In today’s market what we need is consumer positivity. I feel if we all think positive, act positive, and display a positive attitude, then others will buy into the same attitude helping to change the consumer confidence. Now is the time to buy or build. Interest rates are the best they have ever been, and they will not get much better. Builders are ready to build, and suppliers are ready to sell. Lets all work together and think positive. Below are a few exerts that should help in creating positive thoughts.
“From 1995 through 2005, builder confidence was a near-perfect predictor of future stock market returns. As we wrote back then, “Not only did the NAHB index presage the start of the post-1994 bull market in stocks, but its decline starting in 1999 foreshadowed the equity market collapse that came the following year. Builder confidence rebounded in November 2001 – a year ahead of the stock market upswing that began in October 2002.”
“That’s what makes the latest home builder confidence numbers so intriguing. The builder confidence index – now known as the NAHB/Wells Fargo Housing Market Index – rose 56% in April, to 14 from 9. (A little context: The index stood at 72 in June 2005.) This was the biggest one-month increase in 5 years.
“This is a very encouraging sign that we are at or near the bottom of the current housing depression,” says NAHB chief economist David Crowe. “Builders report that more buyers are responding to the pull of much-improved affordability measures, including low home prices, extremely favorable mortgage rates and the introduction of the $8,000 first-time home buyer tax credit.”-Jon Birger CNN Money
Wow, builders predict the economy. Pretty neat, huh?!
“Home building stocks like KB Home (KBH: 19.1705, -0.3195, -1.64%) and Hovnanian (HOV: 3.24, 0.24, 8%) soared as an industry group said pending home sales unexpectedly jumped in March by 3.2% from the month before and increased from a year ago. The National Association of Realtors also said existing home prices increased in March to $174,900.”
“We want to see home sales pick up. We want to see people come out and start buying. That will be huge,” said Nolte.
“Also, the Commerce Department said U.S. construction spending unexpectedly rose by 0.3% in March — the first such increase since September.”-Matt Egan Fox Business
All good news.