Monthly sentiment indicator has lost two points in January. Just imagine, in comparison with December of the last year there was a seven points rise.Now the situation is not so positive. Let us remind you once again that National Association of Home Builders posesses 67 points. Fifty it is the line between positive and negative sentiment. Previous year in January the indicator was sixty one.
Such important indicators as current sales proceeds,market expectation and buyer traffic have lost their positions. So, current sale proceeds have lost three points and now it is seventy two; market expectations have lost two points (seventy six) and buyer traffic has lost one point (fifty one).
Not but that among builders prevails upbeat mood, due to the ascent to power of a new Congress and administration which gives credence to some positive changes in the field of small business.
2017 promises to be the year full of changes and new probings. The turns didn’t leave behind the homebuilding sector, to be more definite, mortgage rates have skyrocketed. Over the last years builders’ costs run high complimented by price advance for land and labor together with price of compliance and increased regulation. But constructors expect that with the new airs in the head of Donald Trump there will be some improvements in the regulations to the good. Actually, it explains builders confidence to skyrocket terminably post-election. The situation can be illustrated in the following way: costly real estate for buyers and inactive regularotary reform is setting in.
National Association of Home Builders anticipates sustainable ten percent growth in single family building in 2017. But the Association expresses concern about on-coming soaring mortgage rate interests together with low note of lots and access to labor.
Let us provide you with several examples: within a few months the sentiments in Northeast changed from fifty to fifty two points, in the Midwest it has turned to sixty four (plus three points), the South and West has remained at the same level: sixty seven (South) and seventy nine (West).