June’s Builder Intelligence Report Indicates Builders Are Raising Prices
June 17, 2019
Latest survey data from BTIG suggests that some builders are raising prices more aggressively following a strong mid-spring selling season. Twenty-two percent of respondents said they raised most or all base prices in May versus April — the highest read since September 2018.
Highlights from the Latest Builder Intelligence Report
Sales and traffic. In May, 39 percent of builders reported year over year increases, versus 47 percent in April and 59 percent in May 2018.
Expectations. Thirty-four percent of builders reported that sales were better than expected, while 27 percent reported they were worse than expected.
Pricing and incentives. The 22 percent of builders who raised most or all base prices compares to only 12 percent reporting the same in April. The report suggests that builders are beginning to test pricing power.
Input costs. About one-third of respondents reported an increase in land, labor and/or material prices from April to May, but prices for all three appear to be stabilizing.
HomeSphere/BTIG Builder Intelligence Report
HomeSphere partners with the research firm BTIG to create a monthly report to provide our builders and manufacturers with exclusive and timely insights about the market.
To compile the report, we survey HomeSphere’s 2,600 regional and local home builders about sales, traffic, pricing, labor costs and other key industry metrics.
How to Get The Monthly Report
If you are a builder and would like to participate and receive the monthly report for free, request an invitation below: