New Housing Construction Predicted to Rise, Yet Housing Market is Tenuous at Best

January 20, 2010

Daily Real Estate Updates

sudler-sothebys-logo20 January 2010 ? According to the Wall Street Journal Real Estate section, housing construction is expected to rebound this year from its severely depressed 2009 level. The market, however, remains unpredictable as foreclosures continue to rise. In other news, Frank Nothaft, chief economist at Freddie Mac, said the percentage of people who are behind on their mortgage payments probably won’t peak until the second half of 2010. In regard to construction starts, David Crowe, chief economist for the National Association of Home Builders, says builders are likely to begin construction on 610,000 single-family homes this year, up 38% from last year. His forecast assumes that the total number of U.S. jobs will start growing again in the second quarter. Housing starts will remain far below the 2005 peak of 1.7 million. Mr. Crowe cautioned that the housing market remains tenuous because foreclosures are increasing, job growth is stagnant, and builders continue to have trouble securing credit.

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About Catherine Brennan

Catherine Brennan is a seasoned real estate agent with over six years experience in closing hundreds of transactions and developing a network of satisfied clients. Because she values customer service above all else, she teamed-up with Nancy Gaspadarek to create the G and B Real Estate Team. Catherine has lived in the city of Chicago since 1990. She is a member of the Lakeview Chamber of Commerce, a volunteer for the Friends of Blaine and Umoja which both focus on enhancing child education. She enjoys investing in real estate and golfing when she can. You can visit Catherine's web site or reach her directly at 312.613.8022 or catherine@gandbteam.com

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One Response to “New Housing Construction Predicted to Rise, Yet Housing Market is Tenuous at Best”

  1. ElizabethL Says:

    Luckily, the housing market isn’t as depressed in the Midwest and it is on the coasts. Missouri just announced that tax incentives are being offered while supplies last this year. Here’s some info on it http://www.fischerandfrichtel.com/blog/index.php/2010/01/a-new-tax-credit-for-missouri-home-buyers/