Trends
Which Heating and Cooling Systems are Most Common for New Homes?
See which heating and cooling systems are most prevalent geographically, based on information from the Census Bureau’s Survey of Construction (SOC).
Building Material Prices: Large Increases Year to Date
Although the recent drop in softwood lumber prices since mid-May is helping bring costs down (after having driven them up drastically earlier in the year), the decline has been offset by large increases in the prices of several other building material products.
Fastest Home Building Activity Continues in Suburban, Exurban Communities
Residential construction continued to shift toward the suburbs and lower-cost markets, and this trend is especially pronounced within the multifamily sector, according to the latest Home Building Geography Index (HBGI) released today by NAHB.
Slab Foundations Continue to Overtake Basements in New Homes
NAHB analysis of the latest Survey of Construction (SOC) shows the gap between slab and full/partial basement foundation adoption rates is growing: The share of new homes built on slabs steadily increased from 46% in 2000 to 65% in 2020, while the share of new homes with basements dropped from 36.8% to 22%.
New Home Size Increases as Demand for More Space Continues
The size of new single-family homes increased in the second quarter, as the pandemic has sparked a need for more living space and people continue using their homes for more purposes, particularly teleworking.
Building Material Prices Climbing at Record Year-to-Date Pace
Building material prices have increased 19.4% over the past 12 months and 13% year to date, according to the latest Producer Price Index (PPI) report released by the Bureau of Labor Statistics. Prices paid for goods used in residential construction (excluding energy) rose 0.2% in July after climbing 3% in June (not seasonally adjusted). Building materials (i.e., inputs to residential construction less food and energy) prices have declined just twice since December 2019.
High Prices Most Common Reason Why Active Buyers Remain Sidelined
The inability to find an affordably priced home is the primary reason active buyers have not pulled the trigger, with 39% citing high prices as their biggest obstacle in the second quarter of 2021, according to the latest Housing Trends report produced by the NAHB Economics team.
What Are the Most Common Exterior Materials for New Homes?
Stucco was the most common principal exterior material on new single-family homes started in 2020 (28%), followed by vinyl siding (26%), according to the data from the Census Bureau’s Survey of Construction (SOC).
Prospective Buyers Continue to Turn into Active Buyers
Of the 17% of American adults considering a future home purchase, more than half (61%) have moved beyond planning and are now actively trying to buy. This share of active buyers has increased in each of the last six quarters.
Buyers’ Outlook on Housing Availability and Affordability Declines
The increased activity in the housing market in the wake of COVID-19, combined with rising housing prices, has hampered prospective buyers’ outlook on the housing market and their ability to buy a home.
