According to the latest Mortgage Bankers Association (MBA) Builder Application Survey (BAS) data for November 2021, mortgage applications for new home purchases declined -3.0% month-over-month and 2.2% year-over-year. Based on data from the BAS, the MBA estimates that new single-family home sales were running at a seasonally adjusted annual rate of 905,000 units in November.
Wood Markets News
Weekly Jobless Claims Decline in the Week Ending December 11, 2021
The U.S. Department of Labor is reporting that an additional 206,000 Americans made their initial filing for unemployment benefits during the week ending on Saturday, December 11, 2021. This is an increase of 18,000 from the previous week’s revised level. The 4-week moving average was 203,750 — a decrease of 16,000 from the previous week’s revised average.
PacBio to Close Wood Pellet Plant in Prince George, BC
Pacific BioEnergy Corporation (PacBio) announced today (12-15-21) that it intends to permanently close their wood pellet plant located in Prince George, B.C. The company says that after satisfying certain closing conditions, which is expected by the end of 2021, certain assets owned by PacBio will be assigned to Pinnacle Renewable Energy Inc. (part of the Drax Group).
Canadian Housing Starts Push Higher in November
According to the Canadian Mortgage and Housing Corporation (CMHC), the trend in housing starts was 267,365 units in November, up from 264,583 units in October. This trend measures a six-month moving average of the monthly seasonally adjusted rates of housing starts in Canada. The standalone monthly SAAR of housing starts for all areas in Canada was 301,279 units in November, an increase of 26% from 238,366 units in October.
Builder Sentiment Ends Year on a High Note
On Wednesday (12-15-21), The National Association of Home Builders (NAHB)/Wells Fargo Housing Market Index (HMI) reported that builder sentiment in the market for newly built single-family homes edged 1-point higher in December to a reading of 84. This marks the fourth consecutive upward movement in the HMI and ties year’s highest reading (February).
Freddie Mac Confirms Immediate Mortgage Relief Options for Homeowners Affected by the Tornado Outbreaks
Freddie Mac on Tuesday (12-14-21) confirmed that immediate mortgage relief options for homeowners affected by the tornado outbreaks in Kentucky and surrounding areas last weekend. The disaster relief options are available to homeowners whose homes or places of employment are located in presidentially declared Major Disaster Areas where federal individual-assistance programs are made available to affected individuals and households.
Canadian Consumer Price Index Up Month-Over-Month and Year-Over-Year in November
Statistics Canada (StatsCan) released today (12-15-21) the Canadian Consumer Price Index (CPI) for November. The CPI rose 4.7% on a year-over-year basis in November, matching the increase in October. Excluding gasoline, the CPI rose 3.6% year over year. On a monthly basis, the CPI edged up 0.2% in November, following a 0.7% increase in October.
Mortgage Applications Decline in Week Ending December 10, 2021
According to data from the Mortgage Bankers Association’s (MBA) Weekly Mortgage Application Survey (WMAS), for the week ending December 10, 2021, the Market Composite Index (a measure of mortgage loan application volume) decreased -4% percent on a seasonally adjusted basis from one week earlier. On an unadjusted basis, the Index decreased -6% compared with the previous week.
UPM to Invest 10 Million Euros in Joensuu, Finland Plywood Mill
UPM, a frontrunner in the forestry industry providing renewable solutions for various end-uses, has announced that it intends to invest 10 million Euros in the development of their plywood mill in Joensuu, Finland. The investment now being made is a continuation of the development projects of recent years at UPM Joensuu mill.
George Brown College to Build Ontario’s Tallest Wood Building
On Tuesday morning (12-14-21), the movement to build large structures from specially engineered wood, frequently called mass timber, got a major boost when George Brown College broke ground on what will be Ontario’s tallest wood building. The building will be called Limberlost Place, after Limberlost Forest and Wildlife Reserve in Ontario’s Muskoka region, and is being funded in part by a $10 million (CAD) donation.