It’s hard to determine if this is good news or bad news.
One of the nation’s largest homebuilders, Lennar, bulldozed eight partially built homes in hard-hit Visalia, California to make way for a new housing development, per the WSJ.
The so-called “Eagle Glen” development was originally constructed by Ennis Homes and Ennis Land Development, but the company fell into bankruptcy and the lots were subsequently purchased by Lennar.
Apparently Lennar had tried to complete the homes, but they were exposed to the “elements” for too long and we’re in disrepair.
So they knocked down the homes and gave the salvageable parts to Habitat for Humanity and those that could be recycled were – so I guess it’s a feel-good story.
Now Lennar plans to develop 70 single-story homes with a starting price tag of $197,500 going all the way up to $250,000.
Interestingly, the homebuilder posted photos of the bulldozing on their Facebook account, and received favorable comments that generally contained the word “awesome.”
Perhaps the old homes were an eyesore, who knows. One commenter even asked if they could get a home with a 533 credit score (subprime much).
A Lennar representative said the woman would be contacted…
The big question here is whether builders have learned their lesson, and if we as a nation, have learned from our past mistakes.
If home building goes haywire again it seems like we’ll be heading down the same path again, yet it will be worse with all that existing and shadow inventory already out there.