Positive growth seen from U.S. housing market
Posted on Wednesday, January 8, 2014 at 9:51:18 AM
Demand for real estate is one of the key driving factors of any market, and across the country, buyers have been returning in droves.
According to the National Association of Home Builders/First American Leading Markets Index, economic and housing activity has improved in a number of major markets. Using information gathered from building permits, prices and employment data, the real estate segment is operating near 86 percent normal activity.
"More markets are slowly returning to normal levels and we expect this upward trend to continue as an improving economy and pent-up demand brings more home buyers back into the marketplace," said Rick Judson, the NAHB chairman. "Policymakers must be careful to avoid actions that would harm consumer confidence and impede the ongoing recovery."
NAHB chief economist David Crowe further explained in a statement that strong housing growth has been driven by employment opportunities, like a budding energy sector, that has opened up new jobs and economic growth.
In addition to builder activity, more people have been seeking residential financing. Data from the Mortgage Bankers Association reported that mortgage loan application volume for the week ending Jan. 3, 2014 ticked up 2.6 from the week prior. The Refinance Index also increased, now up 5 percent week-over-week following a fairly substantial drop.