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Old 10-07-2007, 06:52 AM
 
1,740 posts, read 5,744,765 times
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There are tons of inventory homes from nearly every builder right now because people are having a hard time arranging financing - or unable to sell their houses. This has nothing to do with KB. For those that are interested - there are three inventory homes in Saddle Mountain right now. Check them out - very nice.

 
Old 10-10-2007, 10:38 AM
 
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As a follow up to my previous post about Saddle Mountain Inventory homes - two of the inventory homes are listed on MLS - one is not - but is on the same street as the model and is a one story.

Quote:
Originally Posted by jerryg View Post
Ooooh. and one of the neighborhoods I'm looking at buying into is a KB one, too.

Neat. Leverage on my side is a good thing.
Did you buy? Were you able to get a deal with KB?

Last edited by Trainwreck20; 10-11-2007 at 09:58 AM..
 
Old 10-10-2007, 11:03 AM
 
Location: Centreville
90 posts, read 290,280 times
Reputation: 33
Haven't bought yet - I'll be out in the area on the 18th, 19th and 20th (19th and 20th being my days on the ground looking at places) before I fly back on the 21st.

Right now, I'm actually leaning towards renting, even though I -could- come out and do a straight buy. I want to make sure that I'm buying into the right area for the family and kids, after all, and I don't want to make a snap decision that we could be stuck with for a number of years. I've made that mistake once, I'm not making it again.
 
Old 10-10-2007, 11:07 AM
 
1,740 posts, read 5,744,765 times
Reputation: 342
Quote:
Originally Posted by jerryg View Post
Ooooh. and one of the neighborhoods I'm looking at buying into is a KB one, too.

Neat. Leverage on my side is a good thing.
Quote:
Originally Posted by jerryg View Post
Haven't bought yet - I'll be out in the area on the 18th, 19th and 20th (19th and 20th being my days on the ground looking at places) before I fly back on the 21st.

Right now, I'm actually leaning towards renting, even though I -could- come out and do a straight buy. I want to make sure that I'm buying into the right area for the family and kids, after all, and I don't want to make a snap decision that we could be stuck with for a number of years. I've made that mistake once, I'm not making it again.
You should look at the inventory homes in Saddle Mountain - might be able to get a really good deal as they have been discounted recently. We would seriously consider them but neither of the two story plans have a full bathroom on the first floor - just a half bath.

Right now the best home to buy is an inventory home - if you are looking for the best deal. It would be worth checking out.

More signs that there might be bargaining power ahead:

Existing home sales to decline 10.8% - Oct. 10, 2007 (broken link)

While the article does note that areas like Austin are actually experiencing growth we can all notice that the existing home sales have slowed in SA.

Saddly - while KB has discounted the inventory homes in Saddle Mountain - they have once again readjusted their pricing structure for the neighborhood. They have lowered prices (which sounds good initially) but then did away with incentives. This actually is a wash on some lots but makes other lots more expensive. Net Net - this change will probably make the lots we are interested in more expensive. I am hopeful that in the next couple of months KB will bring back the incentives. They would be crazy to not adjust the prices of the homes to reflect the current conditions in the market.

A friend who has a home under construction in Fox Grove - slated to move in next month - just had his second contract fall through on his existing home. He has discounted his house multiple times and is now a month away from closing on his new house - without a buyer on his old house. I am fearful of being in the same situation. It would be helpful if KB would negotiate the price to give buyers more room to sell their existing homes.

Another article pointing to a slump in the residential real estate sector:

MySA.com: Business (http://www.mysanantonio.com/business/stories/MYSA101107.01E.Construction_Employment.28935c8.htm l - broken link)

September foreclosures see a downfall - Oct. 11, 2007

Texas was in the top ten for sunbelt states with problems:

"States in the Sun Belt and the Rust Belt continued to dominate foreclosure filings.

Nevada led the pack in the rate of September filings: one for every 185 households for a total of 5,504. Other hard-hit, Sun Belt states were Florida (one in 248), California (one in 253), Arizona (one in 316), Georgia (one in 316), Colorado (one in 326) and Texas (one in 615)."

And yet another article - this one specifically mentions some of KB's sales tactics. I firmly believe that their Saddle Mountain community would take off if prices were about $15K less than current prices. Their options are so expensive that it is very easy to add $40-50K to the base price with little effort. Anyway - as I said - they dropped the prices in Saddle Mountain but also dropped the incentives - so no real drop in prices. Hopefully more will come. Check out this article:

http://finance.yahoo.com/real-estate...g?mod=oneclick

For anyone interested in this community - the inventory homes are an incredible deal right now...I just with they had one in the floorplan I was interested in. But if you like the floorplans available - they are a deal.

Last edited by Trainwreck20; 10-11-2007 at 09:59 AM..
 
Old 10-11-2007, 10:03 AM
 
1,740 posts, read 5,744,765 times
Reputation: 342
Has anyone else seen discounts at other builders in town? Or increased incentives?
 
Old 10-11-2007, 11:13 AM
 
1,740 posts, read 5,744,765 times
Reputation: 342
Another article just posted about KB Home's mortgage partner Countrywide:

Countrywide mortgage funding falls 44% to $21.2B - Oct. 11, 2007 (broken link)

Just curious if anyone on this forum works for KB? Any idea how this is affecting KB Home sales?
 
Old 10-11-2007, 02:37 PM
 
1,740 posts, read 5,744,765 times
Reputation: 342
What does Country Wide know about the housing market....their CEO is cashing out of his options. What could this mean for KB?

Countrywide CEO faces new scrutiny, mortgage funding sinks - Oct. 11, 2007 (broken link)
 
Old 10-11-2007, 05:39 PM
 
Location: Earth
226 posts, read 926,034 times
Reputation: 95
Quote:
Originally Posted by banker View Post
Another article just posted about KB Home's mortgage partner Countrywide:

Countrywide mortgage funding falls 44% to $21.2B - Oct. 11, 2007 (broken link)

Just curious if anyone on this forum works for KB? Any idea how this is affecting KB Home sales?

My salesman at KB told me that they sold more homes in San Antonio than any other builder last quarter.
 
Old 10-11-2007, 08:08 PM
 
1,740 posts, read 5,744,765 times
Reputation: 342
Quote:
Originally Posted by joe123456 View Post
My salesman at KB told me that they sold more homes in San Antonio than any other builder last quarter.
Good for them - bad for me.

Of course - what is the SALESMAN supposed to say. But who's to know. What community are you in?
 
Old 10-12-2007, 05:33 AM
 
1,740 posts, read 5,744,765 times
Reputation: 342
Another builder reporting losses - lets see what happens as KB approaches their 11/30/07 year end.

Centex To Post $850 Million 2Q Charge On Neighborhood, Land Inventory (broken link)
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