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Although Large Companies May Build More Than 20,000 Homes Per Year, the Top Ten Builders Together Hold Only 10 to 15 Percent of the Market

Posted on: Wednesday, 3 May 2006, 12:00 CDT

Research and Markets (http://www.researchandmarkets.com/reports/c36455) has announced the addition of "Residential Real Estate Construction -- Industry Profile" to their offering.

About 140,000 companies build or renovate homes in the US, with combined annual revenue close to $350 billion. Large builders include Centex, Pulte, Lennar, and DR Horton. Most builders are small, with about ten employees, build from five to 20 homes per year, and have annual revenue under $3 million. Only about 2,000 companies have annual revenue greater than $10 million. The industry remains fragmented. Although large companies may build more than 20,000 homes per year, the top ten builders together hold only 10 to 15 percent of the market.

Demand for new housing depends on population growth and is linked to low interest rates. Large builders have some advantages in purchasing and marketing, but building methods are essentially the same for large or small builders. While larger builders have efficiencies because they can repeatedly build the same home models, they generally develop projects on large pieces of land. Small builders, therefore, do most home construction in dense urban markets where little land is available.

Major products are single-family homes and multi-family buildings. Out of an average 2 million homes built each year, 80 percent are single-family homes and 20 percent are units in large apartment-style buildings. Multi-family units can be either apartments or condominiums. Home remodeling accounts for about 15 percent of industry revenue. Companies generally specialize in either single-family or multi-family work.

These easy-to-use, quarterly industry profiles provide you with the industry analysis you need to better understand any particular business. They synthesize information from hundreds of sources into an easy to digest format, giving you invaluable information about your target market, highlighting critical industry statistics and issues, changes that have taken place since the last quarterly update and key concerns that can have negative or positive impacts on investments. Utilizing the financial and forecasting data while simultaneously learning from educational business overviews can help you and your customers plan more effectively and invest wisely.

These industry reports will educate your sales team on critical industry trends in target markets, empowering them to create more strategic proposals. These industry reports are also essential for professional organizations that want make savvy, educated business decisions.

Key topics covered:

- Industry Overview

- Quarterly Industry Update

- Business Challenges

- Trends and Opportunities

- Call Preparation Questions

- Financial Information

- Industry Forecast

- Website and Media Links

- Glossary of Acronyms

Companies mentioned:

- Centex

- Pulte

- Lennar

- DR Horton

For more information visit http://www.researchandmarkets.com/reports/c36455

Source: Business Wire

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