All GLG News Analyses Filed Under: Homebuilding

1.  Unsold Inventory will increase in 2008. 2.  Gross margins will seem to be inflated but this should  be analyzed closely as this could be skewed by previous impairments. 3.  Well-managed companies will survive this bear market and shine in the long run.

What will happen in 2008 for the homebuilding industry? Will cash be generated? Will there be failures? Will there be profits?

    The one constant in Las Vegas is change.      Sadly, too many analysts suffer from marketing myopia when they examine change.  They’re like the boxer who can see the jab, but misses the uppercut.      Take a close look at...

What are the econonmic and cash impacts from a tax standpoint of large impairment losses recorded by homebuilders?  How/when can cash be recovered from these losses?

Some reported gross margins from home sales may appear to be higher than they really are.  Investors should be alert for situations where reported gross margins are inflated by prior inventory writedowns.

"Modular" used to be a dirty word in the building industry, bringing up images of hucksters touting crackerjack-box homes plopped down on a street corner or a vacant lot.  Not any more and modular does not mean "mobile" as in double-wide trailer.  What is more,modular homes typically cost...

Here’s an example of a conversion from an older hotel property in an OK but not great location losing its momentum. The per unit cost of the renovation will prevent a reasonable return from being realized for the current owners. The only investment hope will come after the monetization of losses...

    The housing Grinch appears to be packing his bags this holiday season and getting ready to leave Las Vegas.  November’s housing statistics suggest that Las Vegas may be the first major market in the United States to begin recovery.  It was reported that the Grinch,...

We are very early in terms of the impact on our economy. 2008 will see more non-performing loans, and builders will go belly-up. The loss of the home ATM has taken trillions out of the economy, and with that spending gone, the impact will trickle beyond the builders, to construction material providers...

There is no doubt that housing market activity has declined sharply over the last few months, with listing volumes down by 30% from September 2006 to September 2007.  Unlike the USA, it is doubtful that this will lead to significant price falls, but the reduced volumes are likely to continue. ...