It’s Nearly Springtime for Home Builders
December was unseasonably warm for many states across the country—the Northeast especially. Did this weather bring out more home builders to increase the supply of new homes to the market? Well, not quite.
Housing starts for single-family and multifamily homes dropped in the months of December (by 3.3 percent and 1.0 percent, respectively), according to the U.S. Census Bureau. However, the number of total housing starts in 2015 reached its highest level since 2007 (1.11 million in 2015). Whether this bodes well for another strong year in 2016 remains to be seen, says Frank Shaw, a business analyst with the Economic & Strategic Research Group (ESR) at Fannie Mae.
“We are predicting further growth, but not at the same accelerated pace as in 2015,” says Shaw.