Home builders have been ramping up their land holdings and doing so in a way that protects them in the event of a downturn. This is exactly what we suggest in the High Risk, High Reward part of the housing cycle.

Here are some stats on de-risking their growth:

Massive land investment

Public home builder lot control has grown 36% in the last year, to 2.02 million lots owned and controlled.

All 18 public home builders control more lots than one year ago.

De-Risking of ownership

15 of the 18 builders own a smaller % of the lots than they owned one year ago.

3 of the 18 builders even own less than 25% of the lots they control, led by NVR which owns none of the lots.

Builders control land without owning the land two primary ways

 

These agreements align the financial interests of all parties:

 

If you’ve decided 2022 is the year to take a leap into investment real estate or you’re looking to diversify & income and yield to your long-term investment let us do all the heavy lifting and enjoy an ownership position in a portfolio of cash flowing assets by investing with us @ https://hiscapitalgroup.com/fund3

 

Make informed real estate investment decisions, the profitable investor is the knowledgeable one Enjoy our Education Center

 

Source: John Burns Real Estate Consulting, LLC

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