Eye On Housing
Author Archives
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Single-Family Built-for-Rent Construction Expands
The number of single-family homes built-for-rent (SFBFR) posted a year-over-year increase for the third quarter of 2020. The SFBFR market is a way to add single-family inventory amid concerns over housing affordability and downpayment requirements in the for-sale market, particularly during a period of when people want more space and single-family structures. Single-family built-for-rent construction does differ with respect to… Read More ›
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Single-Family Starts: Best Pace Since Spring of 2007
Single-family starts experienced continued gains in October, according to data from the U.S. Department of Housing and Urban Development and the Census Bureau. Single-family construction is up 8.6% year-to-date, with notable gains in 2020 for the Midwest and other lower-density markets. The pace of single-family starts in October was the highest production rate since the spring of 2007. Single-family building… Read More ›
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Sales Growth Lifts Builder Confidence to New Record High
In another sign that housing continues to lead the economy forward, builder confidence in the market for newly-built single-family homes increased five points to 90 in November, shattering the previous all-time high of 85 recorded in October. Builder confidence levels have hit successive all-time highs over the past three months. Historically low mortgage rates, favorable demographics and an ongoing suburban… Read More ›
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Reduced Turnover in Construction Labor Market
The construction labor market experienced a reduced level of turnover in the September BLS JOLTS (Job Openings and Labor Turnover) data. The construction sector hiring rate slowed somewhat in September, coming in at 5.3%, after 5.5% gains in August and July. The peak rate of hiring in 2020 occurred in May (9.7%). Construction sector layoffs have been low since May… Read More ›
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3Q GDP: Residential Investment Up at a 59% Growth Rate
Housing has staged a dramatic turnaround since the spring. Due to low mortgage interest rates, a renewed focus on the importance of home, an evolving geography of housing demand, and a lack of for-sale inventory, the housing sector has been a relative bright spot for the economy. For the third quarter, overall GDP growth rebounded at a 33.1% seasonally adjusted… Read More ›
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New Home Sales Growth Rate Slows in September
After a surge in the pace of new home sales in July and August, the growth rate of newly built single-family home slowed in September. While still strong, the growth rate of new home sales exceeded construction starts by a historic margin at the end of the summer, necessitating an increase in starts and some slowing of sales. According to… Read More ›
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Home Building Continues Historic Climb
Single-family starts experienced continued gains in September, according to data from the U.S. Department of Housing and Urban Development and the Census Bureau. Contrasting the different subsectors of housing, while single-family permits are showing continued strength, multifamily permits continue to weaken as a consequence of the 2020 virus crisis. The pace of single-family starts in September was the highest production… Read More ›
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Builder Confidence Continues Record Climb
In a further show of strength for the housing sector, builder confidence in the market for newly-built single-family homes increased two points to 85 in October, further surpassing the previous all-time high of 83 recorded in September, according to the latest NAHB/Wells Fargo Housing Market Index (HMI). These are the first two months the index has ever been above 80…. Read More ›
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Home Building: Sales Outpacing Starts by a Historic Margin
After a sharp decline in the spring, home building has staged a dramatic rebound. In fact, supported by low mortgage rates, an evolving geography of housing preferences, and favorable demographic tailwinds, housing demand has improved so quickly that the current difference between the pace of newly-built single-family home sales and for-sale single-family construction starts has reached a historic level. The… Read More ›
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Construction Labor Market Adjustment Continues
The shock and fallout to the construction labor market from the recession of 2020 continued in early Fall as housing activity strengthened due to low interest rates. After an accelerated pace of layoffs in March and April, construction hiring roared back in May and June, per data from the BLS Job Openings and Labor Turnover Survey (JOLTS). More recent July… Read More ›