Tag Archive for: builders

2019 vs. 2026 Housing Inventory; So Many Interesting Takeaways!

In 1985, when I was motorcycling across America, I stopped at a dive bar in West Virginia for lunch because it was the only place around. It had that depressing, all-too-quiet, seen-it’s-better-days, worn out, musty lunchtime atmosphere that I’d seen at similar establishments all across the country. The only patrons were a few state construction workers grabbing lunch, a couple of local alcoholics, and a very bitter CBS reporter nursing a Bloody Mary. I recognized the reporter instantly, as I had seen him on hundreds of newscasts over the years (back when there were only three networks and reporters were much more famous). I made the mistake of asking the reporter why he was there… and I got a long diatribe about how he had been “put out to pasture” (just like an old horse) in a remote field office, waiting for stories to break – but they never did. He then told me in no uncertain terms how much he hated West Virginia. Coming from Arizona, that was the first time I had ever heard anything negative about the state, but apparently, that reporter was not alone with his sentiments - and homebuilders got the message. I share this story because West Virginia has seen one of the largest inventory drops in the country (down 51%) since 2019. “Crash Bro,” Nick Gerli, shared the below chart, comparing 2019 to 2026 housing inventory changes in every state – and the takeaways are fascinating.Read More

Why Appraisers Don’t Call Out Huge Builder Financing Incentives

I learned to appraise real estate in the early 1990s when the market was still cooling off from its 1990 peak. Our biggest account was with the exclusive lender for […]Read More

Lennar’s Offering 4.25% Mortgage Rates! Buyer Beware!

In 1983, the English synth-pop band Frankie Goes To Hollywood sang “Relax, Don’t Do It.” Most listeners were totally confused by the lyrics though – not realizing that the band […]Read More

How Can Builders Offer 3%+ Rates In a 6%+ World?

There are some major home builders offering substantially discounted interest rates along with the purchase of one of their homes – as long as buyers use the builder’s mortgage lender. […]Read More

No Lender Fees & Lender Credits = Higher Rates; No Free Lunches

We recently had a Texas borrower almost leave us for a competitor that was offering “no lender fees, no appraisal fee and a small credit for closing costs.” Fortunately though, […]Read More

Competing With Builder Financing – False Enticements & Lender Credits!

Most new home builders offer large credits to buyers who opt to use the builder’s preferred mortgage company. The credits come in the form of interior “upgrades” (better floor coverings, […]Read More