Join institutional investors, analysts and strategists from the world's largest banks: Subscribe today
Already have an account? log in
Homebuilders Moonward As Hammers Fly In Weird US Housing
When you think about the US housing market, it's useful to start with this simple proposition: There aren't enough used homes for sale.
That's in part a function of financing costs, which are higher than mortgage rates on a lot of existing properties. In short, many homeowners are effectively locked in their homes. Would-be buyers can't purchase what isn't for sale, and the scarcity premium for what resale inventory is available means that in many cases, they can't purchase what is for sale eit
I don’t know much about inverted yield curve history but I have studied housing for 50 years and my impression is that overbuilding, something developers like to do every few years, is often a leading indicator for a recession. There are others, as well, these days.
Not going to see much lower prices if there is a deficit of homes. I would recommend making smaller houses and vehicles that people can afford
Seems to me that the Southern US from Texas, Oklahoma and Kansas east to the Atlantic is getting hit harder and harder with ever stronger storms. Rebuilding stick homes with new stick homes and expecting a different outcome is madness. We need to start building homes underground with rooflines at ground level. Good opportunity for concrete companies.