From housing economist Tom Lawler:

Below is a table showing some selected operating statistics from large, publicly-traded home builders for the quarter ending March 31, 2016.

Here a few (of what could be many) points.

1. In terms of units, 27% of D.R. Horton’s net orders last quarter were from its “entry level” Express brand, up from 18% in the first quarter of last year. Express comprised 23% of Horton’s deliveries last quarter, up from 8% a year earlier.

2. Both Meritage Homes and MDC Holdings said that they either had or were to planning to increase production of lower priced homes (“entry-level-plus” in Mertigage’s case, and their “new, more affordable product line” in MDC’s case.

3. Meritage Homes said that its margins were in “a handful” of communities in Southern California and Arizona that it acquired in 2013 were adversely impacted by the reduction in FHA loan limits in those markets effective at the beginning of 2014. Specifically, the company said that “(w)hen those loan limits were reduced, we weren’t able to get the prices we were expecting …”

  Net Orders Settlements Average Closing
 Price ($000s)
Qtr. Ended: 3/16 3/15 % Chg 3/16 3/15 % Chg 3/16 3/15 % Chg
D.R. Horton 12,292 11,135 10.4% 9,262 8,243 12.4% 290 281 3.1%
Pulte
Group
5,652 5,139 10.0% 3,945 3,365 17.2% 353 323 9.3%
NVR 4,137 3,926 5.4% 3,006 2,534 18.6% 369 371 -0.4%
Cal
Atlantic
4,135 3,960 4.4% 2,727 2,435 12.0% 432 398 8.5%
Beazer Homes 1,538 1,698 -9.4% 1,150 936 22.9% 328 306 7.3%
Meritage Homes 1,987 1,979 0.4% 1,488 1,335 11.5% 400 387 3.4%
MDC Holdings 1,646 1,593 3.3% 907 909 -0.2% 435 420 3.6%
M/I Homes 1,314 1,108 18.6% 876 717 22.2% 353 325 8.6%
Sub
Total
32,701 30,538 7.1% 23,361 20,474 14.1% 344 329 4.7%
LGI Homes 844 671 25.8%
Total 32,701 30,538 7.1% 24,205 21,145 14.5% 332 318 4.4%

From http://feedproxy.google.com/~r/CalculatedRisk/~3/dO4QlVaKcx0/lawler-q1-home-builder-results.html

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