Guero

Homebuilders: Why It Should Never Be More Than a Trade

You have it nailed sir. Large-scale production builders make little to no money selling sticks & bricks. Especially when entire streets have been spec'd out and sold at deep discounts. How good are their financial engineers....tha's what needs to be looked at.

Downside For KB Homes Not Necessarily Priced In

KBH is probably beat down as far as it will go. They don't have excessive land positions, especially developed lots, and a good cash balance to weather 2009. A significantly smaller footprint in one of the nation's better housing markets in Central TX is not a good sign, however.