November 8, 2006
-- by Dave Johnson
No good news: Housing slump deepens - The Boston Globe,
Home builders Toll Brothers Inc. and Beazer Homes USA Inc. said orders for new homes declined and customer cancellations rose as the US housing slump deepened.Business week: How Deep Housing's Decline?
Toll, the largest US luxury home builder, said fiscal fourth-quarter home-building revenue fell 10 percent and orders tumbled 58 percent. Beazer Homes, the seventh-largest home builder by revenue, said orders dropped 58 percent.
"We continue to look for signs that a recovery is imminent but can't say that one is in sight," Toll chief executive Robert Toll said yesterday on a conference call. Buyers have lost confidence in the home market and are delaying purchases, convinced that prices will continue to fall, he said.
With 30-year mortgage rates down to 6.1% from a July high of 6.8%, unemployment benign, and lending rates stable, the luxury home builder's CEO, Bob Toll, expressed surprise Tuesday that he's seeing no sign of a bottom in the market.
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