Currently Reading

What This Home Construction CEO Thinks About the Current Market


What This Home Construction CEO Thinks About the Current Market

September 28, 2020
Coins, construction, and money on table
By zephyr_p

Home builders are seeing unprecedented demand for new homes as existing home listings are minimal and consumer interests are shifting. One of the country’s largest home construction companies, KB Home, reported a net order increase of 27% compared to 2019, according to MarketWatch. President and CEO Jeffrey Mezger tells MarketWatch that, nationally, there is a three month supply of homes, yet in some of the markets KB Homes operates in, supply is down to one month. The accelerated housing demand comes from a combination of apprehensive sellers, aging generations, and historically low home supply, Mezger says.

MarketWatch: Some economists have expressed concerns that the rebound in the labor market has slowed — does that color your outlook for the housing market?

Mezger: I think in our view, you’ll see this strong demand run for a while, because of all those dynamics. People go ‘Well, there’s 20 million people unemployed these days.’ And as we’ve looked at the unemployment side of things today, most of the unemployed are at income levels below what our home buyers are at. And those people that have a job today and have good incomes are compelled to be a homeowner. So you have everything aligned for an incredible run on new home sales right now.

Read More

Related Stories

Housing Markets

Arizona, Utah, or Cali: Which Western Market Is Best?

Out of Phoenix, Salt Lake City, or the California region—which West Coast market would win? John Burns Real Estate Consulting puts the three…


What Younger Generations Want From a Home

YPulse, a youth marketing company, found in a recent report that Millennials look to their homes as retreats and an escape from the outside world…

Market Data + Trends

Zillow Predicts Home Sales to Peak This Fall

Could home sales begin to taper off after this fall? Zillow thinks so. While the company predicts home sales to decrease as we enter winter and…


More in Category


Create an account

By creating an account, you agree to Pro Builder's terms of service and privacy policy.

Daily Feed Newsletter

Get Pro Builder in your inbox

Each day, Pro Builder's editors assemble the latest breaking industry news, hottest trends, and most relevant research, delivered to your inbox.

Save the stories you care about

Lorem ipsum dolor sit amet lorem ipsum dolor sit amet lorem ipsum dolor sit amet.

The bookmark icon allows you to save any story to your account to read it later
Tap it once to save, and tap it again to unsave

It looks like you’re using an ad-blocker!

Pro Builder is an advertisting supported site and we noticed you have ad-blocking enabled in your browser. There are two ways you can keep reading:

Disable your ad-blocker
Disable now
Subscribe to Pro Builder
Already a member? Sign in
Become a Member

Subscribe to Pro Builder for unlimited access

Lorem ipsum dolor sit amet, consectetur adipisicing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua.