"New home sales soared in March, reaching their highest level since one year earlier and falling just shy of pre-COVID sales levels. After declining in every month in 2022, homebuilder sentiment has increased each month in 2023 through April. Supply is in better condition in the new home market than in existing homes, and the former is helping to sop up some of the housing demand that the resale market is unable to meet. Nevertheless, new home supply is beginning to fade. Months of supply fell to its lowest level in 12 months, and single-family permits are up only slightly after bottoming out in January. Strong demand and a normalizing supply chain should spur construction over the rest of the year. It is estimated that residential investment was a small drag on GDP in the first quarter, but it should contribute to overall growth over the second half of 2023." - Curt Long, NAFCU Chief Economist and VP of Research
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Author: Mike LawsonMarried to a most gorgeous and wonderful wife, raising 5 kiddos (including twins!), enjoy helping others tell their stories, and love surfing SoCal waves. Keep it simple. Archives
May 2024
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