Economics

Suburban Shift for Home Construction Continues into Third Quarter

Filed in Economics, Trends by on December 1, 2020 0 Comments
Suburban Shift for Home Construction Continues into Third Quarter

A trend of higher demand for housing in lower-density areas reported in the second quarter NAHB Home Building Geography Index (HBGI) has persisted into the fall, as single-family and multifamily construction continued to overperform in lower cost markets like suburbs and exurbs.

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New Home Sales Essentially Flat in October, Continuing Strong Fall Season

Filed in Economics by on November 25, 2020 2 Comments
New Home Sales Essentially Flat in October, Continuing Strong Fall Season

Sales of newly built, single-family homes in October dipped 0.3 percent to 999,000 from an upwardly revised September number, according to newly released data by the U.S. Department of Housing and Urban Development and the U.S. Census Bureau. Despite the monthly decline, the October rate is 41.5 percent higher than the October 2019 pace, and on a year-to-date basis, new home sales are up 20.6 percent in 2020.

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Home Owners Shift Expenses from Entertainment to Home Improvement

Filed in Economics, Remodeling, Trends by on November 23, 2020 0 Comments
Home Owners Shift Expenses from Entertainment to Home Improvement

HomeAdvisor’s latest “State of Home Spending” survey revealed that home owners spent an average of $13,138 on home-improvement projects in 2020, compared to $9,081 in 2019.

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IRS Says Businesses with Forgiven PPP Loans Cannot Deduct Expenses

Filed in Disaster Response, Economics, Tax Reform by on November 19, 2020 10 Comments
IRS Says Businesses with Forgiven PPP Loans Cannot Deduct Expenses

Businesses that get their Paycheck Protection Program (PPP) loans forgiven will not qualify for some valuable deductions, according to IRS guidance that reiterates its position taken in April.  In addition, companies that have “a reasonable expectation that the government won’t require them to pay back the money can’t deduct the business expenses paid for by the loan.”

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Multifamily Construction Sentiment Showed Improvement in Third Quarter

Filed in Economics, Multifamily by on November 19, 2020 0 Comments
Multifamily Construction Sentiment Showed Improvement in Third Quarter

Confidence in the market for new multifamily housing increased in the third quarter, according to results from the Multifamily Market Survey released today by NAHB.

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Single-Family Starts at Highest Pace Since Spring of 2007

Filed in Economics by on November 18, 2020 3 Comments
Single-Family Starts at Highest Pace Since Spring of 2007

Led by solid gains in single-family production, overall housing starts increased 4.9% in October to a seasonally adjusted annual rate of 1.53 million units, according to a report from according to a report from the U.S. Department of Housing and Urban Development and the U.S. Census Bureau.

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Sales Growth Lifts Builder Confidence to New Record High

Filed in Economics by on November 17, 2020 12 Comments
Sales Growth Lifts Builder Confidence to New Record High

In another sign that housing continues to lead the economy forward, builder confidence in the market for newly-built single-family homes increased five points to 90 in November, shattering the previous all-time of 85 recorded in October, according to the latest NAHB/Wells Fargo Housing Market Index (HMI) released today.

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Suburban Housing: Increased Trend or Permanent Shift?

Filed in Disaster Response, Economics, Multifamily by on November 16, 2020 2 Comments
Suburban Housing: Increased Trend or Permanent Shift?

In the wake of the COVID-19 pandemic, certain patterns and trends have begun to emerge in the housing industry — in particular, higher demand for housing in lower-density areas. How much of these trends, though, are actually a change in demand or behavior, or just a continuation of existing trends that may have been accelerated through COVID?

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Home Building a Leading Sector in the Q3 Rebound

Filed in Economics by on November 16, 2020 0 Comments
Home Building a Leading Sector in the Q3 Rebound

The housing industry has undoubtedly been a bright spot for the economy during this period of economic distress. Demand for homes has increased on historically low interest rates, a need for more residential space, favorable demographics for home buying, and an evolving geography of housing demand that favors low density, more affordable markets.

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Some Buyers Perceive an Uptick in Affordability

Filed in Economics, Housing Affordability, Trends by on November 10, 2020 1 Comment
Some Buyers Perceive an Uptick in Affordability

The Housing Trends Report for the third quarter of 2020 shows that 27% of buyers report being able to afford half or more of the homes for sale in their markets. A year earlier, the share was 20%.

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