The housing market has been feeling a resurgence due to buyers feeling more confident and with little competition from other homebuilders. Homebuilder confidence, as measured by the National Association of Homebuilders (NAHB) builder sentiment index, has been on the rise since late last year.
Homebuyers are out in the market and are actively seeking to purchase homes, but there is a shortage. This is partly due to the lack of competition from other builders, who are seeing fewer orders than in previous years. This is because builders are uncertain about the demand for new homes due to the still fragile economy.
Due to the pandemic and economy, homebuilder confidence was at rock bottom in 2020. However, by the end of the year there was a slight uptick. This was mostly attributed to the influx of buyers and the competition remaining fairly low. This led to homebuilders feeling more optimistic in the coming months.
The outlook for the housing market is positive, as buyers are seeking homes and homebuilder confidence is increasing. Because of the lack of competition from other builders, those that are around are thriving. With the confidence and optimism for the future returning for both builders and buyers, it appears that the housing market is returning to a more stable and balanced market.
You can read this full article at: https://www.housingwire.com/articles/with-little-competition-homebuilders-are-feeling-better/(subscription required)
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