According to the National Association of Home Builders’ (NAHB) latest Housing Trend Report (HTR), buyers’ perception of home affordability declined further in Q3 of 2021. In Q3, 73% of buyers estimated that they could afford less than half the homes available for sale in their markets.
Wood Markets News
Canada’s Industrial Product Price Index Increases Month-Over-Month and Year-Over-Year in September
Statistics Canada (StatsCan) reported today (10-29-21) that the price of products manufactured in Canada, as measured by the Industrial Product Price Index (IPPI), increased 1.0% month-over-month in September and 14.9% year-over-year.
Prospective Buyers’ Expectations of Housing Availability Decline for Third Consecutive Quarter
According to the National Association of Home Builders (NAHB) latest Housing Trends Report (HTR), there has been significant changes in buyers’ perceptions in regard to the challenges of the easier home availability. Today, 66% expect that finding the right home will be harder or not change much, up from 54% in Q4 of 2020.
Hemp: Next New Option in Building Components
Blain Brownell, FAIA, is an architect and materials researcher. He is also the Director of the School of Architecture at the University of North Carolina at Charlotte. According to an article published in Architect Magazine, Brownell’s research has helped him identify another building product, which he believes has the potential of revolutionizing and replacing concrete, steel, and even wood in some, not all, structural building components. The fourth building option is Hemp.
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.
University of Michigan’s Final Consumer Sentiment Index for October 2021 Falls Month-Over-Month and Year-Over-Year
The University of Michigan today (Friday 10-29-21) released its Final Consumer Sentiment Index (CSI) for October. The Index of Consumer Sentiment declined to a reading of 71.7. This is down from a reading of 72.8 in September, a month-over-month decrease of -1.5% and -12.3% year-over-year (81.8 in October 2020).
Personal Income Declines While Outlay Increased in September 2021
The U.S. Bureau of Economic Analysis (BEA) reported on Friday (10-29-21) that personal income (PI) decreased -$216.2 billion, or -1.0%, in September, according to their estimates. Disposable personal income (DPI) decreased -$236.9 billion, or -1.3%, in September.
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…