The U.S. Housing market is on the rebound as housing starts are significantly on the rise compared to foreclosures, which are on the decline. According to a commentary on themonitor.com, the prices of the hardest-hit markets are now recovering.
The article, written by Matthew Minard, highlights several factors that conclude the path of recovery for the market. One is data from the U.S. Census Bureau and the U.S. Department of Housing and Urban Development, which estimates housing starts of 1.135 million (seasonally adjusted annual rate) units last month. This is 10 percent more than the estimates for March 2015 and 6 percent more than the figures in April 2014.
Another major indicator is the sales of single family homes, which, according to cnbc.com, was higher than the expected sales for April and was accompanied by a median price surge as well. According to the Commerce Department, home sales rose to a seasonally adjusted rate of 517,000 units. In comparison, March's sales grew to 484,000 units from the previously reported 481,000 sold units.
According to Fact & Opinion Economics President Robert Brusca, as quoted by Bloomberg.com, "Housing is coming back after a bad winter period. There's going to be an improving housing market, but a slowly improving one."
The improving housing market is reportedly due to "steady hiring, low borrowing costs, and limited supply of existing homes." As Minard stated on his commentary, the housing market consequently affects other industries, which can help the economy grow in the long run.
