{"id":882,"date":"2014-01-30T18:14:55","date_gmt":"2014-01-30T18:14:55","guid":{"rendered":"http:\/\/www.fiberlitetech.com\/blog\/?p=882"},"modified":"2014-01-30T18:17:02","modified_gmt":"2014-01-30T18:17:02","slug":"january-2014-housing-industry-update","status":"publish","type":"post","link":"https:\/\/www.fiberlitetech.com\/blog\/january-2014-housing-industry-update\/","title":{"rendered":"January 2014 Housing Industry Update"},"content":{"rendered":"<p>New home construction reached the 3<sup>rd<\/sup> highest level in the past 66 months.\u00a0 However, the latest annualized pace of 999,000 new units is insufficient to satisfy demand.\u00a0 Another 50 percent increase in housing starts is needed to help relieve the inventory shortage conditions.<\/p>\n<p>The latest figure is a decline from the prior month, which was the best in over 5 years.\u00a0 But activity is still higher from a year ago.\u00a0 Both single-family and multifamily housing starts softened in December.\u00a0 Perhaps the deep freeze in a good portion of the country could have impacted builders, postponing the digging of the earth.\u00a0 Housing permits, which are just paper approval and which should not have been impacted by the weather also weakened a bit.<\/p>\n<p>It takes about 6 months to go from housing starts to housing completion and ready for sale for a single-family home.\u00a0 Big builders can do it quicker on spec homes.\u00a0 Owner-initiated construction takes more than twice as long to complete.<\/p>\n<p>The inventory of newly construction homes is essentially at a 50-year low.\u00a0 Much more construction is needed.\u00a0 Publicly listed companies like KB Homes and Toll Brothers can tap Wall Street funds to get busy.\u00a0 However, small local builders have historically been the principal supplier of new homes.\u00a0 These local homebuilders rely on construction loans, which are very hard to get.\u00a0 Many local lenders have indicated burdensome regulations arising from Dodd-Frank financial market regulations have hindered their ability to lend.\u00a0 Hence, large companies are getting bigger at the expense of smaller guys getting shut out.<\/p>\n<p>The insufficient new housing starts will mean a likely continuation of a housing shortage in 2014.\u00a0 And, it is predicted that home prices and rents will continue to rise in all markets in 2014.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>New home construction reached the 3rd highest level in the past 66 months.\u00a0 However, the latest annualized pace of 999,000 new units is insufficient to satisfy demand.\u00a0 Another 50 percent increase in housing starts is needed to help relieve the &hellip; <a class=\"more-link\" href=\"https:\/\/www.fiberlitetech.com\/blog\/january-2014-housing-industry-update\/\">Continue reading <span class=\"meta-nav\">&rarr;<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[6],"tags":[],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/www.fiberlitetech.com\/blog\/wp-json\/wp\/v2\/posts\/882"}],"collection":[{"href":"https:\/\/www.fiberlitetech.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.fiberlitetech.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.fiberlitetech.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.fiberlitetech.com\/blog\/wp-json\/wp\/v2\/comments?post=882"}],"version-history":[{"count":1,"href":"https:\/\/www.fiberlitetech.com\/blog\/wp-json\/wp\/v2\/posts\/882\/revisions"}],"predecessor-version":[{"id":883,"href":"https:\/\/www.fiberlitetech.com\/blog\/wp-json\/wp\/v2\/posts\/882\/revisions\/883"}],"wp:attachment":[{"href":"https:\/\/www.fiberlitetech.com\/blog\/wp-json\/wp\/v2\/media?parent=882"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.fiberlitetech.com\/blog\/wp-json\/wp\/v2\/categories?post=882"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.fiberlitetech.com\/blog\/wp-json\/wp\/v2\/tags?post=882"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}