News in end use


Canada’s GDP Increased 0.4% in August

Statistics Canada (StatsCan) reported today (10-29-21) that Canada’s real gross domestic product (GDP) rose 0.4% in August. This was result of the continued easing of public health restrictions and further reopening across the country, as well as increased demand across many close contact service industries.

U.S. Home Price Appreciation Sets New Record for Third Consecutive Month, Rising 20.7% Year-Over-Year

Year-over-year the RHPI reports that the nominal price appreciation reached 20.7%, the third consecutive month it has set a record. Real house prices increased 1.2% between July 2021 and August 2021. Consumer house-buying power, how much one can buy based on changes in income and interest rates, increased 0.5% between July 2021 and August 2021, and increased 3.5% year-over-year, according to the RHPI.

Pending Homes Sales Slip in September

The National Association of Realtors® (NAR) reported on Thursday (10-28-21) that their Pending Homes Sales Index (PHSI) — which is based on signed real estate contracts, not actual closings, for existing single-family homes, condominiums, and co-ops — declined -2.3% month-over-month in September 2021 to a reading of 116.7.

Real GDP in Q3 2021 Grows at an “Advance” Estimated Annual Rate of 2.0%

The Bureau of Economic Analysis (BEA) reported today (10-28-21) that its “advance” estimated Real Gross Domestic Product (GDP) for Q3 of 2021 increased at an annual rate of 2.0%. According to the BEA, the increase in real GDP in the Q3 of 2021 reflected increases in private inventory investment, personal consumption expenditures (PCE), state and local government spending, and nonresidential fixed investment…

Mortgage Rates Creep Higher in the Week Ending October 28, 2021

Freddie Mac has released its Primary Mortgage Market Survey (PMMS) for the week ending October 28, 2021. The PMMS reports that 30-year fixed-rate mortgage averaged 3.14% with an average 0.7 point, up from last week when it averaged 3.09%. A year ago, at this time, the 30-year FRM averaged 2.81%.

Weekly Jobless Claims Decline Further in the Week Ending October 23, 2021

The U.S. Department of Labor is reporting that an additional 281,000 Americans made their initial filing for unemployment benefits during the week ending on Saturday, October 23, 2021 — a decrease of 10,000 from the previous week’s revised level. This is the lowest level for initial job claims since March 14, 2020, when it was 256,000.

Increasing New Home Prices Have Prospective Buyers Looking at Alternatives

According to the latest National Association of Home Builders (NAHB) Housing Trends Report (HTR), the number of prospective buyers looking for a newly built home has declined steadily since reaching 42% in Q4 of 2020. In Q3 of 2021, that number was down to 32%. Of course, when compared to Q1 of 2018, when there were only 15% of prospective buyers looking for a new home, it looks rather substantial.