Home builders are growing more confident about the housing market — despite the rising cost of construction materials

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Home builders are in an enviable position. Millions of millennials are entering their prime home-buying years as mortgage rates remain near all-time lows. That’s a recipe for strong demand.

The numbers: The construction industry’s confidence rebounded in April, according to research from a trade group released Thursday.

“While mortgage interest rates have trended higher since February and home prices continue to outstrip inflation, housing demand appears to be unwavering for now as buyer traffic reached its highest level since November,” Robert Dietz, chief economist for the National Association of Home Builders , said in the report.

However, the index of expectations for future single-family home sales over the next six months fell by two points to 81. Optimism among home builders grew in the South and West regions of the country, but fell in the Northeast and Midwest.

 

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End the forbearance program let things be! And you’ll see houses come back down a bit

Wow

$9 a 2x4 and rising. This is inflation BRRRRRRRR

increased material cost is offset by low interest rates! people will borrow more as long as the monthly payment works! never mind the inflated prices lol

Definitely a top.

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But also in many markets home prices have outpaced appraisals, so first time homebuyers have a hard time saving enough cash to cover downpayments plus the 'appraisal gap' your loan won't meet, in the offer you needed to get the home. In Denver it's very very difficult for example

'Millions of millennials are entering their prime home-buying years as mortgage rates remain near all-time lows.' Don't think you can? Video shows how.

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