Julie Schmit, USA TODAY
Higher lot prices may boost new home prices
http://www.usatoday.com/story/money/business/2013/09/03/finished-lot-prices-new-homes/2736655/
1.) Home builders are paying higher prices for construction ready lots in many major markets.
2.) New homes could get more expensive in the coming months as a shortage of suitable lots drives up builders costs.
3.) Construction spending rises to four year high.
4.) Finished lot prices represent almost 22% of a new home's price.
5.) Builders expect future homes prices will cover their higher lot costs.
"Don't expect lot prices to keep growing at their current pace. As developers and builders refill the pipeline, price gains will slow."
David Crowe
Chief Economist for the National Association of Home Builders.
No comments:
Post a Comment