"That story makes for a clean headline, but it doesn't hold up under scrutiny. If rates alone were the problem, America's largest homebuilder wouldn't still be signing contracts. Yet D.R. Horton continues to expand its order book in a market many have already declared dead. Not booming, not euphoric, but very much alive. What we're seeing isn't the collapse of housing demand. It's the collapse of outdated business models. The market isn't broken. It's being re-engineered."
"In its most recent quarter, D.R. Horton posted net sales orders in the high teens of thousands, up modestly year over year despite mortgage rates hovering around 7% and buyers feeling the squeeze. Closings were down from the prior year, but that reflects timing, product mix, and inventory management, not a sudden disappearance of buyers. Home sales revenue totaled around $6.5 billion on 17,818 closings. Gross margin came in at 20.4%, down from 22.7% a year earlier but essentially flat versus the prior quarter."
Housing demand has not collapsed; buyers continue to sign contracts despite mortgage rates around 7%. D.R. Horton posted net sales orders in the high teens of thousands with modest year-over-year growth, indicating sustained buyer activity. Closings fell from the prior year primarily due to timing, product mix, and inventory management rather than vanished demand. Home sales revenue was about $6.5 billion on 17,818 closings. Gross margins compressed to 20.4% from 22.7% a year earlier but remained essentially flat quarter over quarter as pricing and incentives absorbed rate pressure. The market is adapting through product, pricing, and operational changes rather than breaking.
Read at www.housingwire.com
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