Source: NAHB —
As the housing market has slowed rapidly over the past several months, builders have increasingly been reducing prices and offering special sales incentives – but nowhere near the same rate as during the 2007-2008 Great Recession when the housing sector cratered.
In November 2022, a relatively high 36% of single-family home builders reported reducing their prices, and 59% were offering special sales incentives. These percentages have steadily been growing since July, when 13% of builders reported that they had reduced home prices during the previous month to bolster sales and/or limit cancellations. However, they are nowhere near the high-water mark recorded from May 2007 through March of 2008, when the share of builders cutting prices was consistently 48% or higher and reached a peak of 59% in October 2007.