Pulte: 55+ Housing Market Falters

Includes: ICF, IYR, PHM, XHB
by: Judy Weil

Del Webb has been Pulte Homes' moneymaker for some time now. The Del Webb unit builds homes for the 55+ market. Looks like that population segment has joined the younger generation in the trenches. From Pulte Homes’ Q408 conference call: (NYSE:PHM)

Inventory buildup was the result of a high cancellation rate which was 47% for the fourth quarter compared with a 37% rate for the third quarter of 2008 and a 40% rate for the prior year fourth quarter. The cancellation rate for our Del Webb brand was approximately 43% for the fourth quarter 2008.


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