FOR IMMEDIATE RELEASE
Date 7/20/04

Contact: Matt Derrick
(816) 942-8800, ext. 213

Home Builders Lead Charge for Work Force Housing
National Home Builders President Discusses Housing Choices During Kansas City Visit

Spend one minute with home builder Bobby Rayburn and you will become an instant expert on the vital role of housing in the nation’s economy. As president of the National Association of Home Builders (NAHB), it is Rayburn’s vocation to illustrate the importance of housing in our communities, but it is his passion for providing the American Dream that permeates every conversation. When Rayburn speaks of his personal mission to bring more work force housing to the families who need new housing choices the most, it is difficult not to get just as excited as he is.

“Housing is one of the largest industries in this country and makes up 16 percent of the gross domestic product,” Rayburn told members of the Home Builders Association of Greater Kansas City (HBA) during an address July 14. “Put another way, out of every one-dollar bill housing makes up 16 cents of it. Housing is an economic engine in this country.”

Rayburn brought his message of housing America’s working families to Kansas City Wednesday, meeting with members of the HBA and the Housing Choices Coalition of Greater Kansas City. Rayburn toured several local housing developments including projects by nonprofit community development corporations and the proposed site for the “Home Wise” home, a rehabilitation project sponsored by the U.S. Department of Housing and Urban Development.

While housing is headed for another record-breaking year in 2004, Rayburn said millions of Americans are being left behind. More than 14 million Americans cannot afford to buy their own home and millions more struggle in substandard, overcrowded or overpriced housing. Rayburn said the most distressing fact is that these families serve as the backbone of nearly every neighborhood, the moderate-income professionals communities depend upon for vital services.

“Most of the times these individuals and families don’t get to live in the communities that they work in,” Rayburn said. “They don’t get to live in some of the places we talked about and saw today. They don’t get to live there because they can’t afford it. They can’t afford it not just because they don’t make enough money, but because somebody imposed restrictions on them that drove the cost up substantially.”

Rayburn has a long history with work force housing. During more than 30 years in the home-building industry, Rayburn’s company has built more than 3,300 single-family and multi-family homes. Rayburn has promoted public and private partnerships that ensure housing choices are available for teachers, police officers, firefighters and other moderate-income workers who are the heartbeat of the community. Rayburn also authored Affordable Housing Development published by the Department of Housing and Urban Development (HUD).

During his visit to Kansas City, Rayburn met with leaders from the Housing Choices Coalition of Greater Kansas City, a nonprofit group dedicated to expanding the availability of housing choices throughout metropolitan Kansas City. Rayburn addressed questions of both local and national concern regarding efforts to building new communities that reduce the strain on public infrastructure and promote more housing choices in terms of price range, location, size and amenities.

“Communities have to start understanding you are negatively impacting teachers, policeman and fireman – folks we need all the time,” Rayburn said. “Yes, they would like to be able to own a home of their own but they can’t afford to for the most part or the homes that they do own are substandard in many cases or they are in overcrowded conditions or they pay in some cases 50 to 60 percent of their total income for house payments or rent. … Work force housing is going to be the catalyst to help many communities see the light.”

Rayburn pointed toward the “Home Wise” program as an example of how public and private partnerships can make housing more affordable for working families. One home in 10 cities nationwide will be refurbished and sold to a qualified buyer at half the market rate. The selected buyer will be chosen from a drawing of qualified buyers and two of the buyers will be military veterans. The program is a partnership among the HBA, HUD, NAHB, the National Housing Endowment, Fannie Mae, Freddie Mac and Wells Fargo Home Mortgage.

Rayburn said the “Home Wise” program is one of numerous public and private partnerships that help families make the move to homeownership.

“We think it’s good business and makes sense, not just from the business side, but also in helping that family from the Kansas City area,” Rayburn said. “I think it’s a wonderful opportunity.”

The Home Builders Association (HBA) of Greater Kansas City is the voice of the housing industry and the source for housing information. Comprising more than 1,000 member companies, the HBA represents an industry that contributes more than 2.5 billion dollars to the Kansas City economy and supports more than 36,000 jobs in the Greater Kansas City metropolitan area.

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