Tag Archive for ‘economics’

Flat Conditions for Custom Home Building

NAHB’s analysis of Census Data from the Quarterly Starts and Completions by Purpose and Design survey indicates custom home building was effectively flat over the course of 2018. There were 36,000 total custom starts for the fourth quarter of 2018. This was down compared to the final quarter of 2017 (40,000). Over the course of 2018, custom housing starts totaled 170,000. This… Read More ›

New Single-Family Home Size Continues Decline

Continuing a multiyear trend, new single-family home size decreased during the final quarter of 2018. According to fourth quarter 2018 data from the Census Quarterly Starts and Completions by Purpose and Design and NAHB analysis, median single-family square floor area ticked down to 2,316 square feet. Average (mean) square footage for new single-family homes increased to 2,567 square feet. On a less volatile one-year moving average,… Read More ›

Despite Slow Quarter, Townhouse Construction Expanded in 2018

According to NAHB analysis of the most recent Census data of Starts and Completions by Purpose and Design, townhouse construction posted outperformed other building sectors over the course of 2018. However, like other submarkets, townhouse construction softened during the fourth quarter. Nonetheless, townhouse construction is set for further expansion given the demographics of renters entering the for-sale market, as well as… Read More ›

Homes Built in Nonmetropolitan America

Of the 848,000 single-family homes started in the U.S. in 2017, roughly 79,000 were nonmetropolitan—that is, they were built outside one of the officially-defined metropolitan areas—as reported in a recent NAHB study,  At 79,000, nonmetropolitan single-family starts were up 40 percent from the trough in 2011, compared to a 97 percent for single-family starts overall. The NAHB study is based on territory… Read More ›

AD&C Loan Stock Declines for First Time Since 2013

The volume of residential construction loans decreased 0.2% during the fourth quarter of 2018, ending a period of 22 consecutive quarters of growth. While the decline was small, the slowdown in the stock of lending for development purposes mirrors a recent NAHB survey finding neutral conditions for AD&C lending as interest rates increased. Tight availability of acquisition, development and construction (AD&C) loans has been a limiting… Read More ›

New Home Sales Up 1.5% for the Year

Despite a period of weakness during the Fall of 2018, new home sales ended 2018 up 1.5% compared to the total for 2017. Contracts for new, single-family home sales increased almost 4% to a 621,000 seasonally adjusted annual rate according to estimates from the joint release of HUD and the Census Bureau. However, the surprisingly strong initially reported November pace was revised down from a… Read More ›

Rocky Mountain and the Far West Led GDP Growth in the Third Quarter of 2018

Real gross domestic product (GDP) increased in 49 states and the District of Columbia, in the third quarter 2018 compared to the second quarter of 2018. U.S. Bureau of Economic Analysis reported the real GDP growth rates, measured on a seasonally adjusted annual rate basis, ranged from 5.8% in Washington to 0.0% in West Virginia. Nationwide, real GDP growth slowed to… Read More ›

U.S. GDP Increases 2.6% in the Fourth Quarter

After a 3.4% rise in the third quarter, the nation’s economy grew at a slower pace in the fourth quarter of 2018. According to the “initial” estimate1 released by the Bureau of Economic Analysis (BEA), real gross domestic product (GDP) increased at an annual rate of 2.6% in the fourth quarter of 2018, slower than the previous two quarters. It… Read More ›

Housing Starts Drop in December

With the delayed December data now published, the pace of single-family starts declined for the fourth consecutive month as housing affordability concerns weighed on the home construction market at the end of 2018.  However, home building posted gains in 2018 relative to 2017. Total single-family and apartment construction starts were up 3.6% for the year, according to the joint data… Read More ›

Lower Interest Rates, Rising Consumer Confidence Boost Builder Sentiment

Builder confidence in the market for newly-built single-family homes rose four points to 62 in February, according to the latest National Association of Home Builders/Wells Fargo Housing Market Index (HMI). Ongoing reduction in mortgage rates in recent weeks coupled with continued strength in the job market are helping to fuel builder sentiment. In the aftermath of the fall slowdown, many… Read More ›