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Year-End Takeaways for the Home Building Industry

March 28, 2025
By Tabitha Warren

As we approach the end of another eventful year in the home building industry, it’s the perfect time to reflect on the key lessons and takeaways that can guide us into a promising future. Despite the challenges and uncertainties, there’s much to learn from the experiences of the past 12 months. Here are some crucial year-end takeaways for the home building industry:

Adaptability Is Key: The year 2023 highlighted the importance of adaptability. Home builders who quickly adjusted their strategies in response to changing market conditions were better positioned for success. Flexibility and the ability to pivot in the face of challenges have become valuable assets.
Digital Dominance Continues: The digital transformation in the home building industry is no longer a trend; it’s a necessity. With homebuyers relying on online research and interactive tools like never before, having a robust online presence, including virtual tours and interactive floor plans, is essential. There is some good news here: the costs of these digital technologies are dropping. This is an excellent opportunity for smaller homebuilders seeking a competitive advantage. Builders who want to stay ahead of the curve in 2024 should consider implementing digital assets they may have believed to be out of reach. Pricing has become much more competitive in recent years. Putting some digital tools in place could mean the difference between staying in the game and being unable to remain competitive.
Supply Chain Management: The global supply chain disruptions served as a reminder of the significance of efficient supply chain management. Home builders should build resilient supply chains to prevent delays and maintain construction timelines. Resilience is essential in every part of the supply chain, from labor to subcontractors to materials and technology. ¹
Sustainability Matters: The demand for sustainable and energy-efficient homes is rising. Incorporating green building practices appeals to eco-conscious buyers and helps reduce long-term operating costs. The home building industry is waking up to the importance of green building. Even NAHB and IBS are getting involved by funding a Green Building Scholarship. Please find out more by visiting their website: https://www.nahb.org/advocacy/industry-issues/sustainability-and-green-building/sgb-scholarship-for-ibs
Quality Over Quantity: Prioritizing quality over quantity is becoming the mantra of successful homebuilders. Delivering superior craftsmanship and focusing on customer satisfaction can lead to lasting success in the industry. For an interesting read about improving housing in America, check out what the Joint Center for Housing Studies of Harvard University found about the impact of COVID-19 on our current market. They have some interesting statistics on home repair ($420 billion spent in 2020), DIY vs professional, and the demand for quality housing. https://www.jchs.harvard.edu/improving-americas-housing-2021
Teamwork and Talent: The importance of a skilled and motivated workforce cannot be overstated. Investing in employee training and well-being can improve productivity, retention, and overall company success. Continuing education for your Online Sales Counselors and Marketing team is imperative. The digital landscape is ever changing. Marketers need help to stay current. Summits and conferences can pay 100-fold. Online Sales Counselors are only as good as their sales experience and education. Help them by ensuring they have all the tools in their toolbox.
Customer-Centric Approach: Home builders who put the customer at the center of their operations tend to thrive. Excellent customer service and transparent communication go a long way in building trust and loyalty. More and more builders are discussing that a customer-centric approach might involve having transparent online pricing. Just listen to what Reilly LePage of Logel Homes had to say on The Home Builder Digital Marketing Podcast: https://www.buildermarketingpodcast.com/episodes/190-elevating-the-online-home-buying-process-reilly-lepage Builder Online thought this was such an important topic that they featured the podcast this month on their Builder 100.
Risk Management: With uncertainties in the market, effective risk management strategies are crucial. Planning for potential disruptions and having backup plans can mitigate unexpected challenges. Conducting market analysis before starting a project, having a robust financial reserve, and securing contracts with backup suppliers are just a few ways to mitigate risk.
Local Market Insight: Understanding the unique dynamics of local markets is essential. Tailoring strategies to meet each community’s specific needs and preferences can make a significant difference. Home builders can always hire an independent market research team. If that is outside the budget, local home builders associations, real estate associations, and chambers of commerce often publish market reports, housing data, and economic indicators for specific regions. Additionally, the U.S. Census Bureau, local planning departments, and housing authorities publish data providing demographic information, building permits, and economic data. If all else fails, there are the good old real estate platforms Zillow, Realtor.com, and Redfin to peruse for statistics, pricing trends, and property listings.
Continual Learning: The home building industry is constantly evolving. Those who commit to ongoing learning and staying updated on industry trends and regulations will remain ahead of the competition. Educational events like the National Association of Home Builders International Builders Show (IBS) and The Home Builder Digital Marketing Summit are key. Summits and Conferences help builders keep up with the ever-evolving industry. Monthly learning like that provided in Builder Town Hall by Meredith Communications is also a great way to keep your ear out.

