Tuesday, September 12, 2006

TRUTH SERUM IN THE AIR TODAY???

Hovnanian CEO: Housing market changing dramatically

BOSTON (MarketWatch) -- The chief executive of home builder Hovnanian Enterprises Inc. at an industry conference Monday said housing markets are changing "quite dramatically" and that new-home prices have effectively reversed through the use of concessions and incentives. Speculators and investors were a greater part of the market than anyone realized, and are now contributing to the inventory overhang of homes as they stop buying and relist homes, said Ara Hovnanian at the Credit Suisse Homebuilding Symposium in New York. "Buyer psychology has shifted . . . buyers are more content to wait on the sidelines than they were," the CEO said. "Cancellation rates have been creeping up."

4 comments:

smoggiebakersfield said...

"Buyer psychology has shifted . . ."

B.S, I earn $70K per year and won't allow myself to be a house slave for the next 30 years.

Psychology has nothing to do with it, it's simple math! I'll just wait until prices plunge!

Anonymous said...

The evedence to strong...they know they have to give in.

Bakersfield Bubble said...

They are trying to engineer a soft landing...

Ae Thunder said...

No $h*t!
Speculators are destroying this country,one town at a time.
But,Hey,the made their $$$$ so the rest of us who,actually DO the work can just sit down and keep working.

I swear that Greedy, Unchecked Free-Marketers" , make the best arguments for Communisim.