Tag Archive for ‘Housing Recovery’

Consumer Confidence Zigzags in 2015

Consumer sentiment and consumer confidence are two indexes showing consumers’ perceptions of current business, income and employment conditions, as well as their expectations for the future’s economy. They are both highly (inversely) correlated with the unemployment rate. Based on the data from the past three decades, the Consumer Confidence Index and the Consumer Sentiment Index increase when the unemployment rate… Read More ›

Consumer Confidence and Economic Cycles

Consumer sentiment and consumer confidence are two indexes showing consumers’ perceptions of current business, income and employment conditions, as well as their expectations for the near future’s economy.   Figure 1 shows both the University of Michigan Index of Consumer Sentiment and the Conference Board Consumer Confidence Index are highly inversely correlated with the unemployment rate. High unemployment drives down… Read More ›

House Price Appreciation Moderates

The Federal Housing Finance Agency (FHFA) recently released the House Price Index (HPI) data for February, 2015. Figure 1 shows the House Price Index (HPI) data from January 1991 to February 2015. The annual growth rate is also presented in Figure 1. House price appreciation has been volatile but averaged approximately 5% from 1991 to 2003 prior to the housing… Read More ›

House Prices Inch Toward Recovery

Recently released data by Standard and Poor’s (S&P) and Case-Shiller indicates that its measure of house prices, the House Price Index – National, rose by 5.1% on a year-over-year seasonally adjusted basis (5.1% on a not seasonally adjusted basis). This is the 28th consecutive month of year-over-year increases in the house price index. Over this period of more than two… Read More ›

Economists Agree That Housing Recovery Likely To Continue

Yesterday, NAHB hosted its bi-annual Construction Forecast Webinar (CFW). The CFW featured three industry experts. NAHB Chief Economist David Crowe was joined by Maury Harris, Chief US Economist at UBS, and NAHB Senior Economist Robert Denk to present views on the outlook for the US economy and the housing market more specifically. Here are the major points from the presentation:… Read More ›

Homes Under Construction Rises for 28th Straight Month

Although housing starts may have declined slightly in December, they remain at roughly (a seasonally adjusted annual rate of) 1 million units.  Not only is this relatively strong compared to the recent history, it means that new homes are feeding into the beginning of the production pipeline faster than they’re leaving at the other end (as completions have fluctuated within… Read More ›

Homes Under Construction: A Good Sign of Recovery

Although reports on the Census Bureau’s New Residential Construction release usually emphasize housing starts (and may mention permits), the number of homes under construction is also worth looking at, and at this time is a particularly good indicator of sustained recovery in the home building industry. The Census Bureau’s latest release shows that the seasonally adjusted number of homes under construction has… Read More ›

House Price Growth Highest in 7 Years

Standard & Poor’s and Case-Shiller reported that house prices continued to rise in August. According to the release, both the S&P/Case-Shiller House Price Index 20-City Composite and the 10-City Composite rose by 12.8% on a year-over-year not seasonally adjusted basis, the largest increase in house prices since February 2006. House price gains were largest in Las Vegas, 29.2% and San… Read More ›

House Prices Continue Their Ascent, Contributing to Broader Economic Recovery

According to the Federal Housing Finance Agency (FHFA), house prices rose in August, albeit at a slower month-over-month pace than in July. In August, house prices climbed by a seasonally adjusted rate of 0.3%, 0.5 percentage points slower than then 0.8% increase that took place in July. Over the past twelve months house prices have risen by 8.5%. Month-to-month growth… Read More ›