A 4 percent climb was posted by the third leading U.S. homebuilder, PulteGroup Inc (PHM.N) in its quarterly earnings from home sales, which is further derived from the company’s decision to have a price increase for the twelfth consecutive quarter.
The average selling price of the company for its products went 8 percent up to $334,000 in the third quarter ended Sept.30
PulteGroup drove revenue to an increase by placing a higher price for homes despite the fact that it lessened the speed in which it builds homes, a step reluctantly taken as a shortage of land developed for real estate emerged.
Chief Executive Richard Dugas stated that the view of PulteGroup of the housing market in the U.S. remains positive, as both the economy and employment exhibiting continued improvement and that it provides ongoing aid to an industry that continues to thrive from low inventory, low mortgage rates and demographic trends that are highly favorable.
On the New York Stock Exchange on Wednesday the shares of the company closed at $19.18.
The stock went up to about 15 percent in the past 12 months up to Wednesday’s close, while a 12 percent gain was experienced by the Dow Jones U.S. homebuilding index.