• Purchase Mortgages Show Year-over-Year Decline June 16, 2021
    After three straight weeks of declines, mortgage activity in the latest week rebounded, as shown in the Mortgage Bankers Association’s latest Weekly Application Surveys, increasing over 4 percent last week. Both purchase and refinance applications were up, including a 5.5 percent gain in refinances. The jump in refinances was the result of the 30-year fixed […]
    Litic Murali
  • Single-Family Starts Steady in May June 16, 2021
    Housing production was steady in May, although permit issuance weakened as higher costs are deferring and delaying some construction projects. Overall housing starts increased 3.6% to a seasonally adjusted annual rate of 1.57 million units, according to data from the U.S. Department of Housing and Urban Development and the U.S. Census Bureau. The May reading […]
    Robert Dietz
  • Post-Winter Storm Uptick for Sawmill Output in March June 15, 2021
    The historic climb for lumber prices, combined with delays and higher costs for other building materials, is a significant limiting factor for home building in 2021. Despite a historically diminished level of overall housing inventory and solid demand due to low mortgage interest rates and demographics, new construction has been limited in its ability to add […]
    Robert Dietz
  • Rising Material Challenges, Declining Builder Sentiment June 15, 2021
    Rising material prices and supply-chain shortages resulted in builder confidence dipping to its lowest level since August 2020. The latest National Association of Home Builders (NAHB)/Wells Fargo Housing Market Index (HMI) shows that builder confidence in the market for newly built single-family homes fell two points to 81 in June. Despite the monthly decline, the […]
    Robert Dietz
  • Time to Build an Apartment Building in 2020 June 14, 2021
    The average length of time to complete construction of a multifamily building, after obtaining authorization, is 17.4 months, according to the 2020 Survey of Construction (SOC) from the Census Bureau. The authorization-to-completion time in 2020 was relatively unchanged from 2019, slowing down the upward trend since 2013.   The average time to build multifamily homes […]
    Na Zhao
  • April Single-Family Permit Gains; Austin 2nd Largest Multifamily Market June 14, 2021
    Over the four months of 2021, the total number of single-family permits issued year-to-date (YTD) nationwide reached 384,196. On a year-over-year (YoY) basis, this is a 35.6% increase over the April 2020 level of 283,344. Year-to-date ending in April, single-family permits reported increases in all four regions. The relatively more affordable Midwest reported the strongest […]
    Danushka Nanayakkara-Skillington
  • Real Estate Market Values Surge in the First Quarter June 11, 2021
    The latest results from the Federal Reserve’s Z.1 Financial Accounts of the United States, i.e., the “Flow of Funds”, show that, in the first quarter of 2021, the aggregate market value of all owner-occupied real estate in the United States registered the largest numerical quarterly increase in the last 20 years’ worth of data. From […]
    Litic Murali
  • Consumer Prices Rising at Fastest Pace in a Decade June 10, 2021
    Consumer prices continued to rise in May, supported by increases in housing costs. The Bureau of Labor Statistics (BLS) reported that the Consumer Price Index (CPI) rose by 0.6% in May on a seasonally adjusted basis, following an increase of 0.8% in April. It marks the largest increase since June 2009. Excluding the volatile food […]
    Jing Fu
  • HBGI Shows Suburban Shift for Multifamily Construction June 9, 2021
    The first quarter 2021 Home Building Geography Index (HBGI) showed that single-family home building continued to shift to low-density and low-cost markets, a trend stemming largely from the COVID-19 pandemic and first reported in the second quarter of 2020. However, this suburban shift has been even more pronounced in the multifamily sector, which is experiencing […]
    Litic Murali
  • Count of Open Construction Jobs Near Two-Year High June 8, 2021
    The count of open construction jobs increased in April to 357,000 unfilled positions, according to data from the BLS Job Openings and Labor Turnover Survey (JOLTS). The housing market remains hot and requires additional labor, lots and lumber and building materials to add inventory. Overall, hiring in the construction sector slowed in April, declining to […]
    Robert Dietz