MarketMinute | What are home building's mixed messages?
Retail sales, a measure of how much consumers spent on goods ranging from autos to food and gas, rose faster than expected in October, even as inflation pushed prices higher. |
Despite the strong sales, consumer sentiment hit a 10 yr low in November. Consumers are concerned about the current surge in prices of goods and services. |
Jobless claims dropped again last week, as the labor market recovery continues. Now a shortage of workers seems to be the obstacle to faster job growth. |
Higher prices and longer wait times do not appear to be turning buyers away from new homes. With robust demand, homebuilder confidence rose to the highest level since May. |
Despite strong builder confidence, new home starts unexpectedly fell 0.7% in October. Activity remains constrained by shortages of materials and scarce land and labor. |
Total mortgage application volume fell 2.8% last week compared with the previous week. However, purchase apps were up 2% for the week as buyers appear to be coming back. |