Epcon Franchising’s Core Customers Drive the Housing Market
Epcon Communities ranch-style homes will be more in demand as the housing industry continues to underestimate the need for quality homes for Baby Boomers
Epcon’s co-founder Phil Fankhauser talks architecture, demand and Epcon’s beginnings
Contrary to what most builders seem to think, Baby Boomers are not done reshaping the housing industry. The housing industry has catered to Boomers since the 1940s — first with starter homes, then larger homes. Now that Boomers are retiring, their needs and desires have changed — and a lot of builders have failed to adjust. They have lost sight of the generation’s influence and continue to focus on younger buyers, even though Baby Boomers continue to dominate home building.
That creates a huge opportunity for Epcon Communities Franchise Builders, who are perfectly positioned to take advantage of the shortage of housing for the active adult home buyer. Epcon Communities Franchising Inc. is one of America’s largest homebuilders (“2013 Builder 100,” Builder Magazine, May 2014), and it is one of the only home building franchise companies that exists. Epcon and its Franchise Builders develop communities of ranch-style, maintenance-free homes popular with 55+ buyers — a demographic that is projected to drive new home sales in the United States for many years to come.
Brad Hunter, chief economist for Metrostudy, the nation’s leading provider of housing market information, sees a huge shortfall in supply for the types of maintenance-free homes and communities where Baby Boomers want to live.
An excerpt from Metrostudy:
“Historical norms in housing are based on data from the past 35 years. Over that time, new home starts have been a leading indicator of the health of the housing industry. But today, the housing industry needs to adjust its thinking from ‘starter home buyer’ being the leading indicator and re-focus its attention on the ‘baby boomers and their buying habits’ as the leading driver of housing market health. They are-and have always been-the driver of housing starts in this country over the past 35 years. For the first time in our nation’s history, people 55+ will lead the new home building category, accounting for 52% of total potential new home demand. If and until the millennial generation as a whole begins housing formation and has the wealth required to build a home, the baby boomers will be the catalyst and should be the focus of the housing industry for overall market health. It requires a concerted effort to re-focus attention on this demographic, and begin to create the supply for the identified demand.” – Brad Hunter, economist, for Metrostudy
Epcon Communities Franchising and its Franchise Builders have constructed more than 28,000 homes, which makes us one of the top home builders in the country. We’ve been building homes that are popular with active adult buyers for nearly 30 years, tweaking and refining according to constant feedback acquired by Epcon’s leadership team. We are way ahead of the curve.