How Is the Coronavirus Affecting Homebuilders?
Builders are not strangers to crisis. Just over a decade ago, the housing industry tanked, prompting the Great Recession. But now they face new roadblocks: supply chain disruptions, government shelter-in-place orders, and public fear sparked by the pandemic to name a few. But among it all, the builders’ confidence is still relatively high, and the industry is knee-deep in digital innovation sparked by the coronavirus’ hold on American life. This is not a situation builders want to be in, but the industry is evolving.
As the country seems to cautiously lock down in order to stem the spread of the coronavirus, homebuilders are embracing what is now becoming the new normal for the wider real estate industry – going virtual.
Miami-based Lennar Corp, one of the U.S. largest publicly traded homebuilders, is inviting buyers to its online showings and offering drive-through closings, said CEO Stuart Miller on a Thursday conference call.
“Even in the current environment, we are selling homes,” Miller said as reported by The Real Deal. “Since the first quarter, new orders continue to be strong.”