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Home Builders Cutting Prices!
Home Builders Cutting Prices!
More Home Builders are Cutting Prices and Offering Incentives – But Not at 2008 Levels As the housing market has slowed rapidly over the past several months, builders have increasingly been reducing prices and offering special sales incentives In November 2022, a relatively high 36% of single-family home builders reported reducing their prices, and 59% were offering special sales incentives. Among builders who did reduce their home prices, the average reduction was 5% in July 2022, and 6% in three subsequent surveys conducted through November. Sales incentives is a standard business model for many home builders, and has been on the rise in recent months. During the latter part of 2022, the share of builders offering incentives increased from 43% in July to 53% in September and 59% in November.
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