Strong performance in single-family homebuilding
Article Abstract:
Single family housing offers a significant investment opportunity in the 1990s. The factors of the single-family housing market are similar to other manufacturing and real estate businesses in that returns are the result of either appreciation, entitlement or manufacturing. The risks associated with the home building industry include those associated with construction, marketing and land inventory. Homebuilders that produce higher returns typically focus on inventory turnover rather than margins, build mid-priced homes, have higher rates of return and are in strong local markets.
Publication Name: Real Estate Review
Subject: Real estate industry
ISSN: 0034-0790
Year: 1993
User Contributions:
Comment about this article or add new information about this topic:
Increasing institutional investments in single-family home building
Article Abstract:
Investments in single-family housing developments provide substantial benefits over traditional investments, such as warehouses, retail space and other commercial real estate developments. Studies show that between 1980 and 1990 home building averaged annual returns and risk-adjusted returns that were higher than commercial real estate. Home-building returns averaged higher returns during low inflation periods. Single-family housing developments also diversify investment portfolios.
Publication Name: Real Estate Review
Subject: Real estate industry
ISSN: 0034-0790
Year: 1993
User Contributions:
Comment about this article or add new information about this topic:
The difficulties of periodic performance evaluation
Article Abstract:
Issues associated with the periodic performance evaluation of real estate investments are examined, with a focus on four major questions: who should perform evaluations? how often should evaluations be conducted? how should income tax and interest charges be handled? and what are alternative measures' relative merits? One alternative measure, the present value return-on-investment ratio, is discussed.
Publication Name: Real Estate Review
Subject: Real estate industry
ISSN: 0034-0790
Year: 1993
User Contributions:
Comment about this article or add new information about this topic:
- Abstracts: String of investments leads to rent-free living. The power of the pen
- Abstracts: Measuring energy demand: heartbeat of a building. Institute of Real Estate Management national officers 1981. Academy of Authors inducts new members
- Abstracts: Determining the feasibility of hotel market repositioning. The anatomy of a failure: a hotel. Comparing the costs of major hotel franchises
- Abstracts: Hong Kong's No. 2 man paints shifting Asia-Pacific. The changing roles of real estate professionals: an industry review
- Abstracts: Changes in Europe that will affect corporate real estate. The 1992 U.K. commercial property market