Fewer People Buying New Homes in US Resulting To Foreclosures
In cities like Phoenix where the number of foreclosures is sky high, major home builders are launching aggressive ad campaigns in an attempt to compete with the thousands of foreclosed homes that are flooding the market there. With their ad campaigns the home builders are trying to highlight the benefits of buying a new home vs. a foreclosed one to consumers.
A report by an Arizona State University research team has found that over 4% of the homes in the Phoenix area were lost to foreclosure last year, with total foreclosures topping 70,000 in that city alone. This is massive inventory now available on the market, and it means there is not much room left for new home sales. The builder Lennar is fighting back with a new web page that lays out the benefits of new construction, while Shea Homes and Fulton Homes already have similar programs. x