NAHB CEO Sees Housing Crisis to Ease by Summer 2008

Speaking at an event in Indianapolis on Monday, National Association of Homebuilders (NAHB) CEO Jerry Howard says the government needs to address the subprime mortgage issue quickly or the housing recession will continue to get worse. Howard says currently there is about nine months of inventory nationally, when there should be four to six months of inventory.

Howard says assuming that policymakers address the subprime mortgage issue and do it quickly and effectively, the housing recession could begin to ease by next summer.

Howard says economist say that barring any new external calamity, that annualized production of about 1.6 to 1.7 million units is achievable and sustainable for the next ten to 12 years.

Howard also addressed the growing demand for green building. He says the National Association of Homebuilders has been working with the International Codes Council to develop a green building standard that will get the American National Standards Institute (ANSI) approval. He says that by the end of this year there will be the first national and ANSI recognized green building standard that will let builders in diverse economic climates to use green building standards that are specific to their areas.

Howard says one of the challenges that the industry faces is that green building for the average American is expensive. He says the industry is working to try to bring the cost down for homeowners.

CEO: Housing Recession Could Ease by Next Summer
Raquel Bahamonde | Inside INdiana Business