“After a tough report last month, this is strike two for the housing market,” said John Pataky, executive vice president at TIAA Bank.
“While recent monthly reports warn of a change in momentum, year-to-date housing data show actual growth.”
“Builder confidence, while showing signs of having been shaken in recent months, remains high.”
“Rising material prices have been a detriment to new development for much of the year. Given higher costs for materials such as lumber, many projects now fail to pencil out and have been delayed, especially for entry-level homes. However, material prices have begun to ease recently, a trend that should continue in the second half of the year.”
See the charts and read more from both sides of the debate at ForConstructionPros.com