Home Builders Optimistic About Spring Market

Dated: March 14 2019

Views: 19

The real estate market tends to slow down in the fall and winter. Spring and summer are far more popular with home shoppers. But last fall, in addition to the normal seasonal slowdown, mortgage rate increases caused many potential home buyers to put a hold on any plans to purchase a house. In short, affordability conditions, the holidays, and harsher weather dampened demand for homes. Since then, however, mortgage rates have decreased and for-sale inventory has shown signs of recovery. This combined with a healthy job market and the approaching spring sales season has spurred renewed optimism among housing professionals. 

Take the National Association of Home Builders' Housing Market Index, for example. The index – which measures builder confidence in the market for new homes – saw a four point rebound in February and is now at 62 on a scale where any number above 50 indicates more builders view conditions as good than poor. Randy Noel, NAHB's chairman, says expectations for the months ahead have turned hopeful. “Ongoing reduction in mortgage rates in recent weeks coupled with continued strength in the job market are helping to fuel builder sentiment,” Noel said. “In the aftermath of the fall slowdown, many builders are reporting positive expectations for the spring selling season.” 

[Resource]

Blog author image

Ehren Alessi

Resolution Realty is the Top Rated real estate brokerage in Las Vegas! Whether you are looking to sell your home, buy your dream home, or invest in Las Vegas Real Estate; we have the best real estate ....

Latest Blog Posts

More mortgage assistance on the way — eventually

Mortgage assistance may be coming soon for Nevada homeowners who have been impacted by the covid-19 pandemic.Nevada is set to receive $121 million in Homeowner Assistance Funds, approved as part of

Read More

Behind the Hype: What 5G Means For Real Estate

Superfast connectivity is getting here—and the impact on your business could be huge.Key Takeaways:Wireless carriers affirm their commitment to rolling out the superfast fifth generation of

Read More

Sisolak: “There is not another state extension of the eviction moratorium coming”

As state prepares for federal moratorium to end, officials promote assistance programsAs the federal eviction moratorium ends Saturday, Gov. Steve Sisolak says the structures put in place, including

Read More

Housing boom is over as new home sales fall to pandemic low

Sales of new single family homes fell to an annualized rate of 676,000, 6.6% below May’s rate of 724,000 and 19.4% below the June 2020 level of 839,000.The median price of a newly built home

Read More