source John Chaney, Hercules Industries Luis Rosas, HUB International Jorge Herrera, J & H Post Concrete & Tension Joe Bernal, Joe Bernal Insurance Patrick Tuttle, Legacy Real Estate Service Aaron Rich, Lone Star Title

Johnny Rodriguez, Lowe's Randall Smith, Randall Smith, Cpa Justin Hahn, Rocky Mountain Mortgage Angelique Roman, Sierra Title Ted Escobedo, Snappy Publishing Patricia Martinez, Stewart Title ■ TAB STATE DIRECTORS Randy Bowling, Life Director Sam Shallenberger Edmundo Dena Gus Loy Don Rassette Luis Rosas ■ NATIONAL DIRECTORS Bobby Bowling, IV Demetrio Jimenez

Honorary Life Members Rudy Guel Brad Roe Wayne Grinnell Don Henderson Anna Gill Mark Dyer Sam Shallenberger Past Presidents Committed to Serve Don Rassette Edmundo Dena Edgar Montiel Frank Torres Frank Arroyos Greg Bowling Randy Bowling Bobby Bowling IV Doug Schwartz John Cullers Robert Baeza Mark Dyer Kelly Sorenson Rudy Guel Brad Roe Herschel Stringfield Bob Bowling III Carlos Villalobos EPAB Mission Statement: The El Paso Association of Builders is a federated professional organization representing the home building industry, committed to enhancing the quality of life in our community by providing affordable homes of excellence and value. The El Paso Association of Builders is a 501C(6) trade organization. © 2019 Builder’s Outlook is published and distributed for the

Insurance developed for builders. Developed for builders with the backing of the strongest insurance carriers serving the Texas building industry, our insurance program offers flexible coverage options and rates that are more competitive than ever. As an authorized member of Builder Agent Network©, we’re dedicated to providing builders and contractors with the best-in-class insurance programs, pricing, underwriting, resources and service. Product Portfolio Highlights t “A” rated carriers, several available t (- PêFSJOH Doverage for property damage that results from faulty, defective, or poor workmanship in your work. t (- -JNJUT PG VQ UP . . . Bvailable t Expanded policy form for commercial projects t Builder’s Risk master policies, monthly reporting, annual and one shots t Workers’ Comp - Two highly cost-effective programs t ExDFTT -JBCJMJUZ GPS $PNNFrcial (eneral Contractors t $PNNFrcial Umbrella El Paso, Permian Basin and Surrounding Area HUB International Insurance Services -VJT 3PTBT 915-206-6047 www.hubinternational.com

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