The Home Builders Association of Fayetteville (HBAF) hosted real estate professionals from the area at Segra Stadium’s Aevex Veteran’s Lounge on Feb. 6 for the first event in their newly created Industry Insight Series. 

This event titled “Building the Past: Legacy Builders Panel” featured four industry veterans, all of whom once served as president of the HBAF. Murray Duggins, Ralph Huff, Harold Kidd and Billy Wellons took to the stage to share about their experiences, challenges and the evolution of home building in the region over the past 50 years.

Shawn Groover, the creator of the event series, served as the moderator for the event. One of the highlights of this discussion and one of the reasons Groover proposed that the first event in the series feature these real estate veterans was the emphasis on the benefits to having a mentor in the field. Mentorships and partnerships were mentioned frequently throughout the discussion as these four men discussed what helped them achieve success. 

“These guys are all local builders, and part of the Home Builders’ mission is to bring people together in the industry…we’re excited to have everybody here. I see a lot of friendly faces. I see a lot of people that I know from the industry, but the coolest part is I see a lot of people that I don't know, and I think that's exciting for our association,” shared Groover.

KEY TAKEAWAYS FOR YOUNG PROFESSIONALS IN THE INDUSTRY INCLUDED:

Be responsible. 

In the end, hard work pays off. Business partners will remember the people who made good on their word and followed through on deals that had been agreed to. “Be sure to have a good relationship with your bankers, and keep in mind they're in the business to make money…the main thing is to do what you say you’re going to do. Pay your notes off,” shared Ralph Huff. 

Prepare for the ups and downs. 

Multiple panelists emphasized the importance of recognizing that even if things are going really well they can quickly shift towards going very badly. In an industry such as this where risk is part of the game, strategy is key. Have some backup money for the time when things go south and the bank comes knocking at your door. Billy Wellons shared that one of the things he wished he’d known when getting started was “[when] things are going really good, how fast it can turn really bad. And that all depends on how leveraged you are. It depends on how much money you owe. It depends on how diversified you may or may not be.” 

Employ a diversification strategy. 

Take actions such as investing in different locations and property types to mitigate risk and optimize spending. “Young builders here, as fast as you can, get something diversified, [something] income producing that will help you when times go by the wayside,” remarked Harold Kidd. This concept follows the old saying of “Don’t put all your eggs in one basket.” Remain flexible and observant so that as the market changes you have the means and the knowledge to adapt with it. 

Choose your partners and employees carefully. 

Harold Kidd shared that when picking a partner it’s important to “make sure that they’re strong and they’ve got as much to lose as you have.” No person achieves success on their own. Every person learns from the successes and failures of those that came before them and must choose who to go into business with in order to maximize their potential. “You have to hire people that have skill sets better than yours. If you think you’re better at everything than everybody else, you’re making a mistake,” remarked Murray Duggins.

Lead in a way that earns respect; respect your competitors and the work they do.

The Home Builders Association serves as a platform for fostering relationships with fellow industry professionals. The panelists emphasized the importance of connecting with other local builders and not letting your ego interfere with potentially beneficial conversations and relationships. “You can run your business, you can think it’s successful, but if you're going to be respected in the community by your peers, then you’re going to be a part of this organization. And when you become a part of it, you’re going to be responsible and be a part of it and work in it…Everybody’s got their own way of making their things work, but at least when I see another builder in town, I don’t walk up to him like I’m scared of him because he’s my competitor or anything. I respect what he does. And when you sit down and have a conversation with him, most of the time you’re going to take something away from that conversation,” shared Billy Wellons.

During the Q&A portion of the event the panelists were asked about what they predict from the market this year and the year’s to come. Ralph Huff stated and other panelists concurred that interest rates will continue to slowly be reduced. The anticipation is that eventually interest rates will stabilize at about 5%. Once the audience had finished asking questions the crowd gathered for refreshments and networking, fostering those relationships that will help them see success and growth that carries them forward another 50 years.

The sold out event proved a great success and the association is prepared to build off of this momentum. The next event in the series, “Building the Present: Current Builders Panel,” will take place on May 15. Panelists will include Jamie Godwin from A&G Residential, Adam Furr from Furr Construction, Jay Johnson from JSJ Builders and Pat McKee from McKee Homes. These leaders will discuss contemporary building practices, market trends and their vision for the future of home building.

For more information about the HBAF go to www.fayhba.org.