{"id":1050,"date":"2020-08-25T13:04:38","date_gmt":"2020-08-25T13:04:38","guid":{"rendered":"http:\/\/phphouses.com\/blog\/?p=1050"},"modified":"2021-02-01T14:53:58","modified_gmt":"2021-02-01T14:53:58","slug":"builders-realtors-agree-real-estate-back","status":"publish","type":"post","link":"https:\/\/phphouses.com\/blog\/builders-realtors-agree-real-estate-back\/","title":{"rendered":"Builders & Realtors Agree: Real Estate Is Back"},"content":{"rendered":"
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Builders & Realtors Agree: Real Estate Is Back<\/p><\/div>\n

When shelter-in-place orders brought the economy to a screeching halt earlier this year, many believed the residential housing market would follow suit. Countless analysts predicted buyer demand would disappear and home values would depreciate for the first time in almost a decade. That, however, didn\u2019t happen. It appears the opposite is taking place.<\/p>\n

After the bottom fell out of the real estate market immediately following the shutdown, it has come roaring back \u2013 and seems to still be gaining steam. Here\u2019s a look at two recent reports \u2013 one from the\u00a0National Association of Home Builders<\/em>\u00a0(NAHB) and one from the\u00a0National Association of Realtors<\/em>\u00a0(NAR) \u2013 showing this growing strength.<\/p>\n

Builder Confidence Hits All-Time High<\/strong><\/h4>\n

Last week, it was\u00a0reported<\/a>\u00a0that applications for new home purchases with home builders were\u00a039% higher than in July of 2019<\/strong>. That has builder confidence soaring.<\/p>\n

Each month, NAHB releases its\u00a0Housing Market Index<\/a>, a survey of NAHB members who rate market conditions for the sale of new homes at the present time and over the next six months, as well as prospective buyer traffic for new homes.<\/p>\n

This month, they reported that builder confidence in the market for newly-built single-family homes increased to the highest reading in the 35-year history of the series. NAHB\u00a0Chairman<\/em>, Chuck Fowke, explained:<\/p>\n

\u201cThe demand for new single-family homes continues to be strong, as low interest rates and a focus on the importance of housing has stoked buyer traffic to all-time highs\u2026Housing has clearly been a bright spot during the pandemic and the sharp rebound in builder confidence over the summer has led NAHB to upgrade its forecast for single-family starts, which are now projected to show only a slight decline for 2020.\u201d<\/em><\/p><\/blockquote>\n

The number of newly constructed homes being built will be almost at the same level as last year, even though the economic shutdown crushed home building earlier in the year.<\/p>\n

Existing Homes Are Also Selling Like Hotcakes<\/strong><\/h4>\n

Last Friday, NAR released its\u00a0Existing Home Sales Report<\/a>. The report revealed that\u00a0month-over-month sales<\/strong>\u00a0increased by 24.7%,\u00a0<\/strong>setting another record for the category. The\u00a0Wall Street Journal<\/em>\u00a0reported<\/a>\u00a0that the increase crushed expert forecasts:<\/p>\n

\u201cEconomists surveyed by The Wall Street Journal expected a 14.2% monthly increase in sales of previously-owned homes, which make up most of the housing market.\u201d<\/em><\/p><\/blockquote>\n

Home sales increased by 8.7% year-over-year.<\/p>\n

Lawrence Yun,\u00a0Chief Economist<\/em>\u00a0for NAR, explained how the resale market is just as hot as the new construction market:<\/p>\n

\u201cThe housing market is well past the recovery phase and is now booming with higher home sales compared to the pre-pandemic days. With the sizable shift in remote work, current homeowners are looking for larger homes and this will lead to a secondary level of demand even into 2021.\u201d<\/em><\/p><\/blockquote>\n

In addition, the\u00a0Housing Market Recovery Index<\/a>, which is released monthly by\u00a0realtor.com<\/em>, also showed the market is recovering nicely. The\u00a0latest index<\/a>\u00a0reading was 104.8, which means the housing market is doing better than it was in January and February of this year. As a reference, the highest point in the index was a 106.5 in early March, just prior to the health crisis setting in.<\/p>\n

Bottom Line<\/strong><\/h3>\n

Both the newly constructed and existing home sale markets are posting numbers greater than a year ago. Real estate is back. If you\u2019re thinking of buying or selling, let\u2019s connect so you have the expert counsel you need along the way.<\/p>\n

 <\/p>\n

Contact us:<\/strong>
\nPHP Houses
\n142 W Lakeview Ave
\nUnit 1030
\nLake Mary, FL 32746
\nPh:\u00a0(407) 519-0719<\/span>
\nFax:\u00a0(407) 205-1951<\/span>
\nemail:\u00a0info@phphouses.com<\/p>\n

Let\u2019s Connect:<\/strong>
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THE INFORMATION PRESENTED IN THIS ARTICLE IS FOR EDUCATIONAL PURPOSES ONLY AND SHOULD NOT BE CONSIDERED LEGAL, FINANCIAL, OR AS ANY OTHER TYPE OF ADVICE.<\/em><\/h6>\n","protected":false},"excerpt":{"rendered":"

Both the newly constructed and existing home sale markets are posting numbers greater than a year ago. Real estate is back. Finish Reading Builders & Realtors Agree: Real Estate Is Back<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[69],"tags":[235,15,10,18,16,213,52,9,63,20,12,24,48,68,13,54,47,19,17],"_links":{"self":[{"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/posts\/1050"}],"collection":[{"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/comments?post=1050"}],"version-history":[{"count":1,"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/posts\/1050\/revisions"}],"predecessor-version":[{"id":1052,"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/posts\/1050\/revisions\/1052"}],"wp:attachment":[{"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/media?parent=1050"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/categories?post=1050"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/tags?post=1050"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}