Buyer traffic continues to rise despite low housing inventory and marginally higher mortgage rates. Though, the threat of rising mortgage rates has forced homebuyers off the fence to take a more active role in purchasing a home sooner rather than later.
Rent prices are also on the rise, tipping the scale for some to purchase a home. Millennials are putting 45 percent of their total income toward rent and will pay out close to $100K for rent before they are 30. They might be earning more compared to other generations when it comes to income, but they’re also spending more on rent. The struggle with owning a home: almost half of millennials who have student debt, according to the recent study, are uncomfortable obtaining a mortgage in addition to their student loans. The real obstacle: downpayment perceptions.
The BLS Jobs Report for March was a miss, coming in 72K short of the 175K expected jobs created. It was the worst reported gain in the last six months but came after February’s major gain that was the best in two-and-a-half years. The lag in construction jobs created could likely be due to the fabulously intense winter taking place across much of the country still. Construction job openings still remain at a historic high, it’s just about filling them at this point. That’s comforting.
Speaking of construction, the percentage of builders using drones have doubled in the last two years, especially popular with single-family builders, from 22 percent to 46 percent. Makes sense, they provide a great perspective for preliminary surveying and monitoring a project. That’s one way to add some eyes onto the jobsite; now about adding some hands.