With all the housing drama lately going on, one truth has stayed constant for years: new home sales are holding up due to rate buy-downs, but housing permits are still at recession levels! What gives here? First and foremost, new home sales have outperformed the existing home sales market for many years now, and they […]
New home sales still at multiyear highs Read More »
A delayed December new-home sales release showed a slight increase in 2025 over a year earlier, but median new-home sales prices decreased, reflecting a challenging homebuilding market weighed down by cost reductions, elevated incentives and a slower-than-expected sales pace. “New home sales ended 2025 on a mixed but resilient note, signaling steady underlying demand despite
2025 new-home sales inched up; concessions weakened prices Read More »
There’s a version of this market where “buying sales” becomes the default operating system for nearly everyone. When that happens, the question stops being whether incentives rise. They do. The real question becomes: who has the operational and balance-sheet self-control to decide where to lean in—and where to hold the line—even if it means slower
Meritage holds its line as new-home demand turns inelastic Read More »
We’ve said it before. When D.R. Horton reports its quarterly earnings, what you’re watching isn’t just the scoreboard of America’s largest homebuilder. You’re watching a business model operating at a different altitude — and with different oxygen — than almost every other homebuilding enterprise in the country. And when it performs, the implications go far
What D.R. Horton’s dominance means for every U.S. homebuilder Read More »
After a long delay caused by the government shutdown, we finally have a new home sales report for October! The report shows that lower mortgage rates, which are now moving toward 6%, are helping to keep new home sales steady, similar to what we see in the existing home sales market. New home sales are
Lower mortgage rates support steady new home sales Read More »
By the time the homebuilding industry reaches Super Bowl LX on Sunday, Feb. 8, the stakes will be unmistakable. That date marks more than the unofficial kickoff to Spring Selling Season, for U.S. homebuilders large and small. It signals the point at which months of price capitulation, incentive layering, cost cutting, and balance-sheet triage either
Builders greet 2026 squeezed by policy flux and margin erosion Read More »
The debate over the large builders’ elevated use of mortgage buydowns — and the potential risks to buyers — isn’t new. Reigniting the argument, a recent report from the American Enterprise Institute (AEI) asserts that mortgage buydowns among the large builders are artificially inflating new home prices, therefore creating a risk for buyers in the
Are mortgage buydowns a lifeline or a risk for new homebuyers? Read More »
Selling houses in an uncertain market, as we find ourselves in today, is challenging. Maybe we should stop trying to sell the house and instead focus on the positive impact it will have on our buyers’ lives. This is the approach Mars Inc. used to sell its Snickers bar. The ad campaign “You’re not you
Note to self: sell the lifestyle, not just the house, to boost sales Read More »
Monthly payments for new and existing homes are now nearly equal, amid a trend of stagnating prices and increased use of mortgage buydowns among builders. That was one of the main findings from Realtor.com’s Q3 New Construction Report. According to the report, buyers purchasing a new home last quarter had an average mortgage payment only
New home price premium hits record low Read More »
Mortgage applications for new-home purchases decreased 2.6% compared to a year ago, according to the Mortgage Bankers Association (MBA)’s Builder Application Survey data for October 2025. Compared to the month prior, applications decreased by 1%. MBA noted that this change does not include any adjustment for typical seasonal patterns. “Lower mortgage rates, ongoing usage of
October new-home mortgage applications fall 2.6% Read More »