Eye On Housing
Lots Harder to Obtain than Ever
Home building, like other U.S. industries, has been dealing with the supply side challenges of labor and material shortages. Unlike other industries, however, home builders confront an additional challenge in obtaining lots on which to build. In a recent NAHB survey, 76 percent of builders reported that the overall supply of developed lots in their areas was low to very… Read More ›
Recent Posts
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Existing Home Sales Surge in September while First-time Buyers are Priced Out
As inventory improved in recent months, existing home sales surged to 8-month high in September, according to the National Association of Realtors (NAR). Though housing demand remains strong as buyers want to take advantage of low mortgage rates before rates rise further, higher home prices are pricing out first-time and young buyers. Total existing home sales, including single-family homes, townhomes,… Read More ›
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Mortgage Rates Rise, Activity Declines
The last month of mortgage purchasing and refinancing activities, as reflected in the Mortgage Bankers Association’s (MBA) latest weekly application surveys1, shows a rise in purchase applications and a decrease in refinancing as compared to the prior month’s activity. The 30-year fixed-rate mortgage rate increased, averaging close to 3.15 percent for the month, and was 3.2 percent in the latest… Read More ›
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Top 20 Markets for Single-Family and Multifamily Permits: 2011-2020
Despite the volatility surrounding the recent COVID-19 pandemic, the housing market has shown remarkable resilience, fueled by demographic tailwinds and a housing shortage due to a decade of underbuilding. Home construction slowed after 2007 as a result of the 2008 Great Recession, but home building staged a slow, modest recovery over the last decade, with a sharp acceleration in 2020… Read More ›
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State and Local Property Tax Revenues Eclipse $700 Billion
NAHB analysis of the Census Bureau’s quarterly tax data shows that $703.5 billion in taxes were paid by property owners in the four quarters ending Q2 2021.[1] Four-quarter property tax revenues have climbed 13.2% since decreasing 0.2% in Q2 2020 (the first decrease since 2012). Year-over-year growth of four-quarter property tax revenue has accelerated each of the past four quarters. Prior to… Read More ›
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Single-Family Starts Flat in September
Total housing starts decreased 1.6% in September, according to data from the U.S. Department of Housing and Urban Development and the U.S. Census Bureau. Single-family starts were flat for the month, while overall multifamily starts declined in August. The August total starts reading of 1.56 million starts is the number of housing units builders would begin if development kept this… Read More ›
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Strong Demand Boosts Builder Confidence Despite Supply Chain Disruptions
Strong consumer demand helped push builder confidence higher in October despite growing affordability challenges stemming from rising material prices and shortages. Builder sentiment in the market for newly built single-family homes moved four points higher to 80 in October, according to the National Association of Home Builders (NAHB)/Wells Fargo Housing Market Index. Despite the increase, builders are getting increasingly concerned… Read More ›
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August Single-Family Permit Gains
Over the first eight months of 2021, the total number of single-family permits issued year-to-date (YTD) nationwide reached 775,772. On a year-over-year (YoY) basis, this is a 25.8% increase over the August 2020 level of 616,856. Year-to-date ending in August, single-family permits increased in all four regions. The Northeast region reported the strongest increase of 29.3%, followed by the South… Read More ›
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Falling Lumber, Concrete Prices Offset Steel Increases in September
Prices paid for goods used in residential construction ex-energy decreased 0.8% in September (not seasonally adjusted), according to the latest Producer Price Index (PPI) report released by the Bureau of Labor Statistics. The decrease was largely driven by lower lumber and concrete products prices and was the second monthly decline since the start of the last recession. The price index of… Read More ›
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Remodeling Industry Confidence Improves Year over Year
The NAHB/Royal Building Products Remodeling Market Index (RMI) for the third quarter posted a reading of 87, up five points from the third quarter of 2020. The reading is a sign of positive residential remodeler sentiment for projects of all sizes. The RMI is based on a survey that asks remodelers to rate various aspects of the remodeling market “good,”… Read More ›