In the latest data on consumer confidence, The Conference Board reports a positive, if only “slightly” so (their words), uptick in consumer confidence readings in March as compared to the sentiment in February. The organization’s Consumer Confidence Index (CCI), a widely followed read on how consumers are feeling about both existing and upcoming business conditions, is an important indicator of potential economic activity.
Economic Trends
Sales of Luxury Homes Collapse -45% to Second Lowest Level Ever Recorded
Realtors Say Economic Uncertainty Has Frozen Buyers/Sellers
According to the latest data from national realtor Redfin, sales of luxury homes in the U.S. have declined a record -44.6% for the three-month period ending January 3, 2023, on a year-over-year (YoY) basis. That result outpaced the decline in sales of non-luxury homes of -37.5%.
See more on the collapse of luxury home sales; Is your market affected?
[Read more…] about Sales of Luxury Homes Collapse -45% to Second Lowest Level Ever RecordedSingle-Family Starts in Nov Hit 2-1/2 Year Low
Residential construction of new homes – known as housing starts – continues to register monthly declines as a combination of still-high home prices along with rapidly rising mortgage rates results in collapsing home affordability. While economists continue to debate if and when the U.S. economy enters a recession – it’s clear that housing overall, and the home building segment specifically – is already there.
See the latest data on single-family starts…
[Read more…] about Single-Family Starts in Nov Hit 2-1/2 Year LowSeptember Housing Starts Continue to Drop
The latest data released by the U.S. Census Bureau and the U.S. Department of Housing and Urban Development jointly show that housing starts – a measure of residential construction activity – continue its downward spiral, dropping in September to a rate of 1.4 million units, below economists’ forecast. Single-family housing starts hit their lowest level in more than two years as a slowing economy and sky-high mortgage rates depress demand for housing.
See the latest housing market data…
[Read more…] about September Housing Starts Continue to DropConsumers Say Health & Wellness is a Priority; Market to Hit $1 Trillion by 2025
Even though consumers report rising financial insecurity as inflation rages on, the Fed keeps raising interest rates, and the economy begins to slow, they say they intend to continue to prioritize spending on health and wellness – a new priority since the onslaught of COVID-19 – according to new research from Accenture. This is potentially good news as more in the custom integration industry look to offer various residential health and wellness solutions as part of a whole-home residential or commercial installation.
See why consumers say health & wellness is a priority
[Read more…] about Consumers Say Health & Wellness is a Priority; Market to Hit $1 Trillion by 2025July Sales of New Single-Family Homes Hit 6-1/2 Year Low; Prices Increase
The U.S. Census Bureau and the U.S. Department of Housing and Urban Development jointly released the latest housing data this week showing that sales of new single-family homes in July hit their lowest level in 6½ years. While unit sales declined, both median and average prices continued to increase, making future home sales even more unaffordable.
See more details on new single-family home sales in July
[Read more…] about July Sales of New Single-Family Homes Hit 6-1/2 Year Low; Prices IncreaseJuly Housing Starts Hit Lowest Level Since February 2021
In the latest data from the U.S. Census Bureau and the U.S. Department of Housing and Urban Development, we learn that overall housing starts have hit their lowest level since February 2021 as climbing mortgage rates combined with still-high housing prices have made homes unaffordable for many Americans. The same report also notes that building permits have declined as well, suggesting housing will remain in decline for some time to come.
Learn more about housing starts during July
[Read more…] about July Housing Starts Hit Lowest Level Since February 2021Index of Consumer Sentiment Bumps Up as Inflation Declines
This past Friday, the University of Michigan released a preliminary reading of its Index of Consumer Sentiment for the month of August. This survey, one of the more widely followed readings by economists on how consumers are feeling, showed a small but meaningful jump as consumers are feeling a little better about the future. However, the overall results were a bit mixed.
Learn more about consumer sentiment rebounding from a trough
[Read more…] about Index of Consumer Sentiment Bumps Up as Inflation DeclinesStunning Data on Housing Market Clearly Shows Why It’s Declining
Just Two Charts Tell the Story of the Housing Market
For some time now, I have been dutifully reporting on the – at first subtle…now as subtle as a Mac truck – changes taking place in the housing market, clearly in decline after a stunning runup during the 2020-2021 COVID period. Certain economic segments, including Tech in general and custom integration specifically, benefitted from the COVID period forcing consumers to huddle in their homes.
But now, things are changing, starting with the housing market…
[Read more…] about Stunning Data on Housing Market Clearly Shows Why It’s DecliningHousing: After a Bump in May, June New Home Sales Back to Downward Trend
In the latest report from the U.S. Census Bureau and the U.S. Department of Housing and Urban Development, sales of newly constructed homes (new home sales) in June returned to their months-long downward trend after a brief bump up in May. Another sign of a housing market in decline, rising mortgage rates combined with rising home prices have thrown cold water on what had been a very hot housing market over the last year-and-a-half.