KB Homes Sees 48% Cancellation Rate

[ElCubano]

9 pages to translate something no one owns....only on ET



talk about "paper' trading...this is more like "paper" fighting...

 

[Triple X]

My guess is the hedgies are all short the housing stocks...otherwise TOL & KBH would be trading under 20 imo.

 

[Traveler]

The builders are essentially selling call options at a discount on new houses.

Now if they could force specific performance (you have to close on the house) or have much larger damages for failing to complete the transaction they wouldn't get burned.

Traveler

 

[bgp]

i'm sorry risktaker . i was looking at the wrong thread reply. i meant tradinmad. sorry.

bgp

 

[ByLoSellHi]

Quote from Grandeur:

I should not have said anything, this was the start of a thread where one could have learned a lot about the posters.

You were wrong. It was a 48% absolute cancellation rate.

It wouldn't have been a big deal had you not been so bloody arrogant about it, mate.