Eye On HousingHousing Starts Spring Forward in MarchHousing production jumped in March despite rising lumber and other material prices affecting the housing industry. Overall housing starts increased 19.4% percent to a seasonally adjusted annual rate of 1.74 million units, according to data from the U.S. Department of Housing and Urban Development and the U.S. Census Bureau. This was the fastest pace for […]Builder Confidence Edges Up as Strong Demand Offsets Supply-Side ChallengesStrong buyer demand pushed builder confidence up in April even as builders continued to grapple with rising lumber prices and supply chain issues and consumers faced higher home prices due to a lack inventory. The latest National Association of Home Builders (NAHB)/Wells Fargo Housing Market Index (HMI) shows that builder confidence in the market for […]Strong Single-Family Permit Gains in FebruaryOver the first two months of 2021, the total number of single-family permits issued year-to-date (YTD) nationwide reached 164,901. On a year-over-year (YoY) basis, this is a 16.6% increase over the February 2020 level of 141,467. Year-to-date ending in February, single-family permits showed increases in all four regions. The relatively more affordable Midwest reported the […]Headline Inflation Accelerates in MarchBoth headline inflation and core inflation accelerated in March as the economy reopens from the COVID-19 recession. The Bureau of Labor Statistics (BLS) reported that the Consumer Price Index (CPI) rose by 0.6% in March on a seasonally adjusted basis, after an increase of 0.4% in February. It marks the biggest increase since June 2009. […]Minority Households Face Housing Affordability ChallengesNew NAHB analysis on housing affordability based on race and ethnicity shows a wide disparity regarding the number of households that can afford a new median priced home. At the national level, the share Black households that are able to afford the new homes is substantially lower than the share of non-Hispanic white households. Only […]Buyers Have Diverse Preferences for the Home’s Exterior DesignA new question introduced to the 2021 Edition of What Home Buyers Really Want* showed buyers pictures and descriptions of four exterior designs and asked for their preference. Results reveal that buyers have quite diverse preferences for the exterior style of their home, since none of the choices was preferred by anywhere near a majority […]Building Materials Prices Rise Across the Board in MarchPrices paid for goods used in residential construction ex-energy rose 2.4% in March (not seasonally adjusted) and have increased 9.8% over the past 12 months, according to the latest Producer Price Index (PPI) report released by the Bureau of Labor Statistics. Building materials (i.e., inputs to residential construction less food and energy) prices have declined just twice […]Remodeler Confidence Up Strongly Year over YearRemodeler confidence was up strongly on a year-over-year basis, according to the Remodeling Market Index (RMI) released today by the National Association of Home Builders (NAHB). In the first quarter of 2021, the RMI posted a reading of 86, up a full 38 points from the first quarter of 2020. The large year-over-year increase signals […]Buyers Are Split on Multigenerational HomesA multigenerational home is desirable to some buyers, but not to all. According to What Home Buyers Want, 2021 Edition*, buyers are evenly divided when it comes to the desire for a home designed to house the buyer as well as a younger generation and an older generation: 39% would prefer such a home, but […]Construction Job Openings Fall Back in FebruaryJob openings in construction declined in February to 266,000 unfilled positions, according to data from the BLS Job Openings and Labor Turnover Survey (JOLTS). Hiring appeared to gain steam in February, although this was perhaps just statistical noise for the monthly data. However, March payroll employment numbers indicate strength ahead for the JOLTS construction data. […]
