This page has been archived and commenting is disabled.
Housing Starts Surge to Highest Since Nov 2007, Permits At 7 Year Highs
Following two ugly months of dramatically missed expectations, Housing Starts exploded to 'recovery' highs (highest since Nov 2007) jumping 20.2% MoM to 1.135million (against 1.015 exp.). This is the 2nd biggest MoM jump in history. Both single-family (3rd biggest MoM surge since the crisis peak) and multi-family starts surged. Permits also surged in April (jumping 10.1% MoM - the most since 2012) to 1.143 million (well above expectations) and the highest since June 2008. and Well these huge mal-investment spikes make perfect sense in light of the collapse in lumber prices (and thus demand).
Starts Soar:
Permits spike:
And the breakdown between single family (to own) and mult-family (to rent):
Starts:
And Permits:
Which all makes perfect sense:
»
- 14083 reads
- Printer-friendly version
- Send to friend
- advertisements -
Rate hike dead ahead.
Not!
DavidC
Ghost cities is the new plastics.
Doesn't really jive with the Walmart data now does it?
But it jives with what the banking cabal is putting out on the sale side. They're screaming rate hike, while stocks are at ATH's so that the buyers believe it'll be great for stocks and buy moar stawks. All the while the banking cabal are dumping their positions and buying large amounts of puts and selling synthetic long positions (to make them synthetically short). This is setting up for rate hikes and a repeat of 2008. Timing is everything.
Fits just fine with the Home Depot data. Cherry picking season isn't until July. You're early.
This data makes perfect sense in my area. New developments are being built all around me. Crazy? Yes. But it is happening.
Insiders don't make money when things "hit" expectations.
So, the Insiders knew in advanced the last two months the numbers got fudged downward.
With two months of downward fudging, then they're able to blow the top out with upward fudging.
Our neighborhood is about 10 years old. They are in the process of 'building-out' what's left of the lots. Probably 20 new homes and 12 new condos being completed in the last 4-6 months. NE Georgia. Resales come up and are sold within a couple of weeks.
Only because flipping real estate is the new market bubble
It won't end well either.
It'd be wise for you to put that house on the market and live in an apartment for a short-period and pick up an older home on the cheap during the next crash. New homes are junk, built only a step above Chinese 3-D printed houses.
This is the same exact thing that I am seeing in Northern Nevada. Neighborhoods that were abandoned during the crash are now finally being built out. Resales are being snapped up in days if not weeks. Housing prices have gone up 70% since the lows of 10-11. Makes no sense to me. I would have loved to see an increase in wages of 70% in the past five years, but I have been lucky to see about a 8% increase since 10. Friends of mine have not gotten raises in years and some have even taken 15-25% cuts just to stay gainfully employed.
Now that's what I call a recovery!
That's cool - hiring is up for the summer. This is an honest-to-goodness real story from Fars News Agency (FNA) :
Beheader/amputator is a good dual-skill set to have in Saudi Arabia. Kind of like being an actress/waitress in the U.S.
*Must provide own sword. Limit of 29.5 beheadings per week.
Bond market is going to force it?
if banks are unwilling to provide mortgages and prospective buyers don't have the income--and wouldn't qualify even if they did--then whose money, other than speculators is behind this boom?
instead of ghost cities, America has ghost developments and emptying strip malls.
This is a sign of buider sentiment, not consumer sentiment. It will only lead to oversupply!
Step 1: Um sell gold?
After that, I am at a loss as to how to trade off of this newz.
Sell real estate. You sell into strength.
But this is good right? Lots of new houses for all those people who want to move into those new houses! Right?
DavidC
(sarc off)
So this is the excuse for the monkey hammer.
Excellent. Buy.
The economy is on FIRE!
Ah ... I see what you did there. Clever.
lumber used to build houses is soooooo 2014! we now use digital fiat.
More homes for foreign cash buyers to convert into rentals for cash-strapped Americans.
Don't fight the new normal.
This makes no sense 93,000,000 people out of work? Who the fuck is buying this shit? Alright it must be China not Belgium....Fess up you bastards...
Securities Based Lending. stocks go up, borrow more, buy more real estate, economy looks good/hopeful...stocks go up, repeat
what does the endpoint look like? probably something that appears insignificant, like poor people running out of cash flow to buy subprime cars...'contained'. or sometihng else that appear inocuous right now, but then will be blamed for the woes of the planet, like a guy trading in his parents basement.