As we bid farewell to this year, let’s carry these valuable takeaways into the future. The home building industry’s resilience and adaptability have been on full display. With the right strategies in place, the opportunities for growth and success in the coming year are boundless. Cheers to a promising and prosperous future in the world of home building!

Tabitha Warren was an Income Tax Accountant for 15+ years. In the first months of the pandemic, she took a chance and re-careered to freelance in Marketing. She currently, and very happily, works with video and photo editing, social media marketing, and now blog writing.

https://buildertrend.com/blog/construction-supply-chain/

Building a House in Arizona: Expert Guidance From Local Builders | Redfin

October 1, 2024
By Tabitha Warren

Redfin is featuring Outhouse in an article, and we encourage you to check it out. Although we provide computer-aided design (CAD) and interactive marketing tools to builders nationwide, we are pleased to be included in an article about home building in our home state of Arizona.

Embarking on the journey of building your dream home in the Grand Canyon State of Arizona is an exciting adventure filled with unique considerations. From the vibrant energy of Phoenix’s city life to the tranquility of Flagstaff’s pine-scented forests, constructing a home here requires careful planning and consideration.

In this article, Redfin has gathered insights from seasoned Arizona builders to walk you through the essential steps, from understanding zoning laws to choosing the right materials for the Arizona climate. With practical advice and tips from start to finish, you’ll gain the confidence to manage your building project effectively and make informed decisions that bring your vision of an Arizona home to life.

Read the full article here: Building a House in Arizona: Expert Guidance From Local Builders | Redfin

Consider an Integrated Build/Market/Sell Process for Speed

Whether you live in Arizona or one of the other 49 states, when you are ready to design, build, and sell some new homes, it pays to consider a digital marketing provider like Outhouse, which offers in-house drafting services. Outhouse’s experienced CAD team works with some of the most successful production home builders across the nation on everything from master sets to redline revisions to plot plans. And, while your homes are being drawn, our production teams are simultaneously creating interactive floor plans, renderings, virtual tours, visualizers, print collateral, and more, helping you bring homes to market faster than the competition. Starting with Outhouse CAD as the foundation, integration is the key to streamlining the build/market/sell process.

As we head into the holiday season, Outhouse would like to thank all our clients and friends. We appreciate you and are grateful for the business you bring us throughout the year. Happy Thanksgiving!

Why Interactive Floor Plans are a Must

October 8, 2024
By Stuart Platt

From “It’s Neat” to “It’s Needed,” Why IFPs are a Must

Remember in the spring of 2020, when literally no one was out looking at new homes, and home builders finally began going all-in on digital marketing? The big question once the world opened back up was whether or not websites would retain the same level of prominence. That question has been answered, and it is an emphatic “Yes!” Even homebuyers who visit model homes typically conduct a majority of their research online before they ever drive to one of your communities.

What was once a rare luxury on a builders’ website, Interactive Floor Plans (IFP’s) have become an industry expectation. Builders who thought IFP’s were more novelty than a functional sales tool can no longer argue the overwhelming evidence that IFP’s engage buyers, resulting in:

Increased time on their websites.
Increased qualified homebuyer leads.
Increased number of options sold.
Creating positive emotional connections to your plans.
Converting leads to active prospects in a faster timeline.

*Analytics help builders see who their potential buyers are, where they are coming from, the most popular options, and a whole lot more.*

Builders also find IFP’s equally as valuable to their sales team as they are to the homebuyer. Why? One reason is that comprehensive IFP’s can answer 80% of the questions your sales staff needs to field. The buyer experience is tremendously better when the simple questions are already answered, allowing the sales team to focus on selling instead of trying to help figure out how furniture will work, how options change square footage and price, “…and why do I lose the casita option when I choose the expanded garage?”

Picking the right IFP vendor the first time is of the greatest importance.

Not all IFP’s are created equal

When choosing a vendor to build and host what is arguably your most important online sales tool, in addition to the basics, make sure the platform you select has ALL the following advanced features:

Branding – First and foremost, ensure your IFP’s are skinned and colored to match your website, logo, and corporate colors.

