News & Opinions
The latest news and insights from Hanley Wood’s outspoken experts and key thought-leaders throughout the residential and commercial design and construction industry.
Frank Anton / BUILDER magazine / December 5, 2013
When the recession hit Naples, Fla., a high, high end resort/second home community, housing prices there dropped up to 50% and housing activity didn’t just drop it vaporized. But, last week, when I was driving down the main beachfront roadway in Naples, this is what I saw: scores of pickup trucks and no fewer than a dozen new homes under construction ranging in price from $10-million to $25-million .
I’ve never seen such a concentration of super expensive housing activity. It seemed to me a sign that the rich are getting richer…not to mention hundreds of probably previouslyRead More
Frank Anton / Hanley Wood / April 22, 2013
When it comes to housing, I’m an information junkie. Want proof?
I regularly collect housing reports, and I don’t just collect the reports, I read them. Why? Well, I’m looking for data points and analysis that will make me more confident that I really know where housing is headed. Lately, most of what I’ve read suggests that housing is headed in the right direction, and I was feeling pretty good. But then this week I was surprised to read that NAHB’s Homebuilder’s Index, which basically indicates whether builders are optimistic or pessimistic, took a dip.Read More
Frank Anton / Hanley Wood / February 2013
One way to protect yourself in a declining market is to get a bigger piece of a smaller pie. Unfortunately just the opposite happened to builders during the 2007-2012 downturn. Historically new homes each year account for about 15% of all homes sold. However, during the downturn that percentage dropped to about 7% or down by more than 50%. Talk about adding insult to injury.
There are some “good” reasons that new home sales lost share. Among them: the glut of bargain-priced REO units; the shortage of new home inventory; and builders, more or less by necessity, pulling back on their
Frank Anton / Hanley Wood / November 27, 2012
A weak housing market often gets blamed for the Great Recession as well as the anemic economic recovery. But, if the pattern portrayed in the accompanying chart holds, housing should, as it always has, come to the economy’s rescue.
Frank Anton / Hanley Wood / November 26, 2012
Fear and loathing. That pretty much sums up how both many small builders and most building product manufacturers feel about the nation’s top 100 builders. Small builders, especially those in the major housing markets where big builders are most active, complain that the big boys outbid them for land then undercut them on housing prices. It’s not fair, they say. Building product manufacturers complain that the big boys beat them down on price then specify low margin, low end product. And they say that’s not fair.
Whether they play fair or not, the big builders are getting much bigger. ThisRead More