I
It's not 93 mm who are looking for a job or even need one. These kinds of numbers get thrown around willy nilly to support one agenda or another without regard to accuracy.
Among those 93mm are likely 50mm who are retired; just not interested in working but collecting enough free stuff to exist making up the difference to buy an AMG Merc thru drug sales, hit men and women and underground shit; students; HouseWhores of Atlanta, Beverly Hills, Jew Nork, Jew Nersey, Miami, Petaluma; my wife; home makers; the gay female "husbands" of the lesbians; the gay male "wife" of Nathan Lane, Barney Frank, Neil Patrick Harris, and Anderson Cooper; millions of our fellows, our transgendered, our hermaphrodites like Hilary Rodman Clinton.
The number that matters at all, is the number of human beans with obsolete skills, who are in need of a good job, but can't get one; those who have been laid off for any number of reasons that have nothing to do with their marketability.
Don't believe everything you read here, not even this.
without regard to accuracy.
Among those 93mm are likely 50mm who are retired.... some data to support the 50million Comte d'herblay
Likely??? Sound like your in the willy nilly camp...
Din't ya read the last sentence?
I did and I don't..
Bueno. Congratulations.
Great I'm looking for a new home to move my aging Parents, myself and wife, and my boomerang kids, with grandkids under a single roof.....
#ancestorhousing
The Federal Reserve has created speculative bubbles. Flowing from one bubble to the next.
Fuck it, i'm buying MOMO, GOGO, GOMO, and MOGO, they're all up huge already pre-mkt - don't want to miss the train!!
Really ?!
Sudden change like this is more than suspicious. If it's Tuesday it's America let's jack some numbers.
Right? It's so weird how some of these numbers come out to keep the bubble floating...
Multi-family rentals or empty units. China has set a good example.
If you can't rent it or sell it - you get a write off and a bail out.
The economy WILL recover, whether ZHers like it or not. There is an election coming in 2016 and another regressive socialist must be installed.
Foreign money seeking shelter...
Immigration and births continue, just because people aren't working doesn't mean they don't need a place.to live....not everyone just rolls over and becomes homeless. the black economy in my part of the world is strong...plenty of $10-15/hr under the table jobs in this area.
Sure, the average rent is over $3,000 now (close to $4,000 in many parts of NYC) and a single family home costs more than $700,000 plus property taxes in many areas now.. Those under the table $15 an hour workers sure won't be buying (not that you would WANT such people to be your neighbors)
I agree. Decent single family houses in decent parts of Fairfax County start at $550k for a fixer upper. Both spouses make 6 figures or you live with the section 8 and illegal alien crowd in Manassas. That's how it works in the DC area.
Phoenix market is definitely brisk so far this year.
LMAO these chumps never give up do they? Get on Zillow and see all the forclosures and listings. There is inventory out the wahzoo. In narrow price ranges still demand but lots of new houses mean lots more foreclosures coming. Low interest rates tempt folks but house prices have risen so high they are still to much of a stretch.
My brother is building a house the builder bugged him at church, his house and even got a real estate agent to sell his home included in the package.
Housing permits are a wet dream not an actual commitment to build.
Told ya it was the weather.
Build them and they will come. They should try Detroit and Camden and see if it turns those to cities around.
charleston is booming... as usual.
I think there is a MISSING DIMENSION in any economist's consideration of Housing, i.e. IMMIGRATION. The 800lb gorilla in the living room.
The ENTIRE population growth in the USSA is from immigration and related births. In 1960 154 million Americans, today?
And the numbers will only grow and grow and grow. Agricultural land in California has been disappearing for decades now and it is NOT isolated to California.
Consider this government program:
EB-5 Visas: Selling Our Birthright for a Mess of Pottage
An American Defense Worker Cautions Us On Asian Immigrants
Well the US government is doing all it can to stimulate the growth of buyers for real estate in the USSA, including some fresh and ingenious new approaches:
In Soviet America, DHS Smuggles Illegals INTO America
And the average American won't be in any sort of financial position to outbid the newcomers and the PRIVILEGED "minorities" for housing:
Since 2000, All Employment Growth Has Gone to Immigrants
Moar MFD getting built versus SFRs?