Articles

All economic recessions have distinguishing characteristics. For some, it is rampant inflation. For others it is a collapse of a sector of the economy — technology, banking, real estate or basic manufacturing are recent examples. Even with the variation that we have seen in recent recessions, this pandemic-induced downturn is unique among several dimensions. Probably what is most unique is that some businesses have seen devastating losses, while others are largely unaffected or even seeing unexpected growth. Read More

Catalina Research has updated its floor coverings sales estimates for 2020 after more data became available to show the coronavirus effect on domestic demand. New estimates indicate U.S. manufacture dollar sales (shipments minus exports plus imports) could have declined by 10 percent in the second quarter of 2020, and sales could have dropped by 5.2 percent in the third quarter. Read More

Personal income decreased 2.7 percent while consumer spending increased 1.0 percent in August, according to estimates released today by the Bureau of Economic Analysis. Read More

Real gross domestic product (GDP) decreased at an annual rate of 31.4 percent in the second quarter of 2020, according to the “third” estimate released by the Bureau of Economic Analysis. Read More

"New home sales are now 15 percent higher on a year-to-date basis, with gains in all regions," said NAHB chief economist Robert Dietz. "But with inventory at just a 3.3 months' supply, more construction is needed. The challenge will be whether materials and labor are available." Read More

“Home sales continue to amaze, and there are plenty of buyers in the pipeline ready to enter the market,” said Lawrence Yun, NAR’s chief economist. “Further gains in sales are likely for the remainder of the year, with mortgage rates hovering around 3% and with continued job recovery.” Read More

"Historic traffic numbers have builders seeing positive market conditions, but many in the industry are worried about rising costs and delays for building materials, especially lumber," said NAHB chairman Chuck Fowke, a custom home builder from Tampa, Fla. "More domestic lumber production or tariff relief is needed to avoid a slowdown in the market in the coming months." Read More

Single-family starts showed continued growth in August but overall housing production fell 5.1 percent to a seasonally adjusted annual rate of 1.42 million units due to a double-digit percentage decline in multifamily production, according to a report from the U.S. Housing and Urban Development and Commerce Department. The pace of single-family starts in August was the highest production rate since February. Read More

"Historic traffic numbers have builders seeing positive market conditions, but many in the industry are worried about rising costs and delays for building materials, especially lumber," said NAHB chairman Chuck Fowke, a custom home builder from Tampa, Fla. "More domestic lumber production or tariff relief is needed to avoid a slowdown in the market in the coming months." Read More

While the broader economy saw a decline of 3.3 percent, spending on nonresidential buildings dropped 10 times that amount, a whopping 32.6 percent decline before the market began to recover well after the national economic recession had ended. Nonresidential building construction tends to expand more than the overall economy during upturns and fall further during downturns. Read More