Signs of the Housing Recovery

According to the Commerce Department, housing starts increased by 15.7% in July - the highest level since November. This is great news for the housing market and overall U.S. economy.

Home construction in general rose 22% this year through July and applications for building permits increased as well - signifying potential improvement in months to come. Permits are up 8.1% which is the largest gain since April of 2013.

The National Association of Home Builders and Wells Fargo Housing Market Index reports that home builder confidence rose by 2 points. This is the third consecutive month that builder confidence has increased.

If you're looking for another reason to buy now, interest rates on conventional 30 year mortgages have dropped but are expected to rise again in upcoming months.  With rental costs continuing to rise, now is the time to think about whether buying a new home is right for you and your family.

Economic Update

The numbers are in and news from the National Association of Home Builders suggests a slow but steady growth in the housing market throughout the first half of the year. Getting off to a slow first quarter, it seems the market is starting to find its footing. Pending home sales reported the largest month-to-month increase this decade, accompanied by strong existing and new home sales. Builders are still reporting shortages in labor but it does not appear to be slowing trends down. While cautious, investors seem to be investing their money in the right sectors that will produce long-term results. 

Another report from the Census Bureau estimated residential construction spending increased as well as in the single and multifamily home markets. This information is on the heels of a growth in the labor market with the average unemployment rate falling to 6.1%, down 1.4% from the same time last year.

With just a small stumble with the GDP, but overall positive numbers, analysts are predicting a steady climb for the second half of the year and into the next. Consumer confidence has grown over the past quarter with the Consumer Confidence Index hitting its highest level of 85.2, something not achieved since 2008!  

Overall, economic growth remains slow but steady. Mortgage interest rates remain historically low making this a great time to buy!

American's Prefer New Homes

According to a new survey from Trulia, Americans prefer to buy new when shopping for a new home.

41% of Americans would prefer a new home
21% prefer an existing home
38% have no preference should features and pricing be equal

The top reasons for preferring a new home include:

• Modern Features
• The ability to customize
• Requiring less maintenance and repairs

Modern features in new homes includes bigger closets, a kitchen island, open floor plan and pre-wiring for flat screen TV's

US markets that have the largest ratio of new home construction relative to market size are Texas and the Carolinas - great news for home buyers in South Carolina!

New home prices continue to rise as the market improves and demand increases. Take advantage of your buying power and shop for your new home this weekend!

Full survey results available here:
http://info.trulia.com/new-vs-existing-homes-survey-may-2014

Now Is The Time To Buy!

As the economy improves we see changes in the housing market. The housing market forecast is closely linked to employment growth which has remained steady over the last year. As employment growth continues to increase, the demand for housing increases and house prices as well as appreciation rise.

The current housing environment is moving away from a buyers market. A buyers market occurs when housing supply is greater than demand and prices remain low.    House prices have begun appreciating at a faster rate and the median house price is increasing as the demand for new homes increases. This means that consumers have more buying power now then they will a year from now. Don't delay your home purchase!

Mortgage rates are also increasing steadily. While they remain at historic lows, they will continue to rise as economic conditions improve.

The overall message is that NOW is the time to buy. Don't wait and let your buying power erode.

Household Projections

Check out this infographic about future household projections in the U.S. Thanks to www.keepingcurrentmatters.com for the visual!

New Home Sales

Despite the difficult winter weather and poor economic predictions, January's new home sales reached its highest level in more than 5 years!

Consumer confidence remains stable, home prices are increasing as inventory decreases and interest rates remain at historic lows.

Economists predicted a 6% drop in new home sales for January and were pleasantly surprised to see the increase especially after some brutal snow and ice storms kept many people home.

The south experienced a 10% increase in new home sales. See the chart below for more detail on the rise and fall of home sales and the upward trend we are pleased to be on.

Is Social Media Marketing Important?

Social Media is a common buzz word these days -  but is it relevant to your company's message?

New research by the Pew Research Center shows just how widespread the reach of social media is.  According to their survey, 73% of online adults are now using social media sites of some kind. Facebook remains the top social media platform.

In addition, the study finds that 42% of online adults are using multiple social media platforms - such as Pinterest, Instagram and Twitter.

To read the full article click HERE

Social Media Marketing, SEO and Pay-Per-Click campaigns are here to stay. Contact us for information on how best to incorporate them into your marketing strategies.

Mark Your Calendars!

The 2014 Home and Garden Show is coming soon!  The Original, Biggest and Best home show in the Midlands!

March 14-16 at the State Fairgrounds.

Over 250 construction, home improvement and outdoor product exhibits.

Daily educational seminars on a variety of topics such as home building, remodeling, high performance homes and lawn care. 

Register to win from over $15,000 in prizes!

For more information visit ColumbiaBuilders.com

#ColumbiaHomeShow