Homebuilders in Sunbelt housing markets are working through a ‘spec overhang’

Homebuilders spent much of the past year cutting prices, upping incentives, cutting specs, and slowing starts in the softest Sunbelt markets. Now, unsold completed new-build inventory has stopped surging.

[Photos: Adobe Stock]

Want more housing market stories from Lance Lambert’s ResiClub in your inbox? Subscribe to the ResiClub newsletter.

Speaking at the Bank of America Housing Symposium in June 2025, Toll Brothers CEO Doug Yearley—who has since stepped down—acknowledged that parts of Arizona, Florida, and Texas were dealing with spec inventory “overhangs” that he said would eventually “clean up [over........

© Fast Company