906163--2/22/2008--NVR_INC

related topics
{gas, price, oil}
{condition, economic, financial}
{loan, real, estate}
{regulation, change, law}
{cost, regulation, environmental}
{cost, operation, labor}
{product, liability, claim}
{debt, indebtedness, cash}
The homebuilding industry is experiencing a significant downturn. The continuation of this downturn could adversely affect our business and our results of operations. Interest rate movements, inflation and other economic factors can negatively impact our business. Our inability to secure and control an adequate inventory of lots could adversely impact our operations. If the market value of our inventory or controlled lot position declines, our profit could decrease. Because almost all of our customers require mortgage financing, the availability of suitable mortgage financing could impair the affordability of our homes, lower demand for our products, and limit our ability to fully deliver our backlog. If our ability to sell mortgages to investors is impaired, we may be required to fund these commitments ourselves, or not be able to originate loans at all. Our current indebtedness may impact our future operations and our ability to access necessary financing. Government regulations and environmental matters could negatively affect our operations. We face competition in our housing and mortgage banking operations. A shortage of building materials or labor, or increases in materials or labor costs may adversely impact our operations. Product liability litigation and warranty claims may adversely impact our operations. Changes in tax laws or the interpretation of tax laws may negatively affect our operating results.

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