Millennials are finally moving out of their parents» houses and forming new households, and this demand ought to
drive home construction activity for some time.
As demand softens, there has been a gradual decline in new
home construction activity across most markets as well, helping to alleviate any sudden price movements, it says.
Despite ongoing high levels
of home construction activity, unsold housing inventory as a share of the adult population remains consistent with historical averages (chart 2).
In addition, new
home construction activity will lag along with related employment and economic growth,» Muir noted.
In addition, new
home construction activity will lag along with related employment and economic growth,» Muir noted.
Earlier this month, NAR reported new
home construction activity is currently insufficient in most of the U.S., and some states could face persistent housing shortages and affordability issues unless housing starts increase to match up with local job creation.
New
home construction activity is low in most of the U.S., and some states could face persistent housing shortages and affordability issues because of it.
Nova Scotia is experiencing slower employment and population growth during 2008, causing new
home construction activity to be more restrained.