In order for the builder to keep costs down, he might cut down on the frills. Inselmann said affordable housing is relative and what constitutes it is in the eye of the beholder. If you look at the income distribution data, the lower you go, the more people there are. Inselmann said if you look at the total number of home sales in the Houston area, the further you go down in price, the larger the overall numbers for home sales. But you don't get much for that price.
Lots are expensive, labor and concrete costs more.
Prices push them out of the market. At the lower prices, the home buyer may be problematic. Inselmann said lower-income applicants are scrutinized more closely. A car payment, credit card debit, can prevent an applicant from qualifying for a loan. Often applicants have very little savings.