News & Opinions
The latest news and insights from Hanley Wood’s outspoken experts and key thought-leaders throughout the residential and commercial design and construction industry.
David Crowe / NAHB / September 19, 2013
The September NAHB/Wells Fargo Housing Market Index held steady at 58, the same level as the one-point downwardly revised August reading. The underlying components of the HMI were mixed. Future expectations declined to 65 from 68 in August and traffic rose one point to 47 from an upwardly revised 46.
Housing starts have not improved as fast as the index in the past year, but that same disconnect occurred in 1991 when home builders’ sentiment doubled in four months while single-family starts rose by one-third. Currently, the HMI is about 50% greater than it was last year, while single-familyRead More
John McManus / BIG BUILDER / September 18, 2013
Census Bureau data on housing starts and new residential building permits hit the wires this morning, and you don’t get too far into any expert’s explanation of the fresh crop of data before the term “mixed signals” surfaces. Offsetting positives vs. negatives; stressors vs. catalysts; headwinds vs. tailwinds; fundamentals vs. technicals; buzz vs. the trenches are a fact of home building and development’s life.
* Here Calculated Risk’s Bill McBride charts up the latest release in his inimitable way:
His kicker line is this:
“This was below
John McManus / BIG BUILDER / September 17, 2013
This morning, a fresh reading comes through on home building’s closest approximation of changes in confidence among those who make a living doing it. Signal or noise? Clearly, housing’s data trends are forming quite the Hell’s Gate of tricky, swift and difficult-to-navigate currents and cross-currents. Here, we explore less about what you need to know–given that so much is either contradictory or uncertain–and more about a few things you may need to do.
Our simplest, most elegant, and best sense of what’s changing in the market is not the noise interestRead More
Scott Cendrowski / Fortune/CNN Money / September 16, 2013
FORTUNE — What a difference a year makes. Last summer, when Fortune recommended homebuilder stocks, the chorus of dissenters was loud — and to some, persuasive. Their argument went something like this: “Homebuilders are doomed! Foreclosures are flooding the market and besides, no one wants to a buy a new home. They’ll rent forever!”
What happened next? Homebuilder stocks went on a tear. From last July through its peak this May, the S&P homebuilders index rose by 51%, more than doubling the S&P 500’s return. PulteGroup shares, as one example,Read More
Justin Doom / Bloomberg / September 11, 2013
Solar panels are the next granite countertops: an amenity for new homes that’s becoming a standard option for buyers in U.S. markets.
At least six of 10 largest U.S. homebuilders led by KB Home include the photovoltaic devices in new construction, according to supplier SunPower Corp. (SPWR) Two California towns are mandating installations, and demand for the systems that generate electricity at home will jump 56 percent nationwide this year, according to the Solar Energy Industries Association.
“In the next six months, homebuilders in California and the expensive-energy states willRead More