According to the U.S. Census Bureau Survey of Construction data, with analysis provided by the National Association of Home Builders (NAHB), the total share of non-site built single-family homes (modular and panelized) was a 3% of single-family completions in all of 2020. The NAHB anticipates that this share is expected to rise moderately in 2021 and in the years ahead.
Wood Markets News
Alberta’s First New Forest Management Agreement in 12-Years is with Spray Lake Sawmill Affiliate
The first new Forest Management Agreement in 12-years, in the Province of Alberta, has been announced and it is with Crowsnest Forest Products Ltd., affiliate of Spray Lake Sawmills. Forest Management Agreements are the most secure type of forest tenure and are designed to provide companies with rights to establish, grow, harvest and remove timber on Crown land using sustainable forest management practices.
Home Buyers Are Again Considering Condo Living
In its latest report, Redfin, the Seattle-based technology-powered real estate broker, is reporting that the typical condo in the U.S. sold above its asking price in June, just the second time since at least 2012. The first time was in the month of May, and is signaling renewed homebuyer competition for condos after a pandemic-fuel slump. Nationwide, the typical condo sold for 0.7% above its asking price in June, following a premium of 0.4% in May.
Conference Board Leading Economic Index for the U.S. Increased 0.7% in June
The Conference Board, which was founded in 1916 as a non-partisan, not-for-profit think tank, released Thursday (7-22-21) their June 2021 Leading Economic Index® (LEI) for the U.S. According to the release, the LEI (which is based on ten separate components) increased 0.7% in June to 115.1 (2016 = 100), following a 1.2% increase in May and a 1.3% increase in April.
B.C. Opens Second Intake for Mass Timber Demonstration Program with a $2 Million Investment
The B.C. government has announced that the province will be investing an additional $2 million (CAD) to open a second intake for the Mass Timber Demonstration Program. According to the press release, the funding will be used to further advance mass timber projects in the province.
Wildfire in Western Canadian are Impacting Logging, Lumber Production, Transportation and Now Prices
Wildfires continue to rage through Canada, and the western provinces have been particularly hard hit. On Tuesday afternoon, Canfor reacted to the wildfires by announcing that effective Monday, July 26, 2021, they would cut back output at their mills in British Columbia because of hundreds of blazes that have broken out.
Existing Homes Sales Increase 1.4% in June
The National Association of Realtors® (NAR) reported that total existing home sales — completed transactions for single-family homes, townhomes, condominiums, and co-ops — increased 1.4% from May to a seasonally adjusted rate at 5.86 million homes in June. Year-over-year sales are up 22.9% (4.77 million June 2020).
Americans Continue to Want to be Homeowners
According to the latest National Association of Home Builders (NAHB) Housing Trend Report (HTR) for Q2 of 2021, 17% of American adults polled indicated that they are considering the purchase of a home within a year. The share (now seasonally adjusted) has increased for five quarters in a row.
Mortgage Rates Drop for Fourth Consecutive Week in the Week Ending July 22, 2021
Freddie Mac has released its Primary Mortgage Market Survey (PMMS) for the week ending July 22, 2021. The PMMS reports that 30-year fixed-rate mortgage averaged 2.78% with an average 0.7 point, down from last week when it averaged 2.88%. A year ago, at this time, the 30-year FRM averaged 3.01%.
Statistics Canada Announces New Weights for Goods and Services in the Consumer Price Index
On Wednesday (7-21-21), Statistics Canada (StatsCan) revealed new weights for the basket of goods and services in the Canadian Consumer Price Index (CPI), with shifts including a higher weighting for the shelter component as housing prices soar. The previous basket update was based on 2017 purchasing patterns.