Custom Builder Solves Riddle of Spec Lending

Not too many custom home builders are constructing spec homes these days, nor getting financing for them. David Werschay of Werschay Homes in St. Cloud, Minn., however, is an exception.

Werschay’s approach to spec homes is straightforward: “I can’t sell cars if I don’t have cars on my lot,” he says. “If I don’t have a house out there to drive traffic during these promotion times — or any other time — I’m not going to sell lots and I’m not going to sell houses,” he adds.

Read the entire story in Residential Design and Build by clicking here.

Homeownership Rate Falls

According to a report on Bloomberg.com, the U.S. homeownership rate fell to 66.9 percent, the lowest rate since 1999. The U.S. Census Bureau estimates the number of vacant homes at 18.6 million, the result of foreclosures, homes for sale, and under utilized vacation homes.

Read the entire report by clicking here.