Tag Archives: National Association of Home Builders

Homebuilder confidence shot up over November, revisiting a high previously seen in May 2010, according to a recent index. The National Association of Home Builders released a monthly housing market index in association with Wells Fargo that tracks homebuilder sentiment about the market by quantifying it on a 100-point index. The index found a three-point lead on 17 from October, boosting homebuilder confidence in the single-family home market to 20 points, last seen more than a year ago. The surge in confidence nevertheless remains below average.

The Home Builders Institute has named a new president and CEO, with the announcement that John A. Courson will take over leadership of the non-profit organization. Capitalizing on his extensive industry experience, HBI will utilize Courson to target new revenue opportunities and program development.

A bill squeaked by the Senate Thursday that would reverse lower limits for conforming loans backed by the federal government and reinstate the $729,750 threshold until 2013. Lawmakers adopted the amendment to a federal spending measure by a count of 60 to 38, giving backers of the bill the supermajority needed to avoid wrangling over the issue. Multiple news outlets reported that Congress had allowed the higher limits for conforming loans to ease in October despite a massive lobbying effort by companies and trade groups.

Beating forecasts for lower-than-expected housing starts, builders put up 15 percent more new homes on a seasonally adjusted basis than predicted in September, the most since April 2010. The hitch: Multifamily residential construction drove the numbers. The Commerce Department reported that housing starts in September rose above August estimates for 572,000 units, hitting an annual 658,000 on a seasonally adjusted basis. Analysts speaking with MReport say the surge will not sustain itself in the months and years ahead.

Rising homebuilder confidence seen Tuesday coupled with news of a surge in multifamily housing development ├â┬ó├óÔÇÜ┬¼├óÔé¼┼ô the sector typical for rental construction ├â┬ó├óÔÇÜ┬¼├óÔé¼┼ô reported Monday. Mortgage giant Freddie Mac offered up the data and analysis in an October 2011 Economic and Housing Market Outlook, with the consensus that tenant-occupied properties are on track to continue outpacing homeownership rates. New construction starts rose this year with a minimum 20 dwellings.

Industry trade groups and lobbyists upped the ante in the war of policy, words, and influence following testimony by Federal Reserve Chairman Ben Bernanke before a joint congressional committee this week. News reports and statements contributed to the exchange Thursday, with outlets referencing punches pulled by the Mortgage Bankers Association, National Association of Home Builders, and National Association of Realtors, among others. The Qualified Residential Mortgage remains under attack, while others upheld the role of the GSEs in markets.

Making good on promises by policymakers from both parties, Congress allowed the $729,750 threshold for conforming loans with federal guarantees to expire Saturday, pinching high-end borrowers in a marginal number of counties and potentially leaving a swath of new market share for private bankers. Homebuyers looking for more than $625,000 in financing for their mortgage loans will accordingly fall short of eligibility requirements needed for federal insurance.

Despite the lure of record-low mortgage rates, fewer consumers stepped out from behind the fear of a global economic slowdown to purchase new homes, curtailing new sales by 2.3 percent month-over-month in August. Market watchers chalked up a six-month dearth to consumers wary about their job security, stock markets, and the threat of a new recession. The Census Bureau signaled a fallback to 295,000 housing units on a seasonally adjusted basis, down from 302,000 from July.

Debt crises and stimulus measures stole the mortgage-rates show as more investors flee to U.S. Treasury debt, with mortgage giant Freddie Mac holding that rates dithered by a few percentage rates and finance Web site Bankrate.com finding a fifth-consecutive week for record lows. Homebuyers nonetheless remain on the sidelines despite all-time highs for affordability, reflecting a dearth in demand, confidence, and jobs. Analysts fault a dismal economy and suggest that mortgage rates will remain low.

Fewer-than-expected housing starts fell in line Tuesday with dismal forecasts threatening a global economic slowdown, with the Commerce Department and HUD jointly revealing a 5-percent slide back for single-family home construction over August. Market watchers slapped severe weather with the blame for a slump in new home starts across New England, while a nudge up in building starts framed the dark recession cloud with a silver lining. Housing starts plunged to a seasonally adjusted annual rate of 571,000 over August.