Study: Home building quality highest in West

SAN DIEGO
June 27, 2006 11:37am

Production homes built in California and the West outranked all other parts of the U.S. in construction quality, according to a study of more than 31,000 new homes completed in 2005 by Quality Built, an independent risk management firm in San Diego.

The study indicated that common problems, such as window flashing problems, improper roofing, missing structural hardware and other defects were more prevalent in the eastern and southern states, despite the insurance industry's reports of higher claims in the west.

"This study clearly indicates a pattern of improved real construction quality, which cannot be measured by a homeowner answering a questionnaire," says Stan Luhr, CEO of Quality Built and the author of the study.

"These findings tell us that west coast builders are building a much better product than ever before, despite the increased complexity of the product and the diminishing labor talent,” Mr. Luhr says. “I am very pleased to see this, and also somewhat concerned that the eastern U.S. and Hawaii rankings have fallen over the prior year study."

Mr. Luhr says he believes the study indicates the results of a growing trend outside California of increased labor shortages and also the spread of more complicated housing designs that are popular in the West.

He attributes the increased quality in the West, particularly in California, to builders who are embracing quality metrics and cultures used by other industries.

"Builders are learning very quickly through new computer technologies that we can track quality metrics to justify these changes, and the changes are very good for business. Everyone wins when defects are eliminated in the construction process," says Mr. Luhr.

The single highest risk problems identified in single-family homes included improper framing around windows and doors, building paper and house wrap installation flaws, and missing structural connections. In multi-family homes, the risk problems included building paper and house wrap installation flaws, unprotected penetrations in life safety assemblies and missing fire-rated materials.

No cosmetic flaws were tabulated in the study. Instead, high-risk components and systems were evaluated which, when improperly installed, can lead to serious safety, comfort and durability issues during home ownership. Some flaws, such as missing structural connections shown in the approved plans, would not be noticed by the homeowner until there was a catastrophic event such as an earthquake or high wind event.

"It concerns me that we routinely find missing structural connections in buildings around the country. This is the exact type of component that builders pay thousands of dollars per home for municipal inspectors to catch. It shows to me, and is supported by litigation evidence, that the municipal inspection process is failing us and we need to take a different direction," Mr. Luhr says.

The study was based on new homes and condominiums in 27 states, constructed by more than 900 different builders. The inspections were conducted and data collected by independent inspectors specially trained to identify high-risk construction defects, a significant departure from studies based on homeowners' questionnaires such as J.D. Power & Associates and others says Quality Built.

Quality Built makes its money by arranging for third-party inspections of homes under construction. It is paid by homebuilders.