When builders feel good enough to get out and start working, that’s a great sign.
Los Angeles, CA (PRWEB) May 21, 2013
The team at Realtypin.com – a website that digs deeper into real estate news and developments – says that the nation’s housing market is due for a big jump. The team says its prediction is based off of several key statistics.
According to Realtypin.com’s experts, one of the biggest indicators of future housing success is the confidence of homebuilders, and homebuilder confidence keeps getting higher and higher. In fact, a recent article on Realtypin.com pointed out that homebuilder confidence for senior buyers is currently 19 points higher than it was this time last year.
When it comes to buyers of all ages, 44% of homebuilders feel confident about the market right now, according to a study just completed by the National Association of Homebuilders and Wells Fargo (http://www.nahb.org/news_details.aspx?sectionID=134&newsID=16307). That number is three points higher than homebuilder confidence was in April. It’s also higher than many experts had forecasted.
“When builders feel good enough to get out and start working, that’s a great sign,” says James Paffrath, the co-owner of Realtypin.com. “After all, if they didn’t expect people to come out and buy their new homes, they wouldn’t put all of the time and effort into building them!”
The Realtypin.com team says that the number of housing permit applications is another indicator of future housing market success. In fact, the Commerce Department just reported that the number of applications for housing permits jumped 14.3% in April. Those 1.02 million permit applications represent the highest number the country has seen since June 2008. (http://www.census.gov/construction/nrc/pdf/newresconst.pdf)
“Even if those houses don’t go up immediately, permit applications mean that people are serious about building a home relatively soon. If they weren’t serious, they wouldn’t go to the trouble of applying for a permit,” says Paffrath. “More importantly, if they didn’t feel good about the housing market in general, they wouldn’t bother to apply for a permit. We think that’s proof that the housing market is about to make a big jump.”
For more housing news and analysis, log onto http://realtypin.com.