August 22, 2014

Elyria
Cloudy
73°F
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Price slash benefits builder’s sales

Slash prices and they will come. Oster Homes sold 95 homes last week in the promotion called “Deal of the Century,” said Brian Zuccaro, director of marketing.

Oster offered free lots worth up to $85,000 with selected home models and slashed prices on other homes, he said.

Some of the discounts meant a difference of several hundred dollars a month on a monthly mortgage, he said.

The company also had a drawing for a free 42-inch flat screen television.

“We had about 1,500 people come out and a lot of them may become homeowners down the road,” Zuccaro said.

While the hours were billed as 9 a.m. to 9 p.m., “realistically we were working with customers and closing deals up to midnight,” Zaccaro said. “It was an all-hands effort.”

Nationwide, its parent company, A.K. Hovnanian Co., made 2,100 sales and its stock shot up from about $10 to about $14 in one day, Zuccaro said.

For those worried about selling their current home first, Oster offered a guarantee of price protection and interest rates for up to a year.

Oster builds some 250 to 315 homes a year locally, so it will be able to build homes ordered during the promotion without any problem, he said. About 20 homes that were sold already had been built, he said.

The company will likely offer different promotions in the future but this one was a great success, he said.

“We shook up the market a little – the news stories were negative for a month straight.”

Contact Cindy Leise at 653-6250 or cleise@chroniclet.com.