Lead Generation – The ability to save a custom plan that not only tracks these leads, but also pushes them to your CRM.

Space-Planning – A detailed furniture library with scalable items for every room, including the garage and outdoor living areas.

Live Updates – Dynamic pricing and square footage so as buyers add options the price and square footage automatically reflect that.

Hot Spots – Clickable icons within your plan allowing buyers to open renderings, photos, videos, virtual reality and any other eye candy to keep them engaged.

Device Agnostic – Regardless of the brand of computer, laptop, tablet or phone, your IFP’s work on ALL of them.

Today’s homebuyers expect advanced features when designing their homes and planning furniture layouts with an Interactive Floor Plan.

Picking the right IFP vendor from the start is of the greatest importance. Select a company that knows what they are doing because this is not a process you want to go through a second or third time. If you find yourself dissatisfied with your IFP’s (or vendor) after creating them, they can’t simply be transferred to another vendor. You must pay to have them rebuilt from scratch again.

20-years ago Outhouse was one of the first to offer IFP’s to home builders. Our platform continues to deliver the most mature, dependable, feature-rich, engaging user experience in the industry. Our IFPs are designed to incorporate your renderings, virtual tours, visualizers and more, making it easy for homebuyers to engage with all of your digital tools. Click here for an example. In 2023, we also gave our administrative backend a massive upgrade, so your interactive floor plans, interactive site plans, and interactive kiosks are now housed in the sleek, intuitive, new Outhouse Interactive Control Center. Contact us today to learn more

About the Author: Stuart Platt is Managing Partner at Outhouse LLC, an industry leader dedicated to providing an extensive and integrated menu of products and services to production home builders across the world. These services include but are not limited to Architectural Drafting, 3D Renderings, Virtual Tours, Animations, Interactive Floor Plans, Interactive Site Plans, Interactive Sales Office Displays, Interior and Exterior Visualizers, Graphic Design, Commercial Printing, and more. Outhouse is the ONLY company in the nation providing all of these services in house.

Join Stuart Platt at the Home Builder Digital Marketing Summit this October 23-24th! He’ll be diving deep into the strategies discussed in this blog, sharing insights on how to create an online experience that resonates with potential buyers on an emotional level. Don’t miss this opportunity to connect with Stuart and other industry leaders to elevate your digital marketing game.

Print Is Not Dead – It’s Just Underutilized

October 1, 2024
By Jim Sorgatz

Our first-hand experience with print marketing

Outhouse recently added two new members to our Sales Team: Erin Kearney, Business Development Manager, and Kaelin Kerr, Sales Coordinator. While Erin handles website leads and inbound calls, Kaelin spends most of her time on outbound communications. In addition to emailing and calling, she is also mailing postcards to prospective homebuilder clients and is having great success. Who would think that a tech-savvy 30-year-old would get more replies from a postcard with a handwritten note than she ever receives from emails?

At Outhouse, we are not entirely surprised. Many people think print is dead, but our experience with an in-house print shop tells us otherwise. We are seeing a resurgence in print. As email boxes overflow with sales messages, companies seek other avenues to reach target buyers, and print marketing is growing. With so little “snail mail,” savvy marketers know print isn’t dead – it is underutilized, and they are expanding print campaigns to take advantage.

Print is powerful! The smell of paper and feeling pages between your fingertips – these are things that just can’t be duplicated online.

How Print Came to Outhouse

Outhouse Partner Bill Gelbaugh is the reader in our office. A new book with his name on it arrives in the mail nearly every other day. Retooling the US Housing Industry by Sam Rashkin – check. Internal Family Systems Therapy – check. Guide to the Bodhisattva’s Way of Life – check. Anatomy of a Great Home – check. 101 Whiskies to Try Before You Die – double-check! With an incredibly wide range of interests, the topic isn’t of paramount importance. Affectionately referred to by staff as “Buddha,” Bill is a seeker of knowledge and has a voracious appetite for books. And, although he owns a Kindle (maybe more than one!) he prefers the hard copy any day. This, in part, is what led him to start his own print business in 1991, with the company becoming primarily focused in the home builder vertical market by 2000.

