New Home Construction Paused For Home Buyers – April 18, 2024

Video Transcript

Lots of headlines this morning about a large drop in new construction. New construction homes, starts of new homes, homes in progress to completion. But are those headlines dabbling a bit in the sensational?

Yeah, they might be. Because – first – it’s a one-month reading and it’s March where seasonal factors can affect builders breaking ground or the availability of labor to build new homes with infrastructure projects starting in the spring. Also, because the number of permits issued last month was up 17 percent from a year ago.

So builders are definitely still building and planning to build. But third, the homebuilder association, which polls home builder members monthly, tells us that in this month’s Builder Confidence Survey, builders still see a rising number of sales, more foot traffic through model units, and a general steady level of confidence. The headlines want to say the new construction is doomed.

I say, zoom out, check the bigger picture. Housing’s coming along just fine. Check our main channel for more mortgage and real estate news.

I’m Dan with Homebuyer.com. Happy homebuying.