Does Home Building Pay Its Way?

The Buffalo Niagara Builders Association (BNBA) is the voice of the building and development industry in Western New York. It is the local chapter of both the New York State Builders Association (NYSBA) and the National Association of Home Builders (NAHB). The Builders Association advocates for housing choice, economic growth, and quality of life benefits within the region served by the association. Its members frequently encounter persistent and erroneously founded objections to their work, typically expressed by public officials and/or community members, based on the premise that new home developments do not generate enough tax revenue to cover the cost of services those same developments demand.

This objection typically is based on a set of facts and assumptions that do not factor in the complexity of how local economies function. Accordingly, a simple exercise comparing the cost to provide services with property tax collections does not explain why growing communities are economically successful, while communities that are not growing struggle economically.

The video features Elliot Eisenberg, the “Bowtie Economist,” an internationally acclaimed economist who specializes in analyzing economic metrics related to the residential housing market. In it, Dr. Eisenberg lays out the economic facts of the value of new home development in an entertaining and often humorous way. He breaks down the economics of home building into three phases: the construction phase, the ripple phase, and the occupancy phase. In each, he describes how money flows throughout the community after people get jobs, make, and spend money, and pay taxes. The primary goal of the video is communication. BNBA’s target audience are public officials who do not understand how their actions governing land use policy have a profound impact on the economy of their communities.

Our team of eLearning experts brings 15+ years of experience and unique skillsets to every custom learning project to deliver meaningful experiences. Recently awarded a 2020 Brandon Hall Group HCM Excellence Award for Best Unique or Innovative Learning & Development Program, our goal is to help you overcome your home building challenges and educate your customers through eLearning.