*Outhouse Founding Partner Bill Gelbaugh*

Today, the print division he started is an integral part of the Outhouse family of products and services. One of the first things people notice when they come to our office is the warehouse location. Depending on the day, as you enter, the scent of chemicals may greet you at the door. Our print and sign departments are on site, and the equipment is typically running. With a primary focus on builders, the Outhouse print and sign teams excel at delivering your community brochures and the signage you need for your sales centers on time, every time.

Trained as a professional Graphic Designer, craftsmanship is part of Bill’s DNA. Frequently spotted with his magnifying glass verifying color calibrations, he is serious about superior print quality. This is one of the attributes distinguishing Outhouse from a typical strip mall print shop. Also setting us apart are professional artwork creation, coordinated digital file and asset management, and builder-specific delivery. Yes, we deliver your brochures and price sheets timed to your weekly sales cycle!

When Bill and our founding partners came together to create Outhouse, integration of print and all other services was one of the mandates. Our motto, “Ready to Build, Ready to Market, Ready to Sell,” encompasses this philosophy. A point of pride for our team is the fact that all work is done in-house. This allows us to simultaneously work on CAD, renderings, interactive floor plans, virtual tours, print layouts, etc., reducing overall time to produce construction documents and digital and onsite marketing assets for your new communities. Furthering this continuity, a dedicated Account Manager coordinates each client’s projects, making changes and updates across all platforms so you don’t have to remember these details.

*Bill Gelbaugh and Doug Ills in the Outhouse Printshop Verifying Color Calibrations*

“When you touch something, it triggers a reaction. You feel differently about what you touch. You begin to feel you own it. And research shows this makes you value it more.”
Dr. David Eagleman, Neuroscientist

Step Out From the Crowd With Print Marketing

One of the beauties of print is the unlimited potential for customization, thereby increasing the ability to trigger an emotional reaction. Builders can tailor renderings and IFPs to a point, but these platforms typically have technical limitations. On the other hand, print enables you to step out from the crowd and . The options for paper stock, finishes, shapes, sizes, and print techniques such as embossed, metallic, and varnishes are endless. Limited only by your marketing department’s creative minds, there is no other medium that encourages so much freedom. Print collateral also provides homebuyers with something tangible to take home from your sales centers or discover in the mail – a lasting reminder of your beautiful homes once visitors leave your sales center or website.

*A handsome brochure presents potential home buyers with a vision unique to your company.*

If you’d like to discuss print or simply have a conversation about a good book, feel free to call or set up a time for a video chat with Bill by emailing him at bill.gelbaugh@outhouse.net. A favorite pastime is sitting down with a good cup of coffee or tea and meeting people to exchange ideas and learn more about each other and the world.

Unlocking Success in the Competitive Home Sales Market: How Interactive Tools and Incentives Make New Builds a Smart Choice

October 1, 2024
By Tabitha Warren

Architect checking house floor plan for new build on tablet device — _{Architect checking new build floor plan on tablet courtesy of Envato Elements}

For the past few years, potential homeowners have been facing a challenging scenario – soaring mortgage rates that threaten to make their dream of owning a home harder and harder to reach. The low supply of existing inventory due to families not moving from their low-interest-rate homes is making the situation even worse. The financial waves of the housing market have left many potential buyers contemplating their options. Is it still feasible to dive into the deep waters of mortgage loans when the rates are riding too high? Or should they seek the calmer shores and consider a different route altogether?

In this blog, we’ll explore why the alternative path that more and more prospective homeowners are setting their sights on, purchasing a new build home, might be a better option. We’ll also talk about some of the most alluring incentives that home builders can leverage to take advantage of this market. Finally, we’ll talk about the need for home builders to have an effective website with engaging digital tools to set themselves apart from their competitors.

New builds come with some advantages to existing properties. Among these advantages might be the ability to customize the home, energy efficiency, warranty coverage for the initial year of ownership, and lower immediate maintenance costs. Builders that can market these advantages as cost saving advantages might just win prospective buyers from the resale market. What home buyer doesn’t want to save on every aspect possible of homeownership?

So, what home builder incentives are the most attractive to new home buyers? As mortgage loan interest rates soar, there are two stand out incentives. First, closing cost assistance can reduce the financial burden of a new home buyer at the time of closing. This makes homeownership much more attainable to buyers at these heightened rates. The second is interest rate buydowns! Some builders are offering to buy down the buyers’ mortgage rate to get the prospective buyer to a more manageable monthly mortgage payment. From this writer’s logic, this frees the buyer to only need finances for one of the two things themselves. They either need enough money for a down payment or an interest rate buy down if they want a nice low payment for the term of their dream home.

