New construction has often been a good indicator of the state of real estate markets. The better the market is doing, the more likely builders are to begin building new homes. The National Association of Home Builders has a formula that they utilize to create an index representing their confidence in the market. For the past five months, their confidence has been increasing, indicating improvements in the housing market.
New construction is not only a measure of, but also a boost to the economy. Through the creation of jobs, as well as the addition of homes on the market available for purchase, new construction is beneficial to everyone. While the housing market is still recovering in many areas, the increase in builder confidence is encouraging! Follow the link for an article with great information!
Builder Confidence Increases for Fifth Consecutive Month in February