The Future of Housing

During the past five years, our industry has seen signifigant changes.  As with every downturn, the market has experienced a serious correction.  A record number of foreclosures resulted in homes being priced below their replacement cost.  When builders could no longer compete with the foreclosure market, new home starts came to a standstill.  Through it all, however, The Family Development Team has remained strong.

Although sales for The Family Development Team have decreased from 300 homes a year, the principals of the company have remained active through "creative re-positioning" that has resulted in the company continuing its operations with positive cash flow.  The Family Development Team has been hired by banks and lenders to rehabilitate many of these “new” landowners’ distressed properties.  After the "rehabilitation" was completed by The Family Development Team, the land owners were able to realize profits by selling properties free from all challenges.

In addition, using their own equity and secured debt, The Family Development Team has made a number of key land purchases that have been re-sold at a profit.  Some of these bank-owned developments included standing inventory and finished lots.   By designing innovative sales programs to effectively liquidate the homes, the lots are now secured debt-free in The Family Development Team inventory for future development.

The Family Development Team also has been active working in the foreclosure arena.  The Family Development Team has the distinction of being one of the only builders to secure a government contract to purchase, rehabilitate and resell affordable foreclosed homes utilizing the national Neighborhood Stabilization Program (NSP) monies funded by the Obama Administration’s Stimulus Package.

The Family Development Team has used its resources and expertise to ride out the storm.  But now, as with every past downturn, all signs indicate that the market has gone through the worst of times.  Goldman Sachs has reported that “Southern California residential prices have bottomed out…”   With the increased movement in both sales volume and prices that has occurred, all of the experts agree that the market is on the road to recovery.  The Wall Street Journal advised its readers, “The housing market has rarely looked better…if you’ve been sitting on the fence, it’s time to act.”

The Family Development Team recognizes that we as homebuilders and investors now have the chance to take advantage of what may be the greatest real estate market opportunity of our generation.  We no longer have to ask our investors to take the “leap of faith” by patiently hoping that within the next five years we all might realize significant profit.  With our local relationships and knowledge, we have secured land holdings that make sense to build today by offering homes at today’s market prices.

By securing these holdings now at unprecedented low prices, we feel that we are offering our investors and our clients a ground floor opportunity to take advantage of the real estate recovery.

Armed with a solid reputation and a firm commitment to building quality products and providing the most professional services with the utmost integrity, the principals of The Family Development Team stand prepared to successfully navigate through these challenging economic times and build a bright future.