Tag Archives: housing starts

U.S. Homebuilders Are Still Awaiting Firmer Demand And Profitability

S&P recently released an industry report card on the U.S. homebuilder sector. The primary authors of the report are George Skoufis and Lisa Sarajian but I thought I would share with you a section of the report containing our outlook on the sector. If you’re interested in reading the full report click here. Our outlook […]

When will housing start to contribute to the economic recovery?

The answer, of course, is anyone’s guess.  But next week we start another round of updates to monthly US housing data beginning Tuesday when the Census Bureau releases August 2011 housing starts statistics. The market will be looking for any indication that housing is finally rebounding, simply stabilizing at recent lows, or falling deeper into a […]

U.S. economic forecast: it’s not over yet

Just as some good news finally came our way in June, increasing our hopes that the soft patch in the economy may finally be behind us, the government’s payrolls report on July 8 indicated that it isn’t over yet. Automatic Data Processing’s (ADP’s) June private payrolls survey had showed that employers had added a solid […]

Liquidity is a key focus as the recovery for U.S. homebuilders remains elusive

Standard & Poor’s Ratings Services’ base-case outlook for credit quality in the U.S. homebuilding sector is generally stable through the balance of 2011 despite a disappointing spring selling season. Our cautiously stable outlook for 2012 could tilt in a negative direction if our baseline forecast for a modest housing recovery again fails to materialize and […]

Economic Update: U.S. HOUSING STARTS ROSE 3.3% IN MAY

U.S. housing starts rose 3.3% to 560,000 in May, stronger than the 546,000 expected by consensus though still not enough to offset the 8.8% drop to 541,000 (revised from 523,000) seen the month before. Housing starts are down 3.4% from last May. Single family starts were up 3.7% to 419,000 pace, offsetting the 3.3% decline […]

The chicken or the egg? Isn’t housing supposed to lead the recovery?

In most recent economic recoveries, residential construction has led the general economic recovery.  Home purchases are very sensitive to interest rates, which tend to be their lowest at the end of a recession. Consequently, interest sensitive purchases, such as homes and automobiles, are the first to rebound at the start of a recovery. This time […]

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