Originally Posted by tony1679
They can. They choose not to (although partly due to regulation...mandatory air bags and back-up cameras cost money). If the regulation was taken out of the picture they absolutely could.
I think you just answered your own question. They can't because those regulations aren't going away. Same with houses, there's some study that say government regulations do increase the cost of homes. Those aren't going away either.
Originally Posted by tony1679
There's plenty of math to support it. I can build my perfect house for between $70-90K plus land (verified by a few builders I've had discussions with). This is including labor, materials...everything. So why can't builders build a similar house (maybe strip a few things like my excessive insulation and framing) for $100K and turn a minimum $10K profit for a quick small build? This is also assuming my builder isn't making any profit (they are), and they can't get materials cheaper than my cost...
Why is the math not there? The correct answer is greed. They are like car salesmen and want to squeeze every last dollar out of everyone. Think I'm wrong? Go look at new homes with nails popping out of roofs & drywall. Go look at the mud+tape jobs that an elementary school kid could have done better.
We as a society do not live within our means. This is why we're trillions in debt, and buying more house than we need.
If the money isn't there, then explain the tiny home movement. I suppose they are literally donating their time and materials?
I don't think you know the difference between a spec home and building your own. A spec home is where you build the house without a buyer. So you have carrying costs and more risks. The greater the risks, the greater the rewards. If you just contract with a builder to build a house, it's much more limited downside for him as he knows he's getting paid, may even demand payment up front. I already answered your question earlier, why make a 10k profit if they can make a 20k or 50k profit? Who is going to settle for a lower profit? Greed is the basis of capitalism.
As for your tiny house movement, again refer to spec house vs build to suit. Two totally different finance mechanisms. Spec homes need financing for the builder, build to suit doesn't, make the owner pay in advance.