Despite the country's slow economic growth amidst Donald Trump's political advances and the GOP, there is still a reason for home builders across America to stick to the positive side in real estate.
An article reported on cnbc.com provided the push needed for these homebuilders with the numbers crunched by the NAHB's (National Association of Home Builders) monthly index score rising to 61, a far cry from 55 earned last year. Sales expectations still remained stable at 70 and would continue to do so in the next 6 months for this year. Chief Economist of NAHB David Crowe was quoted as saying "Today's report is consistent with our forecast for a gradual strengthening of the single-family housing sector in 2015...Job and economic gains should keep the market moving forward at a modest pace throughout the rest of the year."
Another article on 660news.com reported that while buyer traffic and builder's sales views quite improved in August, builders still say that they are finding it challenging buying land as well as hiring construction crews. This comes as companies have also added 2.9 million workers since last year and the current unemployment rate has significantly dropped from 6.2% to 5.3%. The massive hiring has also shed light on the economy as seen with more paychecks that have supported the spending allocated on autos and housing, among other important expenses.
"The fact the builder confidence has been in the low 60s for three straight months shows that single-family housing is making slow but steady progress" Chairman of the National Association of Home Builders and Missouri-based home builder Tom Woods pointed out. The Federal Reserve Bank also reported that the outstanding mortgage debt went down 0.7 per cent in the April-June quarter to about $8.12 trillion, placing it at the same level 3 years ago during the time the housing market plummeted to an all-time low.
