After a sharp drop off at the beginning of the coronavirus pandemic, homebuilders are feeling confident about the market again.
Builder sentiment jumped to 58 in June, which is the largest monthly increase ever in the National Association of Home Builders/Wells Fargo Housing Market Index. Any reading above 50 suggests a positive market.
New build mortgage applications jumped 10.9% annually in May and one of the nation’s largest homebuilders reported better-than-expected quarterly earnings.
“Miller also indicated that the stories of urban flight are real, as people are rethinking the way they want to live in an age of lockdowns and work-from-home orders. That trend appears to be playing out among all the builders.”