Housing bottoming?

June 24, 2009

From RDQ Economics:

New and existing home sales, housing starts, building permits, and homebuilder sentiment all appear consistent with the picture of a bottoming out in housing activity, albeit at very low levels.  It seems likely that the drag from housing on GDP growth in the second half of the year will be significantly smaller than the average subtraction of 1.0% point per quarter over the last three years.

Me: Less of a drag on GDP, sure. But no rising home prices …

2 comments

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The home market is difficult to read at this point including foreclosure data. Second homes are especially difficult to read, but the continued high unemployment levels are troublesome.

Hey, I appreciate your constant search for the pony in the rooom full of horse poop. Might be a bit premature.