Home Builders Close to Saying it’s a Good Housing Market
Home builders in Denver CO and across the nation are facing a quandary this year. Public interest and confidence in the housing market increased by an impressive 4 points in June, according to the real estate confidence index. The numbers stand at 49, a scant one point short of what realtors consider a “good” market. Also noted was the increase in sales conditions which stood at 54, a six point increase.
So what’s the problem? According to the National Association of Home Builders (NAHB) Chairman Kevin Kelly, one of the biggest obstacles facing the industry is the limited availability of construction labor.
Consumers too, continue to hold hold back on buying new homes while awaiting “clear signals of a full fledged economic recovery,” says NHBA Chief Economist David Crowe. This statement is confirmed by the buyer traffic component of the poll which stood at an anemic 36 after a three point gain.
As a result, even though there is light at the end of the tunnel, most home builders continue to hold back on starting new home building projects.