Welcome to DU!
The truly grassroots left-of-center political community where regular people, not algorithms, drive the discussions and set the standards.
Join the community:
Create a free account
Support DU (and get rid of ads!):
Become a Star Member
Latest Breaking News
General Discussion
The DU Lounge
All Forums
Issue Forums
Culture Forums
Alliance Forums
Region Forums
Support Forums
Help & Search
U.S. homebuilder confidence edges up in September, survey shows
U.S. homebuilder confidence edges up in September, survey shows
Mon, September 20, 2021, 10:03 AM
(Reuters) - Confidence among U.S. single-family homebuilders edged up in September, reversing a three-month decline as elevated costs for some building materials including softwood lumber eased, a survey showed on Monday.
The National Association of Home Builders/Wells Fargo Housing Market Index rose one point to 76 last month. A reading above 50 indicates that more builders view conditions as good than poor.
Builder sentiment hit an all-time high of 90 last November as the COVID-19 pandemic fueled a housing market boom, with more people forced to work from home. The outlook for builders has since cooled, with many citing chronic labor shortages and spiraling construction costs as supply chain disruptions at saw mills and ports saw rocketing prices for lumber and some other raw materials. Tariffs on steel imports have also added to building costs.
"The September data show stability as some building material cost challenges ease, particularly for softwood lumber," NAHB Chairman Chuck Fowke said in a statement. "However, delivery times remain extended and the chronic construction labor shortage is expected to persist as the overall labor market recovers."
Lumber is down more than 60% from its May peak but overall aggregate residential construction material costs increased 13% on an annual basis in the first eight months of this year, according to the NAHB. When combined with the recent surge in home price growth, builders see housing affordability as an issue in the months ahead.
{snip}
Mon, September 20, 2021, 10:03 AM
(Reuters) - Confidence among U.S. single-family homebuilders edged up in September, reversing a three-month decline as elevated costs for some building materials including softwood lumber eased, a survey showed on Monday.
The National Association of Home Builders/Wells Fargo Housing Market Index rose one point to 76 last month. A reading above 50 indicates that more builders view conditions as good than poor.
Builder sentiment hit an all-time high of 90 last November as the COVID-19 pandemic fueled a housing market boom, with more people forced to work from home. The outlook for builders has since cooled, with many citing chronic labor shortages and spiraling construction costs as supply chain disruptions at saw mills and ports saw rocketing prices for lumber and some other raw materials. Tariffs on steel imports have also added to building costs.
"The September data show stability as some building material cost challenges ease, particularly for softwood lumber," NAHB Chairman Chuck Fowke said in a statement. "However, delivery times remain extended and the chronic construction labor shortage is expected to persist as the overall labor market recovers."
Lumber is down more than 60% from its May peak but overall aggregate residential construction material costs increased 13% on an annual basis in the first eight months of this year, according to the NAHB. When combined with the recent surge in home price growth, builders see housing affordability as an issue in the months ahead.
{snip}