PulteGroup Inc. (PHM - Free Report) recently revealed its plans to build 538 homes for pre-retirement and retiring boomers in northwest Albuquerque, N.M.. Built on 284-acres of land purchased from Western Albuquerque Land Holdings LLC, these homes are scheduled for an early 2015 opening. These homes are part of the first Del Webb community in Albuquerque.
The community is about 10 minutes from downtown and offers easy access to hospitals, the University of New Mexico, the Albuquerque Public Schools complex, and other shops and services. The residents can also avail facilities such as walking, hiking and biking trails, and community parks. These Del Webb homes are a part of the Mirehaven master plan, which accommodates another 348 units for a different Pulte Homes community.
PulteGroup already has an active adult community in New Mexico named Alegria under its Del Webb brand. This community comprising 376 homes was built three years back and now has less than 30 homes available for sale. There is an increasing demand among baby boomers to purchase homes in communities that support their lifestyle and make life comfortable.
Recent data from the U.S. Department of Housing and Urban Development and the U.S. Census Bureau showed that sales of newly built, single-family homes rose 9.6% in Jan 2014, which is the strongest since July 2008. Sales growth was driven by the release of pent up demand for new homes. By region, sales increased 10.4%, 11.0% and 73.7% in the South, the West and the Northeast, respectively in Jan 2014. Owing to its location in the southwest and western regions of the country, New Mexico is a favorable region for new communities.
PulteGroup carries a Zacks Rank #3 (Hold).
Investors interested in the homebuilding sector can also consider stocks like William Lyon Homes (WLH - Free Report) , Taylor Morrison Home Corporation (TMHC - Free Report) and Lennar Corp. (LEN - Free Report) . While William Lyon and Taylor Morrison sport a Zacks Rank #1 (Strong Buy), Lennar carries a Zacks Rank #2 (Buy).