RRHBA has started 2018 with great enthusiasm and excitement! The Board of Directors and Staff of your RRHBA are committed to serving, supporting, and representing you; the leaders in the building industry. Every member adds value to the Association, and each year we celebrate high achievers during a special awards ceremony. Make your reservations today for the upcoming February 8 Membership Meeting and 2017 Awards Celebration, followed by professional comedian, Tim Northern.
We also thank and celebrate the following members who have become the first four 2018 Investors: David James Homes, Fralin & Waldron, Inc., F & S Building Innovations, Inc., and Joe Bandy & Son, Inc.
We hope to add your firm to this very special group of members who recognize the value of being fully invested in the Association. Each Investor will enjoy an all-inclusive membership for 2018! Their benefits include the 3-in-1 Membership to RRHBA, HBAV, and NAHB, participation for 2 at all Membership Dinner and Breakfast meetings, 30 Spring Home Show tickets; 1 team in the Annual Golf Classic, Bowling Bash, and both of the Sporting Clay Shoots; logo displayed prominently on the RRHBA website, recognition on all printed materials, company feature article in one edition of The Nail Keg, logo on 2018 Investor Banner, and verbal recognition at all events.The 2018 Investor and Sponsor Guide has the details; or give Nancy Kelderhouse a call at (540) 389-7135 for additional information. Add your logo to our newsletter back cover in February; its not to late to become a 2018 Investor!
Front Page News...
Page 2 ~ NAHB Headlines
Page 3 ~ Tax Reform for 2018
Page 4 ~ Message from President Hopkins
Page 5 ~ Upcoming Events
Page 6 ~ 2018 Investors & New Members
NLRB Overturns 2015 Joint Employer Ruling
The homeownership rate fell for all race and ethnic groups from 2004 to 2016, but has rebounded in recent years, according to the Census Bureau’s Housing Vacancy and Homeownership survey.
Looking at just the last year, the overall U.S. homeownership rate increased to 63.9% in the third quarter of 2017, up 0.4 percentage points from the third quarter of 2016.
NAHB this year will conduct Bringing Housing Home™ featuring in-district meetings with members of Congress to discuss critical issues affecting the home building industry.
Bringing Housing Home™ is scheduled for April 30 to May 5, 2018.
For more information, contact Karl Eckhart, NAHB’s vice president for intergovernmental affairs, at 202-266-8319, or firstname.lastname@example.org.
The Interior Department has reversed an Obama-era decision that subjected private landowners, includ- ing home builders, to federal prosecution under the Migratory Bird Treaty Act.
The decision nullifies the previous interpretation of the act that included civil and criminal penalties for unintentional “incidental takings,” or killing or injuring endangered species.
“Reading the MBTA to capture incidental takings casts an astoundingly large net that potentially transforms the vast majority of average Americans into criminals,” the decision read in part.
Interior Reverses Migratory Bird Rule
Construction costs account for 55.6% of the final sales price of the average new home, while the cost of the lot represents 21.5% of the total sales price, according to a recent NAHB survey of home builders. Overhead and general expenses (5.1 %), sales commissions (4.1%) and financing costs (1.8 %) are among the other factors contributing to the final sales price.
Of the eight major stages of construction, interior finishes, at 28.6%, account for the largest share of construction costs, followed by framing (17.3%), exterior finishes (13.9%), major system rough-ins (13.8%), foundations (10.8%), final steps (7.0%), site work (6.7%), and other costs (2%).
Rising materials prices and limited labor have been primary concerns for builders throughout 2017, and those issues are expected to continue into next year as well.
But NAHB Chief Economist Robert Dietz notes that recent figures for starts and sales suggest continued growth moving forward.
The Cost of Constructing a Home
Start Planning Now for
Bringing Housing Home
In a victory for small business, the National Labor Relations Board (NLRB) voted recently to overturn its 2015 ruling in the case of Browning-Ferris Industries.
NLRB's ruling restores the traditional definition of joint employment in which a company must exercise ‘direct and immediate control’ over a worker in a business-to-business relationship.
The tax reform bill signed into law by President Donald Trump on Dec. 22 will provide tax relief for hard-working families and create a more favorable tax climate for small business.
NAHB achieved significant victories in the bill, such as the real estate exception to the business interest deduction, second homes, private activity bonds, the capital gains exclusion, and many other provisions.
Changes within the Tax Cuts and Jobs Act take effect for the tax year starting Jan. 1, 2018. Major provisions of the law include:
Mortgage interest deduction. Retains the mortgage interest deduction and the deduction for second homes, but reduces the mortgage interest cap from $1 million to $750,000.
State and local property taxes. Allows taxpayers to deduct up to $10,000 of state and local taxes, including property taxes and the choice of income or sales taxes.
Capital gains exclusion. Maintains existing law that allows home owners to exclude up to $250,000 (or $500,000 for married couples) in capital gains on the profit from the sale of a home if they have lived in the house for two of the last five years.
