Monthly Briefing
Profits | Relationships | Knowledge
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September 2021 Volume XVI, Issue 9 |
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For most home builders, the direct construction cost of their homes is too high which causes a lack of adequate profitability. The combination of land (at builder retail price) and direct construction costs should be approximately 70% of the sales price to generate a 10% profit. Historically, land has represented about 20% of the sales price. Therefore, the direct construction costs need to be held to about 50%.
Shinn Consulting is committed to helping home builders improve performance and boost profitability. Controlling direct construction costs is critical for two reasons: it is a builder’s largest cost classification, consisting of a lot of small components, and it is a variable cost incurred every time the home is built, so it has a multiplier effect.
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IN THIS ISSUE
Improve Your Profitability with Better Plans...
BOQ Virtuosos & Guardian Join BP
Product Feature: Lighting
Product Feature: Solar Systems
Partner Notes
Upcoming Events
Popular Articles
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Builder Partnerships is pleased to announce the newest service provider member to our organization.
The solutions-oriented experts at BOQ Virtuosos assist home builders in becoming more profitable by offering a comprehensive menu of estimating services focused on increasing construction efficiency and reducing material waste.
We are pleased to offer a unique selection of estimating services to home builders through our partnership with BOQ Virtuosos. Contact us at 303-972-7666 or info@shinnconsulting.com for more information. |
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Builder Partnerships is pleased to announce the newest manufacturer member to our organization.
Guardian is an original equipment manufacture (OEM) of Garage Door Openers and Door Hardware Systems. We have been a leading supplier the garage door and access industries since 1985, distributing internationally to Door OEM Manufacturers, and serving thousands of professional door dealers and builders throughout North and South America.
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By Terry Nickels
Builder Partnerships Chief Operations Officer
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With all that is going on with home building right now, isn’t it nice to know that your ability to get incentives can be smooth and easy? Our team of relationship managers work hard to make it easy (and accurate) for you to submit your closings for our multitude of programs. Let us show you how easy it can be to set up and upload information, or use our API connection to upload data directly from your ECI MarkSystems, MiTek BuilderMT or Kova software.
Those incentives can add up! For example, our top 5 builder members have each submitted for more than $55,000 in the first 6 months of this year! Our top 25 members average more than $37,000 while submitting an average of 242 houses with 8 programs claimed per home. Imagine what you could do with that extra cash in your business.
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A celebration of beautiful lighting projects, the very first DMF Design Awards featured dozens of entries showcasing some of the best DMF Lighting applications from across the country.
Projects competed in five different categories, with one Grand Prize Winner selected from the Category Winners. Our esteemed judges reviewed the entries based on four criteria (Lighting Application, Lighting Creativity, Photography and Project Summary) and their composite score was used to determine the winner.
The winners of the 2021 DMF Design Awards:
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Discover how partnerships drive solutions that builders want.
Wednesday, October 6, 2021
10 am MST / 12 pm EST
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Unbound Solar will help you stay ahead of the curve when it comes to solar
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Change can be disruptive, especially when it comes to evolving markets, new demand, and updated regulations that can hinder old processes. But with change also comes opportunity — and the companies that take a swift, creative approach to these new challenges are often rewarded, while others struggle to adapt.
It’s no secret that regulations and pro-solar mandates on new homes have been becoming more and more prevalent within the builder industry. And solar is quickly gaining status as a ‘must-have’ feature for millions of new homeowners, with installations growing 50% per year over the past 10 years.
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2022: Challenges, changes, or status quo? Share your forecast for the coming year.
Complete the survey by October 5, 2021, for a chance to win a $50 Visa gift card.
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These Manufacturers Offer Valuable Rebates to BP Members |
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October 6, 2021, 10 am MST / 12 pm EST. Register
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October 20, 2021, 10 am MST / 12 pm EST. Register
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November 17, 2021, 10 am MST / 12 pm EST. Register
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Worth the watch! View the replay here.
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Don't miss this great webinar! View the replay here.
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SAVE THE DATE: IBS 2022 - 16th Annual Networking Reception
February 7, 2022, 5:30 pm EST - Orlando.
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For the complete list of events, click here.
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Don't miss out! Previous issues of our Monthly Briefing newsletter are available here. |
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