From Yahoo Finance: 2025-03-29 09:00:00

Homebuilders are facing challenges due to high mortgage rates and tariff uncertainty. KB Home reported a 17% drop in net orders for the first quarter, leading to a 4% decline in shares. The company lowered its average selling price range for 2025. Overall, new single-family home sales rebounded slightly in February.

KB Home CEO noted muted demand at the start of the spring selling season. Lennar also reported a slight increase in net new orders but projected lower-than-expected quarterly orders. Both companies are adjusting prices to address affordability concerns. Trump’s tariffs on construction materials from Canada and Mexico are adding to the industry’s uncertainty.

Smaller builders are concerned about the housing market outlook. Growing pressure from tariffs and affordability issues are impacting confidence levels. D.R. Horton is set to report its fiscal second quarter earnings in April. Builders may need to adjust home sizes or options to address affordability and drive demand.



Read more at Yahoo Finance: Homebuilders face ‘muted’ spring selling season amid high mortgage rates, tariff uncertainty