Members of the National Association of Home Builders (NAHB) elected four senior officers to top leadership positions within the federation at the conclusion of this week’s NAHB Winter Leadership Meetings.
Single-family housing starts posted a double-digit percentage gain in December, but production is running well below a rate of 1 million units annually, indicating ongoing weakness in the housing market as high construction costs and elevated interest rates continue to present affordability challenges.
NAHB Chairman Jerry Konter said the rise in builder sentiment means that cycle lows for permits and starts are likely near, and a rebound for home building could be underway later in 2023.
While new home sales received a slight bounce in November from moderating mortgage rates, the housing market continues to struggle because of ongoing supply chain disruptions, elevated construction costs and challenging affordability conditions.
NAHB reports that multifamily units under construction is reaching a near 50-year high, and multifamily permit growth is weakening. Single-family housing starts continued to fall in November.
While builder confidence for newly built single-family homes posted declines for 12 straight months, NAHB reports that builders are registering an increase in future sales expectations.
Pending home sales slid for the fifth consecutive month in October, according to the National Association of Realtors. Three of four U.S. regions recorded month-over-month decreases, and all four regions recorded year-over-year declines in transactions.
A measure of construction contractors’ bid prices moved sharply higher in October as firms coped with ongoing supply-chain challenges and a tight labor market, according to an analysis by the Associated General Contractors of America of government data.
Elevated interest rates, stubbornly high building material costs and declining affordability conditions that are pushing more buyers to the sidelines continue to drag down builder sentiment.
Existing-home sales experienced a slight dip in August, marking the seventh consecutive month of declines, according to the National Association of Realtors.
