According to data from the Mortgage Bankers Association’s (MBA) Weekly Mortgage Application Survey, for the week ending March 12, 2021, the Market Composite Index — a measure of mortgage loan application volume — decreased -2.2% on a seasonally adjusted basis from one week earlier. On an unadjusted basis, the Index decreased -2% compared with the previous week.
Wood Markets News
Housing Starts and Permits Down but Housing Completions were Up in February 2021
The U.S. Census Bureau has reported that privately‐owned housing starts in February were at a seasonally adjusted annual rate (SAAR) of 1,421,000. This is -10.3% below the revised January estimate of 1,584,000 and is -9.3% below the February 2020 rate. Single-family housing starts in February were at a rate of 1,040,000; and this is -8.5% below the revised January figure.
Mortgage Applications for New Home Purchases Drop -9% between January and February 2021
The latest Builder Application Survey (BAS) from the Mortgage Bankers Association (MBA) for February 2021 shows mortgage applications for new home purchases increased 9.2% year-over-year (February 2020 – February 2021).
Canadian Wood Product Sales Jump 9.1% in January Driven by Higher Sales Volume and Prices
Statistics Canada (StatsCan) is reporting that manufacturing sales rose 3.1% to $56.2 billion in January, following a 1.3% gain in December. Sales were up in 16 of 21 industries, driven mainly by the wood products, computer and electronic products, and primary metal industries.
State by State Construction Sector Employment Analysis from January’s Nonfarm Payroll Report
Further analysis of the Bureau of Labor Statistics January nonfarm payroll report, provided by the National Association of Home Builders, reveals that nonfarm payroll increased in 36 states in January compared to December, while 14 states and D.C. reported job losses.
Builder Confidence Declines in March but Remains Elevated
The National Association of Home Builders (NAHB)/Wells Fargo Housing Market Index (HMI) reports that builder confidence in the market for newly built single-family homes declined 2-point in March, after a 1-point increase in February, to a reading of 82.
Shares of Mortgages in Forbearance Decline Further in Week Ending March 7, 2021
The latest Mortgage Banker Association’s (MBA) Forbearance and Call Survey reports that the total number of loans now in forbearance decreased by 6 basis points from 5.20% of servicers’ portfolio volume in the prior week to 5.14% as of March 7, 2021. According to MBA’s estimate, 2.6 million homeowners are in forbearance plans.
Interfor Corporation Completes Acquisition of Summerville South Carolina Sawmill from WestRock
Interfor Corporation announced on Saturday, March 13, 2021 that it has completed the previously-announced transaction to acquire the WestRock Company’s sawmill located in Summerville, South Carolina.
Wolff Company and Katerra Partner to Design and Build a Two-Building 5-Story Project Using CLT
Developer The Wolff Co. has partnered with the technology-driven construction firm Katerra to design and build a two-building, five-story project, which is among the first developments in the country to use cross-laminated timber (CLT), or large-scale, prefabricated, solid engineered wood panels, for the floor and ceiling assemblies.
Louisiana’s Timber Losses from Last Year’s Hurricanes Amount to $1.5 billion
According to LSU AgCenter’s forestry experts, the Louisiana’s forestry industries losses from hurricanes last year — $1.5 billion — was double the amount of the revenue the industry generates yearly.