Spring has officially sprung! It’s that time of year when all things seem new and fresh and we know you’re making plans to grow your business throughout 2018.
Our next webinar is scheduled for April 25 with Benjamin Rudolph of Relevance Advisors and we hope you can join us. If you’re not yet a member, your $50 webinar fee can be applied toward membership. See all the details below.
From the AARC family to you and yours, we want to wish you a Happy Easter!
Rachel Baker Chair, The AARC
Housing Starts Rise 1.9 Percent on Multifamily Surge
Press Release, National Association of Home Builders | April 7, 2018
Gains in multifamily production pushed overall housing starts up 1.9 percent in March to a seasonally adjusted annual rate of 1.32 million units, according to newly released data from the U.S. Department of Housing and Urban Development and the Commerce Department.
Multifamily production rose 14.4 percent to a seasonally adjusted annual rate of 452,000 units—its highest reading since December 2016. Meanwhile, single-family starts fell 3.7 percent to 867,000 units.
“Builders are optimistic about future demand for housing and are ramping up production to meet this demand,” said NAHB Chairman Randy Noel, a custom home builder from LaPlace, La. “Single-family starts dropped slightly this month, but single-family permits year-to-date are up 5 percent from their level over this same period in 2017.”
“The modest decline in single-family starts in March is still in line with our solid builder confidence readings and is largely attributable to lingering winter weather that is causing production delays in certain areas of the country,” said NAHB Chief Economist Robert Dietz. “With ongoing job creation, wage increases and rising household formations, we can expect continued, gradual strengthening of the housing market in the coming months.”
Regionally in March, combined single- and multifamily housing production increased 22.4 percent in the Midwest and ticked up 0.8 percent in the Northeast. Starts inched down 0.6 percent in the South and 1.5 percent in the West.
Multifamily strengthening pushed overall permit issuance up 2.5 percent in March to a seasonally adjusted annual rate of 1.35 million units. Multifamily permits jumped 19 percent to 514,000 while single-family permits fell 5.5 percent to 840,000.
Permit issuance rose 9.0 percent in the Midwest, 3.0 percent in the West and 2.1 percent in the South. Permits declined 5.5 percent in the Northeast.
New Home Sales Rise 4 Percent in March
Press Release, National Association of Home Builders | April 24, 2018
Sales of newly built, single-family homes rose 4.0 percent in March to a seasonally adjusted annual rate of 694,000 units after an upwardly revised February report, according to newly released data by the U.S. Department of Housing and Urban Development and the U.S. Census Bureau. This the second highest reading since the Great Recession.
“The March new home sales report is consistent with our solid builder confidence readings over the past several months,” said NAHB Chairman Randy Noel, a custom home builder from LaPlace, La. “As consumer confidence grows and more prospective buyers enter the housing market, the sales numbers should continue to make gains.”
Regionally, new home sales rose 28.3 percent in the West and 0.8 percent in the South. Sales decreased 2.4 percent in the Midwest and 54.8 percent in the Northeast.
“We saw sales move forward in the West and the South regions, which is in line with recent evidence of faster growth in population, employment and single-family construction in these areas,” said NAHB Senior Economist Michael Neal. “But with nationwide economic growth and favorable demographics, we can expect continued strengthening of the housing market across the country.”
The inventory of new home sales for sale was 301,000 in March, which is a 5.2-month supply at the current sales pace. The median sales price of new houses sold was $337,200.
Pulte beats estimates, points to robust housing market
- PulteGroup’s quarterly profit beat analysts’ estimates with average prices rising to $413,000 in the first quarter from $375,000 a year earlier.
- CEO Ryan Marshall says demand among U.S. homebuyers was holding up strongly in the face of rising interest rates.
- The company soared to 59 cents per share, beating the average analyst estimate of a profit of 45 cents per share.