Mr. Wilson: I think it's been a combination of factors. Obviously from a macro national housing market standpoint, lower interest rates have had a lot to do with the market holding together. The fact that even though the economy has been weak, job losses have not been terribly significant has also been pretty good at holding the overall market together. Specifically with the public companies, and I'm sure we'll talk about it more, they are constantly gaining market share because the strength of their balance sheet against small players has allowed them to do much better than the overall national market not only over the last year, but also over the last 10 years.
TWST: David?
Mr. Jarrett: I would certainly agree with those comments. I would
also add that since a lot of people have been badly burned over
the last few years by the stock market, they are now seeking
refuge in their homes. After the collapse of technology and
telecommunication stocks over the last two years, investors were
just starting to pick up their heads, when suddenly they got a
rash of accounting scandals, accelerating earlier this year. I
think a lot of investors are now saying, 'Well, if I cannot trust
managements, their lawyers, their accountants, security analysts
or the government to monitor these companies, why should I invest
in common stocks? Maybe I should put my money into an area that
has been proven to be solid over the last several decades, which
would be homebuilding ' owning your own home.' I think that's a
significant part of the current strength in the housing market. I
know a number of my friends have thrown their hands up on the
stock market and are thinking more and more about putting money
into a home, whether it be remodeling or finding a new home or an
upgrade home.
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