Homebuilder The Ryland Group Inc. (RYL - Snapshot Report) has unveiled its new series of single family model homes in Mission Viejo. The new community, Sendero, is going to be brought up on the new ranch community of Rancho Mission Viejo
The community houses 940 attached and detached homes. It includes about 285 single-level homes within the gated 55+ enclave of Gavilan and nearly 290 apartment units. The locality also provides a neighborhood clubhouse, numerous neighborhood parks, the vegetable and fruit gardens of Sendero Farm and access to portions of The Reserve and a network of County Regional hiking/biking trails.
The homes cover a floor space of 2,310 to 2,625 square feet and include four bedrooms, 2½ baths and two-car garages. Each has a covered outdoor entertaining area where dwellers can enjoy the surrounding natural beauty.
The rising demand for new homes has led to a favorable situation in the housing market, where inventory levels are dropping and prices are moving up. The demand is particularly high for luxury homes. Therefore, adequate product introduction is necessary in order to meet the growing demand.
We are hopeful about Ryland’s initiative to constantly introduce new products. With frequent introduction of products, the company will be able to capitalize on the improving housing market.
California-based homebuilder, Ryland recently finalized the acquisition of the assets of LionsGate Homes in Dallas, Texas. Ryland’s acquisition of LionsGate Homes will allow it to gain control over the Fort Worth market, where LionsGate Homes currently operates 17 active communities. In addition, the acquisition will provide Ryland with approximately 843 lots and homes for future sales and 146 homes, which have already been sold.
In the recently reported first-quarter 2013, Ryland posted earnings of 43 cents per share compared to the year-ago loss of 7 cents. Ryland’s revenues in the quarter surged 73.6% year over year on the back of increase in homebuilding revenues. The company’s new orders also increased in double-digits.
Currently, shares of Ryland carry a Zacks Rank #1 (Strong Buy). Other stocks in the homebuilding sector that are worth considering include Meritage Homes Corp (MTH - Snapshot Report), D. R. Horton Inc. (DHI - Analyst Report) and MDC Holdings Inc (MDC - Snapshot Report). While Meritage and D.R. Horton hold a Zacks Rank #1 (Strong Buy), MDC carries a Zacks Rank #2 (Buy)