Builders To Purchase More Land In 2015
In 2015, numbers show that builders will be stepping up land purchases. These actions will inherently contribute to the overall growth of the economy, as once land is purchased development can jumpstart. Compiled is all the must-know information regarding this increase in builder power and how it may affect you:
- Not only do numbers show that builders will be purchasing more land than they did in 2014, but they will also be spending more for those land parcels.
- Many big builder companies, including Toll Brothers, TRI Pointe Homes, and Meritage Homes have influenced Wall Street analyst, James Krapfel’s predictions. He believes that even though building increase numbers may strain company margins, builders are still ready to get building.
- Builder optimism is likely fueled by the forecast that new home sales will start rising this year. This is powering an increased demand for lots.
- During the Great Recession, many homebuilders purchased cheap land parcels as they watched their competitors go out of business. However, they are now running low on lots and are ready to enter the market again.
- It is important to note that replacement lots will be significantly more expensive in 2015, as they have been on a continuous upward trend since 2011. These added costs will be seen in the builders’ profits per house.
Contact Professional Land Corporation if you want to learn more about high quality land for sale in the Inland Empire’s Victor Valley, Antelope Valley, or the Southern California surrounding areas. Professional Land Corporation has prime residential, commercial, apartment, and industrial zoned land parcels available with affordable down payments and excellent long-term financing options.