First Encounter with H R Horton

[Dublin ohio]

Horton has been buying lots in subdivisions in my area that are being developed by competing developers. But have not seen any subdivisions developed by Horton. They are relatively new to my area. Suspect this is their way of testing the waters. Here is an example Last # is number of parcels


06/09/2020 $899,000 D R HORTON INDIANA LLC Change Owner 1954 10

 

[Overimprovement]

I have a good friend that worked for Pulte, and these large builder business models really revolve around economies of scale. They are the creating the Model T's of the home world. They differ in how much of their business model is securing assemblages and zoning changes, and horizontal development, VS actual profits from the construction of the homes and lot sales.

Either way, I think Dublin makes a good guess--these are not small local builders, they make $$ on their assembly lines. The longer the line, the more the profit.

 

[Zoe]

Just be careful on contract prices. I have several builders that are wearing me out on prices. (their agents).

They always agree in the end and close. No lawsuits yet. knock on wood.

I really don't have several. Just a few. You'll know them but Idk if the pressure is coming from builder or agent. I really don't care where the pressure is coming from.

That's like me trying to assess the quality of plumbing or electricity . I am not licensed to do that. I know what I am licensed to do.

If you have a medical condition that is bothering you, don't call me. I will refer you in a heartbeat.

 

[Overimprovement]

Just be careful on contract prices. I have several builders that are wearing me out on prices. (their agents).

Especially all the 'builder upgrades'. You can have the special swirly pattern in the granite for only $2,000 more--only one in the subdivision that would have this!

Many of these are like carnival prizes. Cost $100--if anything, charge $500, actual market value, $0-$25.

 

[Zoe]

Especially all the 'builder upgrades'. You can have the special swirly pattern in the granite for only $2,000 more--only one in the subdivision that would have this!

Many of these are like carnival prizes. Cost $100--if anything, charge $500, actual market value, $0-$25.

Their construction is nice. It is no way it is Q3 in my book. Some appraisers would disagree with me. All I have done have been C1. I like the houses. They are very basic and functional. Very Q4.

Horton is making money hand over fist. He has it rolling.

 

[Zoe]

Idk in other markets if he upgrades construction quality. Idk.

I know he buys land cheap the areas I work. Very cheap in low property tax rate areas.

Here is another plus for homebuyer's though. Conformity is very stable in the design and construction in his houses. They don't vary much. Makes appraiser's life easy. Very homogeneous in subdivisions.

 

[ramrcdk]

Unusual, I think, for Horton to have such a small number for a development.

Around here they will buy 3-4 infill- lots here & there. Passing by a Neighborhood w/ last buildout @8-12 years ago, I saw a Big
DR Horton sign on frontage road. ***Curious-drive-by: All of the lots were scrub-lot-leftovers next to power line tower & easement
nearest the entrance & frontage road. Starting at $300k & up. All lots had sold signs, maybe 6-8 lots. A few more really bad lots were also nearest the easement w/n the dev'. The lots sloped severely downwards to the easement & required lots of dirt-packing for the footprint which had zero yard utility-use. But had a great view of the electrical tower easements!

Another: Friends Family-Mom still lived there, sold for $960k with 8+ acres around & behind the house & pool. $$ Reason Said: already a portion of the rear of the land was zone multi-fam' BUT I find that to be "unique". Reality: possibly land runs' adjacent to the older attached TH dev' zoned multi-fam.
Anyway, Mom was very happy & the buyers will certainly (not) enjoy the sound of traffic from the Outer Belt Loop!

A Starter Home Builder.

 

[Zoe]

Around here they will buy 3-4 infill- lots here & there. Passing by a Neighborhood w/ last buildout @8-12 years ago, I saw a Big
DR Horton sign on frontage road. ***Curious-drive-by: All of the lots were scrub-lot-leftovers next to power line tower & easement
nearest the entrance & frontage road. Starting at $300k & up. All lots had sold signs, maybe 6-8 lots. A few more really bad lots were also nearest the easement w/n the dev'. The lots sloped severely downwards to the easement & required lots of dirt-packing for the footprint which had zero yard utility-use. But had a great view of the electrical tower easements!

Another: Friends Family-Mom still lived there, sold for $960k with 8+ acres around & behind the house & pool. $$ Reason Said: already a portion of the rear of the land was zone multi-fam' BUT I find that to be "unique". Reality: possibly land runs' adjacent to the older attached TH dev' zoned multi-fam.
Anyway, Mom was very happy & the buyers will certainly (not) enjoy the sound of traffic from the Outer Belt Loop!

A Starter Home Builder.

He may get tax credits in infill lots. It's possible.

 

[Zoe]

It's very possible to get tax credits and pay for demolition of any improvements that have reached end of economic life.

Of course he does new construction. But? That could add up if you got tax credits on new construction.

 

[ramrcdk]

It's very possible to get tax credits and pay for demolition of any improvements that have reached end of economic life.

Yes True perhaps.
In this case, LOL, it wasn't a demo-type home & pool with spa & rocks & stuff.
...BUT it may be by now.