(Houston, TX) With quarterly and annual housing stats down in the Houston area, Ashton Woods Homes offers surprising news — a 46% increase in Houston-area sales during fiscal year 2009.
The builder ended its fiscal year May 31, reporting not just the significant increase in annual sales, but also a sizeable drop in its cancellation rate, from 49 percent to 22 percent.
Dan Gezella, vice president of sales and marketing for Ashton Woods, said company sales during the previous 2008 fiscal year (June 2007 through May 2008) were typical for most area builders and credits a concentrated market analysis and resulting product changes for this year’s surge in sales.
“We really studied our submarkets and adjusted our product features, pricing and incentives to accommodate our target market,” Gezella said. “We were trying to build value in our customers’ eyes, so while we were not necessarily offering the lowest prices, we were the best value when they considered features versus price, and it worked for us. We achieved a great deal this year when most builders’ sales volumes have dropped.”
In fact, the Houston market reported a 54 percent decline in housing starts during the first quarter of the year compared to the first quarter of 2008 and a 35 percent decline in starts from April 2008 through March 2009, according to Metrostudy, a national housing market research firm that tracks housing activity on a quarterly basis.
Gezella said Ashton Woods expects another strong fiscal year, with plans to move into three new communities. “We are definitely looking for opportunities to expand,” he said.
A long-time Houston area builder, Ashton Woods offers designs in nine communities. Base pricing ranges from the $120,000s to $410,000s. The builder has earned several coveted industry awards, including the Greater Houston Builders Association’
In addition to Texas, Ashton Woods also builds in Georgia, Florida, Colorado and Arizona. For more information, visit www.ashtonwoodshomes.com.