HELOC. Eliminates the deduction for interest on home equity loans.
Private activity bonds. Retains private activity bonds (PABs), which will enable the Low Income Housing Tax Credit to maintain its effectiveness as the most indispensable tool for the production of affordable housing. Without PABs, we would face the loss of more than 788,000 affordable rental units over the next decade.
Alternative Minimum Tax. Eliminates the Alternative Minimum Tax (AMT) for corporations and increases the AMT exemption amounts and phase-out thresholds for individuals.
Individual tax brackets. Retains seven tax brackets, with rates ranging from 10% to 37%. This will provide tax relief for individuals and small businesses and represents a tax cut for most taxpayers.
Estate tax. Doubles the estate tax exemption.
Carried interest. Retains existing carried interest rules, but assets must be held for three years.
Pass-through deduction. Allows most taxpayers with pass-through income to deduct 20% of that income based on wages or on wages plus a capital element.
Business interest deduction. Provides the taxpayer a choice of making a one-time election for a deduction limited to 30% of adjusted gross income; or for real estate, a 100% deduction for business interest, but with certain trade-offs.
Like-kind exchanges. Preserves the benefit for real estate investors to make tax-free exchanges of property, commonly referred to as “like-kind” exchanges.
Multifamily depreciation. Gives the taxpayer the choice of taking 27.5- or 30-year depreciation, depending on how they elect to treat their business interest.
Individual tax provision sunsets. Almost all individual tax elements – mortgage interest, state and local property taxes, individual brackets, etc. – expire at the end of 2025.
Tax Reform Will Benefit Builders, Small Businesses
Dear RRHBA Members,
It is an honor to serve as your 2018 President. I am looking forward to an exciting year of events and opportunities, which support my theme, “It’s All About the Mission”. We are committed to making sure that all of our activities support our mission; to serve, support, and represent the building industry.
In 2018 our members have two options for membership renewal. The newer option is inclusive of membership dinner and breakfast meetings. Choosing this “prepaid” option provides discounted costs for these popular membership events. Sponsorship opportunities for 2018 provide members with options to support special events. An Investor opportunity provides members the benefit of an all-inclusive membership experience which includes your annual membership dues, participation for two at all of our Membership dinners and breakfast meetings, a team in our annual golf classic, bowling bash, and sporting clay shoots, as well as recognition at all of our events and on all marketing materials. The 2018 Investor and Sponsor Guide is available at the RRHBA office. A decision to offer one Home Show in the Spring of 2018 gives us the opportunity to focus and re-brand the event, giving our exhibitors the best opportunity possible to showcase their businesses.
We plan to have many opportunities for our members to get together this year and will build upon successful 2017 events. Our Picnics in the Parking Lot were a big success, giving our members additional free opportunities to get together to network. We will continue to host these and encourage you to come and to bring a guest! Our February Membership Dinner Meeting will also include the Awards Celebration for 2017. Moving this event away from the Toys for Tots and Installation of Officers allows us to be able to highlight the accomplishments of our award winners and focus on these volunteers and the work they’ve done to support the Association. We have a professional comedian scheduled as our entertainment for this fun-filled celebration. Make your reservations today!
We should all be proud to be a part of the Association and the work we’re doing to serve, support, and represent the building industry. The 2,316 toys we collected for the Toys for Tots program made a huge difference in the lives of children right here in Southwest Virginia. We continue to put together meetings with our state and local government officials to give our members a voice on building industry matters. Education has and will continue to be one of our focal points this upcoming year. We will be hosting CAPS, CPR and other educational events of interest to our members. We will also continue to focus on workforce development, increased interaction with area trade schools, and continued civic and community engagement. We are a very busy group!
Let's share the message of who we are and why we exist with our colleagues. We are doing great things and we need to share that message every day! I thank you again for allowing me to serve you this year and remember, “It’s All about the Mission”.
Message from John Hopkins, 2018 RRHBA President
MARCH 23 - 25
SALEM CIVIC CENTER
CLICK ON PAGE NOW TO MAKE RESERVATIONS
Membership Dinner Meeting & 2017 Awards Celebration
Reception ~ 5:30
Dinner ~ 6:30
presented by Blue Mobius Marketing
7:30 & 11:30 a.m.
Franklin County Updates: Subdivision Ordinance Revisions
Digital Marketing for Business presented by Wheeler Broadcasting
11:30 a.m. RRHBA Conference Room
Call (540) 389-7135 to Register
~Welcome New Members~
Mackey's Outdoor Creations
Beveridge & Associates
Assured Comfort Adjustable Beds
Air Tech, Inc
The 2018 Investor and Sponsor Guide
Karen Hankins Associate VP
Immediate Past President
Board of Directors:
Frank Caldwell, IV
Joe Thomas, Jr.*
* new to Board in 2018
**State Directors (HBAV)
***National Directors (NAHB)
1626 Apperson Drive
Salem, VA 24153
1626 Apperson Drive
Salem, VA 24153
A special 'thank you'
to our current