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Home builders see ‘housing recession’ as builder sentiment index drops further in August
Market Watch ^ | August 15, 2022 | Aarthi SwaminathanFollow and Greg Robb

Posted on 08/15/2022 8:49:47 AM PDT by ConservativeInPA

The home builder confidence index fell to 49 in August for the eighth straight month. Economists surveyed by the Wall Street Journal expected the number to be 54.

The numbers: The National Association of Home Builders’ monthly confidence index fell 6 points to 49 in August, the trade group said Monday.

The August reading of 49 is the first time since May 2020 that the index fell below a break-even measure of 50.

One year ago, the index stood at 75. In January this year, the index was at 83.

The decline was the eighth straight month in August. Economists surveyed by the Wall Street Journal expected the number to be 54.

(Excerpt) Read more at marketwatch.com ...


TOPICS: Business/Economy; News/Current Events
KEYWORDS: bidenflation; bidenomics; depression; economics; hardlanding; recession

1 posted on 08/15/2022 8:49:47 AM PDT by ConservativeInPA
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To: ConservativeInPA

I’m building in the NE, and it’s expensive as f.

The builder tells me if I had waited six months longer the total bill would have been up 17%.

He doesn’t tell me how much I’d have saved if I did this three years ago though.


2 posted on 08/15/2022 8:52:45 AM PDT by Ueriah
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To: ConservativeInPA

We were already in a housing shortage caused by about 10 years of underbuilding. Here comes more damage for those in the working/middle classes.


3 posted on 08/15/2022 8:53:43 AM PDT by SaxxonWoods (The only way to secure your own future is to create it yourself.)
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To: ConservativeInPA

Re: rental. I live in rural NC mtns Appalachia, and a neighbor is renting out his 1932 house 2 bed 1 bath, average to poor condition on gravel road, wood stove is heat source for NINE HUNDRED dollars. I am shocked at this price.

He said the rental in local town is hard to find.

Does anyone know if this is the same all over US/


4 posted on 08/15/2022 9:10:30 AM PDT by Karoo
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To: SaxxonWoods

Shouldn’t we rethink how we make homes? I’ve seen steel kit homes that can be transported on a flatbed truck and easily assembled on site.

You see a lot of these in the Arkansas delta because insects eat wood homes down so quickly.

Everything else is made in factories which drives prices down. Why not houses?


5 posted on 08/15/2022 9:18:10 AM PDT by packagingguy
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To: Karoo

Small 1 bedroom apartments in suburbs of Minneapolis/St. Paul (20 miles out) are going 1600-1900 a month now.


6 posted on 08/15/2022 9:22:09 AM PDT by miliantnutcase
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To: Karoo
He said the rental in local town is hard to find.

Rentals are extremely hard to find where I live. I see pleas on Facebook all the time, begging for a place to rent. Two houses on my street that were rentals are now owner occupied. It seems like fewer and fewer people want to be landlords, so people with an extra house or two are selling them. And who can blame them after the eviction moratorium. Corporations are buying up all the apartment complexes they can. So this is a national problem.

7 posted on 08/15/2022 9:48:36 AM PDT by AlaskaErik (In time of peace, prepare for war.)
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To: Karoo

I don’t know if this compares but I live in a town of about 25,000 people in Indiana and you can’t find an apartment for $900 a month. Cheapest is a little over $1000. This is two bed, one bath apartments. Houses are probably around $1200 or more in rent. It’s insane.

My first house (same town) that I purchased in 2001 for $74,000 now lists for $180,000.


8 posted on 08/15/2022 9:52:12 AM PDT by CommieCutter (LETS GO BRANDON! 🇺🇸)
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To: Karoo

Hey neighbor. I am in east TN… used to live in weaverville… yes it’s the same everywhere. My youngest still lives in WNC.


9 posted on 08/15/2022 10:27:39 AM PDT by momincombatboots (Ephesians 6... who you are really at war with. )
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To: Karoo

A one bedroom apartment in southern NH is between 1500-1900/month.
A two bedroom is $2000 or more

A Two bedroom in Boston is $3500/month.

Many rental properties have gone up in price because of their value as a vacation rental properties. VRBO, AirBN, Homeaway are affecting rental values all around the country. Meaning, you can make more money renting out nightly or by the week than you can monthly.


10 posted on 08/15/2022 10:51:56 AM PDT by woodbutcher1963
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To: Ueriah

The price of lumber is back down to about where is was in 2019. Before the huge run up during covid.
The price of plywood and osb is still about double of what it was three years ago. These are wholesale pricing I am speaking about. The retail prices will gradually fall into the fourth quarter of 2022.


11 posted on 08/15/2022 10:56:54 AM PDT by woodbutcher1963
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To: AlaskaErik

For a couple of years, landlords were not able to evict delinquent renters. With the spike in real estate prices, it wouldn’t surprise me if landlords just sold their properties and washed their hands of the whole mess.


12 posted on 08/15/2022 11:12:22 AM PDT by randita
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To: Ueriah

In the beginning of 2020, while talking to a worker at Home Depot, he told me that framing packages had more than doubled.


13 posted on 08/15/2022 1:53:41 PM PDT by qaz123
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To: Karoo

$900 sounds cheap for a house.


14 posted on 08/15/2022 10:38:52 PM PDT by NetAddicted (Just looking)
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To: miliantnutcase

Studio apt. In Ca. almost 3,000 a month, that is one damn room with a bathroom, it is no wonder there are THOUSANDS of homeless everywhere here!! I was living in a beach community the homeless situation became SO AWFUL there I sold my house and moved to the desert where it is to damn hot to pitch a tent and live on a sidewalk!! There are NO homeless living on the streets here and the city is VERY CLEAN and well kept!! I feel very blessed that I sold my house a year ago with increased interest rates the buyers market is definitely not what it was a year ago, many do not qualify now!!


15 posted on 08/15/2022 10:50:47 PM PDT by Trump Girl Kit Cat (Yosemite Sam raising hell)
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To: Trump Girl Kit Cat

Good for you!


16 posted on 08/16/2022 2:22:14 PM PDT by miliantnutcase
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To: Karoo

I know some apartments up here are about 800 square feet for 1200/month. Housing is expensive!


17 posted on 08/23/2022 8:33:47 AM PDT by Ueriah
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