Company: DREM
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001641172-25-004861
Chunk: 145

Company: Dream Homes & Development Corp.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 1A
Chunk 145
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 service
debt.

Historically,
builders have recovered from subcontractors and their insurance carriers a significant portion of the construction defect liabilities
and costs of defense that the builders have incurred. Insurance coverage available to subcontractors for construction defects is becoming
increasingly expensive, and the scope of coverage is restricted. If we cannot effectively recover from our subcontractors or their carriers,
we may suffer greater losses which could decrease our net income.

Raw
material and labor shortages and price fluctuations could delay or increase the cost of new home construction and adversely affect our
operating results.

The
homebuilding industry has from time to time experienced raw material and labor shortages. In particular, shortages and fluctuations in
the price of lumber or in other important raw materials could result in delays in the start or completion of, or increase the cost of,
developing one or more of our residential communities. In addition, we contract with subcontractors to construct our homes. Therefore,
the timing and quality of our construction depends on the availability, skill and cost of our subcontractors. Delays or cost increases
caused by shortages and price fluctuations could harm our operating results, the impact of which may be further affected by our ability
to raise sales prices.

We
experience fluctuations and variability in our operating results on a quarterly basis and, as a result, our historical performance may
not be a meaningful indicator of future results.

Our
operating results in a future quarter or quarters may fall below expectations of securities analysts or investors and, as a result, the
market value of the common stock, whether trading or not, may fluctuate. Because of such variability, our historical performance may
not be a meaningful indicator of future results. Our quarterly results of operations may continue to fluctuate in the future because
of a variety of both national and local factors, including, among others:

●
the timing of home closings and land sales;

●
our ability to continue to acquire additional land or secure option contracts to acquire land on acceptable terms;

●
conditions of the real estate market in areas where we operate and of the general economy;

●
raw material and labor shortages;

●
seasonal home buying patterns; and

●
other changes in operating expenses, including the cost of labor and raw materials, personnel and general economic
conditions.

10

Our
future growth may include additional acquisitions of companies that may not be successfully integrated and may not achieve expected benefits.

Acquisitions
of companies may contribute to our growth and be a component of our growth strategy