Can Hovnanian Enterprises, Inc. (HOV) Keep Building On Its Turnaround?

Still, Hovnanian Enterprises, Inc. (NYSE:HOV) won’t necessarily have clear sailing ahead. One possible disadvantage that both Hovnanian and KB Home face is that their focus on lower price-points in some markets could cause problems because of negative trends affecting first-time homebuyers. High levels of student debt have kept some buyers out of the market, and now that mortgage rates are starting to rise, some marginal buyers might find themselves unable to get financing.

In Hovnanian Enterprises, Inc. (NYSE:HOV)’s report, watch for the company to detail how it plans to take maximum advantage of the recent increases in home prices over the past year. By watching where Hovnanian plans to focus its efforts, you should be able to get a sense of where the best housing prospects are nationwide.

The article Can Hovnanian Keep Building On Its Turnaround? originally appeared on Fool.com.

Fool contributor Dan Caplinger has no position in any stocks mentioned. You can follow him on Twitter @DanCaplinger. The Motley Fool has no position in any of the stocks mentioned.

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