We evaluated the opportunity for building 300 to 400 single-family homes in a suburban community north of downtown Denver. At the time of the analysis, incentives were increasing rapidly to offset a spike in interest rates. The client needed to understand incentive strategies and their impacts on home prices and potential sales pace.
Project Opportunity Analysis for Suburban Denver Neighborhood
Overview
Services Offered
- Project Opportunity Analysis
Approach and Solution
- We evaluated the opportunity for building 300 to 400 single-family homes in a suburban community north of downtown Denver. At the time of the analysis, incentives were increasing rapidly to offset a spike in interest rates. The client needed to understand incentive strategies and their impacts on home prices and potential sales pace.
- We surveyed and analyzed surrounding neighborhoods, including communities bordering the client’s site. This was the first-time in the market cycle where builders used many forms of interest rate buydown programs to fuel home sales. Our internal team took a deep dive to quantify the builder’s cost to buy down the interest rate, and we estimated a dollar value the buydown was worth to the homebuyer.
Impact
We analyzed potential costs the client could incur to buydown the interest rate and quantified its impact to the buyer. By doing this, we helped the client understand how this new incentive in the market affected the bottom-line, and offset the home’s sales price.
Featured Consultants
Chelsea Scott
Senior Manager, Consulting
Chelsea is part of the consulting team that writes housing market feasibility and research reports helping executives make informed housing industry investment decisions.
Ken Perlman
Managing Principal
Ken works with real estate executives to help them make appropriate strategic decisions regarding their residential communities, including for-sale and rental of all types. He has a particular specialty in large-scale master-planned communities.
Case studies
Consulting Services
Real Estate Consulting
Home Building, Land Development, Build-to-Rent, Single-Family Rental, Apartments, Mixed-Use
Our experienced team of consultants thrives on helping our clients make great investment decisions. We will be an extension of your team, helping develop the right strategy for your next project.
capabilities
- Market Feasibility
- Home Price and Absorption Recommendations
- Rent and Lease-up Recommendations
- Product Recommendations
- Masterplan Segmentation by Product Type
- Demand Analysis
- Consumer Targeting
- Amenity Analysis
- Market Expansion Strategy and Rankings
- Acquisition Due Diligence
- Portfolio Valuations and Cash Flows
- Highest and Best Use
- Mixed-Use Strategy
- Home Design Trends
- Affordable Housing
Building Products Consulting
Structural Building Materials, Interior Fixtures, Prefab Construction, Commercial Construction
Our team is comprised of industry experts with diverse sector and functional experience. We partner across organizations to provide custom consulting reports to aid organic and inorganic investment decisions, strategic planning, and marketing
Capabilities
- Strategy Advisory
- Deals Support (Pre-IPO, M&A, etc.)
- Custom Surveys
- Product Innovation Studies
Contact us to maximize your opportunities in the housing market.
If you have any questions about our services or would like to speak to one of our experts about how we can help your business, please contact Client Relations at clientservices@jbrec.com.