Housing market affordability is so strained that this Fortune 500 homebuilder is offering a fixed 4.25% mortgage rate in some communities
Check out this article from Forbes!

Builders have a myriad of other incentives aside from these two. They can offer base price discounts on specific homes. This usually happens with the first few homes in a new development. They can offer free or discounted upgrades, customizations, or appliance packages. They can also offer to pay HOA fees for the first year. These are just a few of the incentives available that can make new construction more financially attractive than purchasing an existing home.

Never Underestimate the Value of a Good First Impression.”

You’re with me this far. You’re a builder. You offer some of these incentives, but you want to know how to set yourself apart from other builders when marketing to potential homebuyers. Interactive tools may be key in the real estate market. These tools offer a more engaging and informative experience to potential buyers, making it easier for them to visualize themselves in a potential new home. It can also make sure they clearly understand what the properties have to offer.

Don’t believe us? Here’s some statistical proof provided by the Content Marketing Institute:

88% of marketers say interactive content differentiates them from competitors giving them a significant advantage in a crowded market.
93% of marketers agree that interactive content is effective in educating buyers as compared to 70% for static content.
Interactive content attracts 2x the engagement of similar static content.

Those numbers are hard to refute, and they are just some highlights. If you want more information, head over to the Content Marketing Institute’s website to read more of their studies.

Some of the best interactive tools come in a few different categories: visualization, personalization, and lead generation, to name a few. When it comes to visualization, the most useful tools for new home buyers tend to be interactive floor plans, virtual tours, and real-time online booking and scheduling. Interactive floor plans (IFPS) allow buyers to customize layouts and explore different design options. Buyers can visualize a space and personalize it to their needs. This can be a powerful selling point for new construction homes where there are often many customization options.

_{Interactive Floor Plans Top New Buyers’ Useful Tools Lists}

Virtual tours or 3D tours allow a homeowner to experience a home, whether it is real or 3D rendered, from the comfort of their own home. Builders can showcase the home in detail. This is incredibly important in times when physical access may be limited or just plain inconvenient.

Further, websites can integrate features that allow buyers to schedule appointments, book showings, or attend virtual open houses. This is a convenience for both the buyer and the home builder!

Once the potential buyer is interested in a builder, the best interactive tools need to be personalized; this can be achieved with real-time updates on available homes, pricing, and promotions. After all, everything else on the builder’s site hooked this potential home buyer; the builder will want to keep them interested! A great addition after purchase might be online sales tools. Many websites allow buyers to complete the purchase process online, including signing contracts and making payments.

Finally, lead generation might be the final piece of the interactive tool puzzle. Home builders can use website analytics to gain insights into user behavior. A data-driven approach can help them refine their marketing strategies and help them understand what features are most appealing to buyers. They might use this information to improve their sales tactics. Moreover, valuable data about user engagement and preferences can be provided to builders from their interactive tools. When potential buyers engage with these tools, builders can collect information and follow up with targeted marketing and sales efforts specific to individual buyers.

Modern websites can capture leads and integrate with customer relationship management (CRM) systems. Sales teams can use this information to effectively nurture leads and follow-up. The best way to turn a potential buyer into a homeowner is with timely and personalized information. Search Engine Optimization (SEO) and social media integration might be the bow on the package. A well-optimized website can rank higher in search and make it easier for potential buyers to find and explore a builder’s properties. SEO strategies can drive organic traffic to the builder’s site. With the addition of well-thought-out social media integrations, builders can leverage social networks for marketing and referrals.

To sum it up, modern website assets empower homebuilders to provide a superior online experience, engage potential buyers effectively, and leverage data to optimize their sales strategies. By staying up-to-date with the latest web technologies and user experience trends, homebuilders can gain a competitive edge in this competitive home sales market. There is definitely room for new home sales to outpace resale with the proper online strategies!

If all of this sounds a little mind blowing to you, a great place to learn about all of these digital tools, and the corresponding analytics would be from the experts at The Home Builders Digital Marketing Summit, and some of the amazing companies sponsoring and hosting the event.