The housing sector of our economy has been durable throughout the Pandemic. Mortgage rates fell and remain at historic lows, and have been the catalyst, and now with the reopening of the economy, it should remain an area of strong support for America’s economic growth.
This morning’s new housing starts report for March was released and it came in better than expected at a 1.74 million annual rate, which was a 19% jump from the previous month. More importantly, the permits for new construction, as that is a leading economic indicator, came in at 1.77 million representing a 2.7% increase.
Housing is a major store of wealth for most Americans if they feel wealthy, they will spend. That drives the economy. We will have a very good economic year.