Building Market Intelligence

Sign up for our free industry newsletters, known as Building Market Intelligience™, by filling out the form to the right.

Defining Replacement Cost

With the emergence of single-family rental homes as an institutional asset class, the concept of replacement cost has received a lot of attention lately. We are proposing a set of definitions to bring clarity to the term replacement cost, which …

Chicago Housing Outlook an A+ after Falling 91%

Watch out for a housing renaissance in the Chicago metro area. The region massively overcorrected in this last downturn and just recently joined the recovery. New home revenue fell 91% from 2005 to 2010, and most private builders went out …

What 2013 Tells Us about the Future

Year in Review 2013 was a very interesting year for housing and can be characterized by three periods: 1. January through May boom. Sales were so strong that flippers returned to the market. Home builders pushed prices high enough to …

A Picture: More Misleading Than A Thousand Words?

The Home Price / Income chart below has recently been used by a number of bears to point out that US home prices are overvalued. One analyst has even created a 100-year version of this chart. To conclude that home …

Misleading Headlines

New home sales reportedly spiked in October. Huh? Builder stocks spiked right after the Census Bureau release Wednesday morning, and we are sure that many believe we are in a strong housing market again because of the headlines. On Fox …

Housing Outlook 2014: Holding our Breath

As a kid, I remember the Apollo lunar module losing all communication for about one hour as it orbited around the back of the moon. We all held our breath for that hour, waiting to hear that all was okay.* …

SoCal Investors Fear New Home Construction

But should they? Every time I attend a conference I learn something. Last month, legendary Inland Empire investor Bruce Norris held a charity event for 500 people with a number of top analysts. He estimated that at least $1 billion …

Huge Economic Growth Disparities Across US

While the national story is slow and steady job growth, the local story is much different. The US is a mix of rapidly accelerating and decelerating economies. The larger markets, particularly in the South, are growing faster than the smaller …

Housing Bargains Harder To Find

It is hard to say that housing is still a great deal. While mortgage rates remain near historical lows, home prices have come back strong. Thanks to strong price appreciation, the ratio of Median Home Price / Median Household Income …

Housing Slowdown is a Good Thing

Gerri Willis and I discussed housing on Fox Business this week. I have known Gerri for a long time, as she was a housing industry reporter early in her career and even wrote a couple books on housing investment. Here …