They can recoup the investment with volume (especially apartments) I would think? Sell 10 houses at 2 million each or 30 at 1 million each or however it breaks down.

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seanmcdirmid 7 hours ago | parent [-]

Their land, labor, and material costs aren’t trivial. If thy were pulling a 10-20% margin before, how will increasing volume (which increases costs) make it up?

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bryan_w 6 hours ago | parent [-]

They reinvest that generous 10% to buy more tools and hire more talent to build 10x as many homes at 2%. Seems pretty straightforward to me

	▲	estearum 5 hours ago \| parent \| next [-]
		you should go into real estate development and make a fortune while solving a serious social problem for your country!
	▲	pixl97 6 hours ago \| parent \| prev [-]
		Taking on those liabilities is very risky when the next downturn happens and you're stuck with inventory.