Tag Archive for ‘economics’

Gain for Construction Loan Volume During Third Quarter

After a slight (and delayed) dip in interest rates for AD&C loans, the stock of outstanding residential construction loans expanded during the third quarter of 2019. The volume of 1-4 unit residential construction loans made by FDIC-insured institutions increased 0.8%. The volume of loans increased by $628 million during the quarter, placing the total stock of loans at $80.3 billion…. Read More ›

Share of New Homes with Decks Declines in 2018

Of the roughly 876,000 single-family homes started in 2018, 22.6 percent included decks, according to NAHB tabulation of data from the Survey of Construction (SOC, conducted by the U.S. Census Bureau and partially funded by HUD). This is down over a full percentage point from he 23.8 percent recorded a year earlier. From 2005 to 2008, the share of new… Read More ›

Reversing Trend, Interest Rates on AD&C Loans Decline in 3rd Quarter

In the third-quarter of 2019, builders and developers reported declining interest rates on all types of loans covered in NAHB’s survey on acquisition, development and construction (AD&C) financing. In the third quarter, the average interest rate declined from 6.59 to 6.39 percent on loans for land acquisition, from 6.49 to 6.39 percent on loans for land development, from 6.21 to… Read More ›

New Home Sales Remain Solid in October

Contracts for new, single-family home sales declined in October by 0.7% to a 733,000 seasonally adjusted annual rate according to estimates from the joint release of HUD and the Census Bureau. The decline came off an upwardly revised September estimate, which was increased from an initial reading of 701,000 to a new estimate of 738,000. Year-over-year, the October estimate is 31.6% higher. Sales continue… Read More ›

New Single-Family Home Size Trending Lower

New single-family home size trended lower during the third quarter of 2019 as interest rates remained low. According to third quarter 2019 data from the Census Quarterly Starts and Completions by Purpose and Design and NAHB analysis, median single-family square floor area ticked up to 2,264 square feet. Average (mean) square footage for new single-family homes declined to 2,464 square… Read More ›

Texas Leads Job Gains in October

Year-over-year (YoY), total nonfarm employment increased by 2.1 million jobs on a seasonally adjusted basis (SA), or 1.4% from October 2018 to October 2019. During this time, total nonfarm employment in the Western region increased by 1.9%. The South, Northeast, and Midwest recorded gains at 1.7%, 0.9% and 0.6% respectively, during this time. According to the Bureau of Labor Statistics,… Read More ›

Single-Family Built-for-Rent Market: 3Q19

The number of single-family homes built-for-rent posted a small decline during third quarter of 2019. This market has received recent attention as a means to add single-family inventory amid concerns over housing affordability and downpayment requirements in the for-sale market. Single-family built-for-rent (SFBFR) construction does differ in structure characteristics compared other single-family homes. According to NAHB’s analysis of data from the… Read More ›

Rebound for Single-Family Starts Continues

According to estimates from the U.S. Housing and Urban Development and Commerce Department, single-family starts increased in October, consistent with solid levels for the NAHB/Wells Fargo Housing Market Index (HMI). Thanks to lower mortgage interest rates, the seasonally adjusted annual pace of single-family permits has been rising since April, the rate of single-family starts has been increasing since May, and… Read More ›

Builder Confidence Holds Firm in November

Builder confidence in the market for newly-built single-family homes edged one point lower to 70 in November, according to the latest National Association of Home Builders/Wells Fargo Housing Market Index (HMI). The past two months mark the highest sentiment levels in 2019. Single-family builders are currently reporting ongoing positive conditions, spurred in part by low mortgage rates and continued job… Read More ›