One of the leading home building and mortgage banking companies in the United States, NVR, Inc (NVR - Free Report) unveiled the new Avalon model home in West Chester, Ohio. Home prices start from $310,000 onward.
The six Avalon model homes, under the Ryan Homes division, offer all the convenience of a single family home with ample living space, up to 6 bedrooms and a 3–car garage. The owner’s bedroom consists of a large walk-in closet, a dual vanity, a soaking tub and a shower. Avalon model homes come with a 10 year structural warranty and are ENERGY STAR certified. The residents can therefore save up to 30% on monthly utility bills.
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 maintain the required level of inventory to meet the growing demand for homes.
We like NVR’s initiative to constantly introduce new products. With frequent introduction of products, NVR will be able to capitalize on the improving markets. However, we would prefer to stay on the sidelines as the housing market is still in the recovery stage and the rest of the macroeconomic parameters are showing slow growth trajectory.
NVR carries a Zacks Rank #1 (Strong Buy).
Other stocks in the homebuilding sector that are performing well and deserve a mention include D. R. Horton Inc. (DHI - Free Report) , Consorcio ARA, S. A. B. de C. V. and Gafisa S.A. , all carrying a Zacks Rank #2 (Buy).