flexiblefullpage - default
Currently Reading

Housing Market Looking Healthy, Says Economist's Forecast

Advertisement
billboard - default

Housing Market Looking Healthy, Says Economist's Forecast


August 6, 2018
House exterior
Photo: Unsplash/Pixasquare

The National Association of Realtors' chief economist Lawrence Yun projects growth for home building, new home sales, and home prices for the rest of 2018 and into 2019. 

Yun explains that much of the current talk of a housing market slowdown is the result of incorrect conclusions based on the "muted growth" reflected in current market data. Despite the fact that existing home sales dipped 2.2 percent in the first half of 2018, Yun argues that this is a result of diminishing supply, not demand, which is a "much better problem to have," he writes for Forbes. Yun points out that homeowners worried about a housing bubble would do well to remember that today's market conditions are "fundamentally different," as supply is under-, rather than overbuilt, and lending standards are "still stringent, as evidenced by the higher than normal credit scores of those who are able to obtain a mortgage."

Despite the mostly good trends, worries are developing as to whether or not the housing market has peaked and is ready for a slide. How steep and how fast? After all, existing-home sales have fallen every month in June, save one. Additionally, housing starts, traditionally a good leading indicator of potential economic recession, tumbled 12 percent in June from the prior month. Moreover, many Americans have painful, lingering memories of the home price crash, rising foreclosures, and 10 million net job losses from the housing market bust a decade ago. Naturally, they want to know if there is even a remote possibility of a housing downturn.

Read more

Advertisement
leaderboard2 - default

Related Stories

Affordability

Survey Shows Buyers Have Homebuying Regrets

More than 80% of respondents have regrets about their home purchase and 50% of upcoming buyers would consider forgoing using an agent

Economics

Mortgage Applications Increase Week-Over-Week, but Rates Remain a Challenge for Buyers

Data from the Mortgage Bankers Association show slight signs of optimism in national housing market

Single-Family Homes

Single-Family Permits Increased by 26% During March

The total number of single-family permits reached 241,311 year-to-date, with the West seeing the greatest rise

Advertisement
boombox1 -
Advertisement
native1 - default
halfpage2 -

More in Category

Home builders can maximize efficiencies gained through simplification and standardization by automating both on-site and back-office operations 

Delaware-based Schell Brothers, our 2023 Builder of the Year, brings a refreshing approach to delivering homes and measuring success with an overriding mission of happiness

NAHB Chairman's Message: In a challenging business environment for home builders, and with higher housing costs for families, the National Association of Home Builders is working to help home builders better meet the nation's housing needs

Advertisement
native2 - default
Advertisement
halfpage1 -

Create an account

By creating an account, you agree to Pro Builder's terms of service and privacy policy.


Daily Feed Newsletter

Get Pro Builder in your inbox

Each day, Pro Builder's editors assemble the latest breaking industry news, hottest trends, and most relevant research, delivered to your inbox.

Save the stories you care about

Lorem ipsum dolor sit amet lorem ipsum dolor sit amet lorem ipsum dolor sit amet.

The bookmark icon allows you to save any story to your account to read it later
Tap it once to save, and tap it again to unsave

It looks like you’re using an ad-blocker!

Pro Builder is an advertisting supported site and we noticed you have ad-blocking enabled in your browser. There are two ways you can keep reading:

Disable your ad-blocker
Disable now
Subscribe to Pro Builder
Subscribe
Already a member? Sign in
Become a Member

Subscribe to Pro Builder for unlimited access

Lorem ipsum dolor sit amet, consectetur adipisicing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua.