article thumbnail

Waning Buyer Demand Is Taking a Toll on the Fix-And-Flip Market

Pro Builder

Prospective homebuyers aren’t the only ones dealing with elevated housing costs and a dearth of new inventory. The ideal environment for fix-and-flip investors is a market with high demand, low inventory, rapidly rising prices, and affordable financing,” says Rick Sharga, ATTOM’s vice president of market intelligence.

article thumbnail

Mortgage Purchase Applications Slow, Even as Rates Fall

Pro Builder

Even as rates soften, a lack of for-sale inventory continues to chip away at purchasing power, leading to a dip in purchase applications and refinancing applications at the start of June, HousingWire reports. Overall applications were more than 30% lower than a year ago, as borrowers continue to grapple with the higher rate environment.”

professionals

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

Case-Shiller National Index Reveals Monthly Deceleration

Pro Builder

According to Bill McBride’s CalculatedRisk Newsletter, the Federal Housing Finance Agency is reporting an 18.5 Though prices are still on the rise, the housing market may have already reached its peak growth period, meaning a more stable environment for buyers in 2022. . percent YoY house price increase for the third quarter of 2021.

article thumbnail

Advice for Home Builders Navigating a Market in Flux

Pro Builder

Chart: courtesy Shinn Builder Partnerships Operating Costs The 2021 report also revealed that home builder operating expenses—consisting of indirect construction costs, financing expenses, sales and marketing expenses, and general and administrative expenses—averaged just 14.2%, which is low based on historical averages of about 18%.

article thumbnail

Why Builders Wait to See Lower Lumber Prices

Pro Builder

This phenomenon is largely a result of dealers’ inventory carrying costs and potentially significant differences between the price at which inventory is bought and sold. In contrast to the dynamics of a falling-price environment, there is a much smaller lag for higher lumber prices to reach builders when market prices are increasing.

NAHB 98
article thumbnail

Top 25 Finalists for Ivory Innovations' Housing Affordability Prize

Pro Builder

In the Finance category, finalists include organizations focused on construction financing, shared-equity models, and renter programs that support increased savings and equity. CoFi is piloting a new modular construction financing program with Manufactured, an end-to-end inventory manufacturing & finance solution.

article thumbnail

April Non-Manufacturing ISM Report On Business®

Buisness Facilities Contributed Content

Comments from respondents include: “Increased customer base” and “Improved economic environment.” The three industries reporting faster supplier deliveries in April are: Mining; Information; and Finance & Insurance. Inventories. Inventories. Supplier Deliveries.