Rates hold high
Rates pull lower
flip the 30-yr rate path
Mortgage rates gate Toll Brothers order absorption and gross margin
30-yr rate
payment up
payment down
sentiment down
sentiment up
affordability gate
order absorption
signed per community
orders
backlog
sold, not delivered
deliveries to P&L
deliveries
below PY, mix slips
rise, mix recovers
fixed SG&A
deleverages
gross margin
compress
re-rate
margins re-rate
Q3 + FY pressured