"I like thinking big...if you're going to be thinking anyway, you might as well think big."

Donald Trump (1946 – )
Real estate developer

i am not a doom and gloom kind of guy, and I am not going to start here.  So, allow me a little liberty here.  One of the issues, of a lot of builders were that they over build.  They took the "field of dreams" mentality, if you build it they will come.  I read an article yesterday that a builder in Chicago had terminated most of its staff and ceased nearly all work since they had 5 years of homes to sell.

Now, does that make sense - 5 years of homes to sell.  They worked themselves out of a job.  Did they not have have a forecast to work off.  I know the mortgage meltdown caught a lot of people by surprise, but 5 years is a little too much of the silver lining than I would ever be. 

I am sure that this one company is not alone.  I am sure that you can look in your own backyard and see a few builders that are in the same situation.  They simply over built.  I could go on and on about some of the practices that some of the larger builders have done to basically cut their nose off to spite their face.

So, when you hear that home starts are down, what we are not hearing or even looking at is home many of these builders have invetory that they simply over built.

Dave Woodson

The Indiana Loan Officer