is primarily concerned, is the homebuyer. These consumers purchase their homes directly from the developer or in the secondary market and comprise the larger of the two segments in terms of sheer numbers (Guido, 2001, p. 79).
Within the consumer segment, additional segments can be developed. Younger individuals and families are likely to purchase smaller, starter homes that are more economical. More established consumers with families are likely to purchase move up homes that are larger and have additional amenities. As consumers age and their children move out of the home, they may choose to move into smaller residences, perhaps with on-site care. Within each of these broad segments, there are various price points that are established (Guido, 2001, p. 80).
The importance of the residential construction industry to the overall economy is far-reaching. Not only does the industry employ millions directly and indirectly across the country, it serves as an indicator of how the economy as a whole is performing. From an employment standpoint, there are hundreds of individuals associated with the construction of a single home in many cases. In the preliminary stages, an architect designs the home, a draftsman creates the drawings, engineers are likely to be involved with larger developments to ensure that water and sewage are handled appropriately. As the project moves forward, construction companies and their workers become involved, and subcontractors (plumbers, electricians, and similar tradesmen) work on the home. Landscape architects might be employed as well as landscapers in determining how the grounds of a development or home are designed, and in the case of larger developments, decorators might be brought in to create an overall image for the model homes. Inspectors are used at various phases of the project to ensure that the house is being built to local codes, and once the home is completed, real estate agents activ...