One of the leading home building companies in the United States, KB Home (KBH - Analyst Report) unveiled a new community of homes called Stapleton Conservatory Green. Homebuyers caught a glimpse of the model homes in this beautiful community at the grand opening celebration held on Apr 6, 2013. The new community is the fifth community in the Stapleton master plan, which was initiated in 2002.
Stapleton homes accommodate up to 3 bedrooms, 2½ baths, optional basement and a 2-car garage. Owing to its operational business model KBnxt, KB Home always begins construction only after a purchase agreement is executed. Therefore, consumers buying KB homes get the liberty to plan their homes according to their preference.
Homeowners at the Stapleton Conservatory Green will be able to choose from six two-story floor plans, several interior features and cabinetry, flooring, and light fixtures. In addition, these homes have ENERGY STAR certified appliances and WaterSense labeled fixtures, which will significantly cut down energy and water 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. Most homebuilding companies are constructing increased number of new homes in order to maintain the required level of inventory to meet growing demand.
KB Home intends to open more than 120 communities in 2013, with more communities scheduled to come up in the latter half of the year. Community count is expected to increase by at least 15% to 20% by the end of next year. The company expects profitability for fiscal 2013.
KB Home carries a Zacks Rank #2 (Buy).
Other stocks in the homebuilding sector that are performing well and deserve a mention include MDC Holdings Inc. (MDC - Snapshot Report) and Ryland Group Inc. , both carrying a Zacks Rank #1 (Strong Buy) and D. R. Horton Inc. (DHI - Analyst Report) carrying a Zacks Rank #2 (Buy).