KB Home Reports Weakened Housing Market and Rising Resale Inventory

The U.S. housing market has experienced a downturn since June, according to homebuilder KB Home. ResiClub reported that Jeffrey Mezger, executive chairman of KB Home, stated resale inventory has climbed to its highest levels in ten years, becoming the company's primary competitive challenge. [1]

Mezger stated that prices are beginning to fall across more of the firm's active markets, which is increasing competitive pressure on builders. ResiClub noted that sellers in the Texas resale market are capitulating further as inventory rises. [1]

KB Home was founded in Detroit, Michigan, in 1957 as Kaufman & Broad and became the first homebuilder traded on the New York Stock Exchange. The company is currently headquartered in Los Angeles, California, with plans to relocate its headquarters to Tempe, Arizona, in 2027. [3]

The builder allows buyers to customize property designs during the construction process and holds the record for certifying more Energy Star homes than any other U.S. builder. However, the firm previously paid settlements exceeding $70 million regarding building defect claims in Florida. [5]