Heritage Point in Hampton, GA
(Disclosure: Rose Law Group represents Lennar.)
By BUILDER
Lennar grew deliveries, new orders, and starts on a year-over-year basis in the company’s fiscal third quarter.
Strong employment, short housing supply, and solid demand contributed to positive results in the quarter. Executive chairman and co-CEO Stuart Miller said Lennar remains optimistic about the state of the housing market in the near future.
“While strong demand, enabled by incentives and mortgage rate buydowns, has driven the new-home market over the past two years, we fully expect an even stronger and more broad-based demand cycle as rates move lower,” Miller said during the home builder’s earnings call. “While there will be seasonality, incentives, and perhaps some adjustments along the way, we are very optimistic that the road ahead appears very positive for our home building business.”
Miller said the decision by the Fed to lower interest rates should translate in improved affordability, activating pent up demand for both new and existing homes. He said that as activity and listings increase in the resale market, the new-home market stands to benefit with improved demand from move-up buyers.
