ExecutiveMessage
4 BuildersOutlook 2024Issue5
ExecutiveMessage
Ray Adauto
Executive Vice President El Paso Association of Builders
Challenges continue to mount for our industry
The month of May has seen what could be a look into the future of El Paso home building . Over the last 15 years the City of El Paso ’ s water utility , the PSB , has invested rate payer money with consultants hired to find ways to find reasons to increase impact fees . The state regulation on impact fees sets the groundwork on how , when , what can be “ impacted ” or better yet , taxed . The amount of impact fees may or may not determine the costs of doing business with the consultants , but clearly this is a money maker for the consultants . All indications are that future impact fees studies may end up with the same consultants , a pattern we will have to deal with again .
Additionally the May surprise is that a promise of interest rate drop from The Fed was put on hold because the US is spending more than we can afford . Clearly higher interest rates are not favoring average homebuyers . The affordability index is high , therefore less people can qualify .
Everything costs more , and there is little on the horizon that could change that . Some say that a new administration will create change , but the fact is that as a country we cannot afford the millions of immigrants streaming across the border . We can ’ t . We are getting taxed everywhere , crops , livestock , all higher . Oil and gasoline up , utilities up , and the baby boomers ( like me ) are retiring to an uncertain false promise .
Labor is still at a premium , but there seems to be help with students who don ’ t want a huge debt upon graduation . Materials are getting stuck in the inflationary cycle , and Biden just announced new tariffs on Chinese materials .
I so admire our builder / developer members , who despite of all I write here still make the American Dream happen . It ’ s the brightest spot in our future .
www • elpasobuilders • com
Stewart Title El Paso proudly announces these professional staff transitions
Patricia Alvidrez Promoted to Branch Manager Downtown Office 425 North Mesa
Danielle Enriquez Newly hired Escrow Officer East Office 2244 Trawood
Rocio Salas Promoted to Escrow Officer West Office 5500 North Desert