Um, the builder is getting all of that money upfront. It’s built into the price. Now when the home is built, if the value is well below the builders projections then the builder is making additional monies off of the purchaser.
Your post would make sense if prices jumped well beyond the builder’s projections but thry rarely do in these days for houses.
So it is bullshit and at least some builders feel guilty while others do not. I hope this crap gets regulated or banks provide the mortgage based on the builder projection and not an appraisal. I don’t see them doing that.
I’ve seen builders guarantee the price so hopefully we see more of that. People should stop buying and demand more from builders. It’s only fair, right?