Toll Brothers Inc TOL -2.49%.’s shortfall in new orders for its fiscal third quarter underscores a challenge now facing the U.S. home-building industry: Aggressive price increases in the past two years have hobbled demand at a time when builders finally are ramping up supply.
Toll, a luxury builder based in Horsham, Pa., reported Wednesday morning that new orders for the quarter ended July 31 amounted to 1,324 homes.
That’s a 6% decline from Toll’s year-ago figure when analysts were expecting a gain of about 10%.
