This preview shows page 1. Sign up to view the full content.
Unformatted text preview: Forecasts
The decline in housing demand has significantly
impaired the supply capacity of the housing
industry. Some regional and national builders
have failed or have exited the Colorado market.
Numerous small homebuilders have failed, while
others still exist but cannot finance new housing
construction. 2012 Colorado Business Economic Outlook However, several of the nation’s largest homebuilders with operations in Colorado have taken the
necessary steps to survive. These actions include
dramatic downsizing, charging off the value of
high-priced land holdings, and operating only in
the best market areas where they can compete with
the resale market.
The year 2011 is projected to see a modest 3%
decline, to 8,500 single-family permits in Colorado. Continued weak demand is anticipated, with
9,350 single-family permits forecasted for 2012.
The housing downturn has now affected upper
price segments. As a result, the increasing permit
value of new homes slowed from the 6-10%
View Full Document
This note was uploaded on 02/11/2013 for the course MGMT 231 taught by Professor Yu during the Spring '13 term at Bauder.
- Spring '13
- The Lottery