Homebuilders began construction on new homes in October at the fastest pace in 11 months, according to a median forecast of 77 economists, as reported in a Bloomberg news survey. The housing starts jumped to an annual rate of 600,000, the forecast said, marking a 1.7 percent increase. Reduced home prices, coupled with federal tax incentives and reduced borrowing costs, were cited as key reasons for the expected industry turnaround. While some experts say that a tenuous job market could derail progress, the industry consensus is that the Commerce Department’s housing report, due later this morning, will yield good news. For his part, Toll Brothers CEO Robert Toll said he’s optimistic about the industry’s progress. “The new home market is improving,” Toll said. “We sense that it is, though slowly and through choppy waters.”
Housing report forecast shows optimism among economists
November 18, 2009 08:11AM
November 18, 2009 at 2:59 pm, Anonymous said:
Forecast was a disaster as home sales fell 10%. Golly ghee why pay theses analysts. Guess what everyone , only low cost housing is selling, and they are putting 3% down payments and then walking away. Hello., is there anyone out there. Wages are falling, job insecurity is growing, so what is up with pro housing commentary.
November 18, 2009 at 5:12 pm, Anonymous said:
This only proves that economists are usually wrong. Remember when they were telling everyone to buy two years ago, and the real estate market has just about crashed
November 18, 2009 at 10:06 am, Anonymous said:
too bad the forecast was wrong
November 18, 2009 at 12:24 pm, Anonymous said:
so what? an economist always will tell you tomorrow why what he predicted yesterday, did not happen today