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- 1Builders blame data centers and inflation for rising housing costs▼Housing Costs Keep Rising: Lennar Points to Data Center Labor Demand While KB Home Flags Fuel, Tariff and Inflation Pressures
Two of America's largest homebuilders are pointing to different forces driving housing costs higher. Lennar says competition for construction labor from booming data center projects is pushing up its costs, while KB Home flags pressure from fuel prices, tariffs and broader inflation. The remarks add to concerns that affordability pressures on homebuyers will persist despite cooling demand.
- 2Homebuilders Warn of US Housing Slowdown as Rates Top 7%●Homebuilders Sound Alarm on US Housing Slowdown as Mortgage Rates Top 7% — KBH, LEN Warn Conditions Have ‘Deteriorated’
Major US homebuilders, including KB Home and Lennar, are warning that housing market conditions have deteriorated as mortgage rates climb above 7%. The companies are flagging weakening demand and a broader slowdown in home sales, raising concerns about the outlook for the housing sector and the wider economy.