With a seemingly never-ending run of labor shortages, contractors may need to turn to a pool left largely untapped, and that is a pool of talented women. Making up 47% of the United States labor force, only 11% of women comprise the construction industry, highlighting a need for hire. Though it may seem simple enough, to hire more women, that is not the case. A compilation of poor recruitment efforts coupled with unfair stereotypes of what women can and can’t do when it comes to the jobsite continues to block…
Read MoreAuthor: Hanna
Better, Not Bigger, Homes Among Top Design Trends for 2024
LAS VEGAS – Following a brief uptick in new home sizes in 2021, the average size of a new home continues to inch smaller — dropping from 2,479 square feet in 2022 to 2,411 square feet in 2023, the smallest average size in 13 years — to match home buyer preferences for less square footage. According to NAHB’s latest What Home Buyers Really Want study, home buyers are looking for homes around 2,070 square feet, compared to 2,260 20 years ago. “It’s related to two factors that are linked,” said Rose Quint,…
Read MoreSingle-Family Starts will Rise in 2024 but Supply-Side Challenges Persist
While higher interest rates pushed single-family starts down in 2022 and 2023, production should move on a gradual upward path in 2024 as the Federal Reserve is on track to cut rates during the second half of the year with inflation slowing, according to economists speaking at the National Association of Home Builders (NAHB) International Builders’ Show in Las Vegas today. “While the Fed’s fight against inflation is building progress, the lingering inflation challenge is housing inflation,” said NAHB Chief Economist Robert Dietz. “Shelter inflation—rent and homeownership costs—are still rising…
Read MoreHouse Prices Reach a New Peak, But Not Everywhere
By Mark Fleming In November 2023, the Real House Price Index (RHPI) leaped 11 percent on an annual basis. Affordability improved modestly on a monthly basis, as mortgage rates fell from the previous month. Two factors drove the sharp annual decline in affordability – a 7.7 percent annual increase in nominal house prices, according to our First American Data & Analytics House Price Index, and a 0.6 percentage point increase in the 30-year, fixed mortgage rate compared with one year ago. For home buyers, holding prices constant, the only way to…
Read MoreFinance is Shaping Homebuilding Today
Resolution and adaptability are key for builders to deliver a much-needed supply of homes By Michael Berke As builders strive to overcome financing obstacles, the challenging environment is fueling clear shifts in the industry. Financing constraints have created disruption and uncertainty for many who fight to commence their projects. Simultaneously, the desire for homeownership remains strong and supply is short. The effort for builders and developers to fill their capital stack has become burdensome. Those projects that still make sense find their home prices increasing to maintain margins. Many fully…
Read More2024 Housing Market Outlook
Though things are looking up, it’s not too hot, not too cold, but not quite right either By Mark Fleming The housing market has been on quite the roller coaster ride since the beginning of the pandemic. While it was strong before 2020, the onset of the pandemic and the societal changes it triggered redefined the role of a home. As work-from-home became the new normal, a house was no longer just a dwelling or a vehicle for wealth creation, but also an office, a classroom, a daycare and even…
Read MoreMortgage Rates Will Drop Below 6% This Year, Says Fannie Mae
Fannie Mae, a government-sponsored enterprise that purchases home loans from mortgage lenders, recently released a report predicting that mortgage rates will begin to come down slowly from their current mid-6% range levels. According to Money, Rates have already decreased by more than a percentage point since last October. If Fannie Mae’s current prediction comes true, the rate will have gone down by almost two percentage points from its 2023 high of 7.79% — a change that will have an increasingly significant impact over time for homebuyers and sellers. Fannie Mae’s…
Read MoreRemodeling Market Sentiment Improves in Fourth Quarter
According to the National Association of Home Builders (NAHB), NAHB released its NAHB/Westlake Royal Remodeling Market Index (RMI) for the fourth quarter, posting a reading of 67, increasing two points compared to the previous quarter. The NAHB/Westlake Royal RMI survey asks remodelers to rate five components of the remodeling market as “good,” “fair” or “poor.” Each question is measured on a scale from 0 to 100, where an index number above 50 indicates that a higher share view conditions as good than poor. The Current Conditions Index is an average…
Read MoreHousing Outlook: Inventory May Spike as Fix-And-Flip Wave Hits the Market
Thanks to 24 million homes entering their prime time for renovation, the housing market may see a wave of much needed inventory in the next few years. This presents an opportunity for fix-and-flip investors, according to New Western. According to Business Insider, the real estate brokerage said a shift could be coming in the US housing market next year and could continue through 2027, thanks to a wider market of homes available to real estate investors focused on buying and renovating older homes to put them back on the market. …
Read MoreSurvey Reveals High Interest in Home Remodeling
According to a nationwide survey conducted by Arlington, Texas-based marketing research and analytics firm Decision Analyst, it was found that 78% of American plan to upgrade their homes over the next 12 months. Decision Analyst surveyed about 1,000 consumers about their home improvement plans as part of its ongoing study of consumer trends. “Despite being squeezed by inflation, many consumers see themselves upgrading or adding to the comfort of their homes over the course of the next year,” said Decision Analyst Executive Vice President Felicia Rogers.“People’s homes are important to…
Read More