Friday, January 23, 2009

Its here!!! 2009 Yipee

Well you would think that the new year would bring a new and brighter future but the news is still the same on the economy, sometimes they say its getting worse, then its better no its worse. By the talk you would think we should all be running down to the soup kitchens like in the 1930's so we can at least eat. The news is like the weather forecast, its just better to look out the window and see what really is going on, what ever it is now it soon will change. So what is happening in our hometown.

Well, in the Cedar Valley, we are bucking the collape trend in housing . Home starts have come down from the rocket records of 2005 yet we are just at a normal solid level that we have seen over the last 15 years or so. Our area home builders and remodelers are busy with projects or planning new ones for the coming year. Just turn off the news and we will all be just fine, the media always has to create a crisis so we will be drawn to the news and they can sell their advertizing at a premium.
Its always about the money, or follow the money to find what the true motives are.

We have been kept busy with rebuilding a tornado ravaged town
to the tune of 250 + homes. It is quite a seen over in Parkersburg now with all the homes going up, but remember these pictures of distruction. Also the floods in June in Cedar Falls and other metro areas also have contributed to our crews remaining busy. Many homes will be torn down and many will need to be rebuilt.

Somethings have changed this year, I was elected to President of the Homebuilders of Northeast Iowa. I really am looking forward to what we can do in the Cedar Valley for our customers and the public in general. Right now we are working hard to control the costs of home building and doing a good job of that at the moment but we are continually challanged by codes changes and city and state regulations. The increases are staggering and who pays in the end, the customer buying that new home.The laws that are passed sometimes are more of a solution looking for a problem.

Just a few that have raised our costs are:
Air to air exchangers 2006 $1,800.00
Site erosion control from the city 2007 $3,500.00
Raising the standard for good cents program CFU 2009 $4,000.00
Electrical changes required by new state code 2009 $3,000.00
Lot cost increases due to new CF Subdivision being now being considered is a toxic ordinance that will have little value except to slow development and building $10,000.00 +++
International Residential Coded adopted 2008 Version
Sprinkles required by new code: $10,000.00 +


Total increase due to regulation last 3 years: $32,300.00

Affordable Housing in Cedar Falls, "Priceless and soon to be Non-existent" and at this pace of unsustainable increases, no develpment and no building.

More on this next post SOON!!