Builders acknowledge slump
New home market slowing
The Herald-Tribune reports on the changing sentiment in the builder community about the local new home market. This may be the first article in SW Florida where multiple builders speak out on the market slowdown.
Factors cited include the pullback of investors, the consecutive years of severe hurricanes and fears over rising interest rates. Buyer leverage and control is growing daily, particularly in this segment where national public builders are driven by quarterly earnings objectives.
I visited a new Ft. Myers exclusive gated community yesterday, the builders salesman that provided me with pricing, included a $72,000 premium for a homesite on a small lake. I am willing to bet that these types of highly profitable charges will fade away as builders look to move their growing inventories.
Local home builders say that slump has arrived [Herald-Tribune]
The Herald-Tribune reports on the changing sentiment in the builder community about the local new home market. This may be the first article in SW Florida where multiple builders speak out on the market slowdown.
Factors cited include the pullback of investors, the consecutive years of severe hurricanes and fears over rising interest rates. Buyer leverage and control is growing daily, particularly in this segment where national public builders are driven by quarterly earnings objectives.
I visited a new Ft. Myers exclusive gated community yesterday, the builders salesman that provided me with pricing, included a $72,000 premium for a homesite on a small lake. I am willing to bet that these types of highly profitable charges will fade away as builders look to move their growing inventories.
Local home builders say that slump has arrived [Herald-Tribune]
posted by Mark Washburn on 1/20/2006
0 Comments:
Post a Comment
<< Home