Welcome to our daily roundup of the latest happenings in the real estate sector! Today, we explore a variety of compelling stories ranging from the top U.S. home builders by revenue in 2023, to the increasing popularity of new constructions over existing homes due to high prices and interest rates. We also take a closer look at local events like the ‘Parade of Homes’ in Cleveland, the impact of fluctuating lumber prices on the housing market, troubling delays faced by new home buyers in Florida, and an exciting new housing development in Lompoc. Each piece offers unique insights and developments that are shaping the real estate landscape. Dive into today’s news to stay informed and ahead in the world of real estate!
Largest U.S. home builders 2023, by revenue | Statista
Lennar Corp. emerged as the top homebuilder in the United States in 2023, with a staggering homebuilding revenue of $32.5 billion. Following closely behind was D.R. Horton, headquartered in Arlington, Texas, generating over $32 billion in revenue. However, the residential construction market faces challenges as the number of private housing units started has not fully recovered since the global financial crisis. The value of residential construction has been increasing since 2011 but is expected to decrease in the coming years, potentially impacting the revenues of companies like D.R. Horton. Similarly, the number of new houses sold has also experienced a decline, with significant drops in 2021 and 2022. Despite a slow recovery after the financial crisis, the growth in new house sales has halted. To learn more about the largest U.S. home builders and their revenue, click here.
New construction still popular as most Americans believe it’s a bad time to buy an existing home | Fox Business
New build homes are gaining popularity as existing home prices and interest rates remain high. In March, over a million single-family new builds were started, marking a 21.2% increase compared to the previous year. However, new builds saw a decline of 12.4% from February. Texas, California, and Florida had the highest number of new build permits, while less populated states like North Dakota, Alaska, Wyoming, and Vermont had the fewest. The National Association of Home Builders predicts that new home construction will continue to rise, with a 4.7% increase in 2024 and a 4.2% increase in 2025. Despite the high cost of home purchases, more than a third of Gen Z and Millennials seek help from their parents for a house down payment. To learn more about the popularity of new construction and the challenges of buying an existing home, click here.
Tour 16 local new construction homes at the annual ‘Parade of Homes’ – cleveland.com
The Home Builders Association of Greater Cleveland is hosting its annual Summer Parade of Homes, where potential homebuyers can tour over a dozen new Northeast Ohio homes. This event, taking place in June, also known as National Homeownership Month, offers the opportunity to explore 16 model homes throughout the Greater Cleveland area. Don’t miss out on this chance to discover your dream home. Find out more about the Parade of Homes here.
Framing Lumber Prices | NAHB
NAHB continually tracks the latest lumber prices and provides an overview of the behaviors within the U.S. framing lumber market. Softwood lumber prices have been volatile due to increased demand, rising tariffs, supply-chain bottlenecks, and insufficient domestic production. The cost of softwood lumber directly impacts the price of a new home, along with rising wages for construction workers and higher interest rates. Homebuilders and remodelers may experience price relief once mill prices have substantially decreased or stabilized. To learn more about framing lumber prices and their impact on the housing market, click here.
‘Very frustrating’: New home buyers complain after lengthy delays – WFTV
Several central Florida families who signed contracts with home builder Palladio Development claim that the home building process has turned into a nightmare. The company has taken their money but failed to deliver on the promised homes, leaving unfinished shells and broken promises. The man behind the company, Giro Katsimbrakis, has a criminal history and the company has received an “F” rating with the Better Business Bureau. Customers have complained about construction delays and broken promises, causing mental anguish and financial problems. Despite blaming COVID for the delays, Palladio Development claims to be honoring the contracts and plans to complete the homes. However, affected homeowners are skeptical and hope to prevent others from going through similar experiences. To learn more about these frustrating delays faced by new homebuyers, click here.
New homes will soon be under construction in Lompoc
A new housing development is set to transform a more than 25-acre property off 12th Street and Laurel Avenue in Lompoc. The Williams Homes River Terrace development will consist of 106 single-family houses, 76 duplexes, and 75 two-story townhomes. With the growing demand for housing in Lompoc, including the need for housing for teachers, public safety personnel, and nurses, this construction comes at an opportune time. Construction on the new homes is expected to begin in the coming months, with a targeted completion date set for September 2024. Don’t miss out on the chance to be a part of this exciting new community. Find out more here.