I have seen large expensive homes getting built first, and the second builder builds large inexpensive homes. Heck. larger inexpensive homes. Poplar woods in Concord NC. I know, I built one of those inexpensive homes and never closed cos I fought with the beazer.
Brief history – Start out in 96 with Shea and David weekly build 3000 sqft at 100 a sqft. After 50 or so they bail with beazer comming in as the builder. Through 98-99 beazer builds ~240K for 3000 sqft. Side by side comparisons actually make the beazer look better atleast on the outside. Then they build their next cheaper set cos 98-00 the market got very slow in the area (.com migration in part, 1000’s of people left the area leaving Wachovia and B of A) at ~60-70 a sqft for a smaller house. Which is significant cos smaller means more $$ per sqft really. Then in 02 on the last 6 lots they build their pure tract build 2600 sqft for $50 a sqft. Nice house, but cheap. Also of note is that beazer bought Squires in 2000 I think and that might have changed their management philosophy.
In any case, in a down market, lot selling cannot be good news for the previous FB’s. The new builder will screw them with no qualms. They are after all, not their customers, they are their competitors customers. I’d suggest they get ready for the shafting of a life time. And that is even before the foreclosures hit. Watch as the whole area drops to 1/4th its value when its all done.
Cool.
Cow_tipping.