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NAHB Finds Construction Costs Are Three-Fifths of Home Price A 2009 construction cost survey found that the costs of construction accounted for nearly three-fifths of the final sales price of the average home, and the cost of the finished lot accounted for just over one-fifth. Profits amounted to just 8.9% of the house price last year.
Home Buyer Tax Credit Extended for Some in the Military Although home buyers need to sign sales contracts by the end of April to qualify for the $8,000 first-time and $6,500 repeat home buyer tax credits, qualified active military servicemen and women have an additional year to take advantage of these incentives.
Builders Concerned About FDIC Distressed Loan Sales An agreement by the FDIC to acquire the mortgage assets of the failed IndyMac Bank has raised concerns among NAHB builder members. According to a controversial video by Thinkbigworksmall.com, OneWest stands to profit excessively from a loss-sharing arrangement in the deal. The video also contends that the loss-sharing arrangement will lead OneWest to pursue short sales and foreclosures rather than undertake loan modifications.
Lumber, Materials Prices to Rise as Housing Recovers Barely beginning to emerge from the most devastating housing downturn since the Great Depression, home builders in the early months of this year have been confronted by a significant run-up in lumber prices.
Housing Stumbles on Road to Recovery Despite an extension of the tax credit and its expansion to repeat home buyers in early November, single-family housing starts slid back to an average 480,000 in the fourth quarter. January saw some slight improvement to 484,000 starts.
January Housing Starts at Strongest Pace in Six Months Housing production in January rose 2.8% to a seasonally adjusted annual rate of 591,000 units, its strongest pace in six months, according to figures released by the U.S. Commerce Department on Feb. 17.
Builders Gain Confidence in Single-Family Market Boosted by favorable home-buying conditions and signs that the job market is slowly on the mend, builder confidence in the new single-family home market rose two points to 17 this month, according to the NAHB/Wells Fargo Housing Market Index (HMI) released on Feb. 16.
Glimmers of Hope on the Employment Front As often happens in an economic recovery, the data are somewhat mixed. For example, January's data show nonfarm payroll employment falling, but the unemployment rate dropped to 9.7%.
Glimmers of Hope on the Employment Front As often happens in an economic recovery, the data are somewhat mixed. For example, January's data show nonfarm payroll employment falling, but the unemployment rate dropped to 9.7%.
Remodeling Market Worsened in Fourth Quarter Market conditions for residential remodeling continued to slide during the fourth quarter of 2009 in the estimation of remodelers who were surveyed for the latest NAHB Remodeling Market Index.
Slow Recovery May Be Leading to Serious Housing Shortages Economists are beginning to sound the warning that today's extremely low levels of new residential production could lead to significant housing shortages, especially among market-rate rental apartments, as household formation rates return to normal.
New-Home Sales Show a Decline in January Sales of newly built, single-family homes declined 11.2 percent in January to the slowest pace on record, according to figures released by the U.S. Commerce Department.
Builder Confidence Improves in February Builder confidence in the market for newly built, single-family homes rose two points to 17 in February as favorable home buying conditions and signs of healing in the job market helped boost the National Association of Home Builders/Wells Fargo Housing Market Index.
Housing Starts Rise in January Nationwide housing production hit its strongest pace in the last six months this January, posting a 2.8 percent gain to a seasonally adjusted annual rate of 591,000 units, according to figures released by the U.S. Commerce Department.
Remodeling Market Continues To Deteriorate Under Strained Economy Market conditions for residential remodeling tumbled downward during the fourth quarter of 2009. "We're hearing many remodelers have laid off workers because they have no jobs coming in and are struggling to survive," said NAHB Remodelers Chairman Donna Shirey.
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