The S&P/Case-Shiller home price index rose more-than-expected in February, increasing for the ninth consecutive month, industry data showed on Tuesday.
In a report, Standard & Poor’s with Case-Shiller said its house price index rose at an annualized rate of 9.3% in February from a year earlier, above expectations for a 9% increase.
U.S. home prices in January rose by 8.1%.
Month-on-month, U.S. home prices rose 0.3% in February, compared to expectations for a 0.9% increase, after rising by 1% in the preceding month.
Following the release of the data, the U.S. dollar held on to gains against the euro, with EUR/USD shedding 0.19% to trade at 1.3073.
Meanwhile, U.S. stock index futures were modestly higher. The Dow Jones Industrial Average futures pointed to a gain of 0.1% at the open, S&P 500 futures indicated a rise of 0.1%, while the Nasdaq 100 futures signaled a 0.1% increase.
The house price index just registered an annualized +9.3% number for February. If you’re still doubting the overwhelming data that is pointing to a very robust housing market, you’re an idiot.
Again, I will reiterate my belief that as prices rise, so will new home builds. To build homes, you need lots and lots of wall board.
Needless to say, I am long USG.
Another new residential construction play is TMHC.
Lenders will make a killing. I like NSM.
My favorite housing plays in the tech space are Z, TRLA and ANGI. Since I am constantly hosting construction workers at my house, I have a really good feel for the pulse of the market. Without equivocation, 9 out of 10 contractors are banking extreme amounts of coin via ANGI. Even my cleaning lady uses ANGI to garner new business.
ANGI makes money by charging users a small annual fee, like 10-15 bucks. And they make the bulk of their revenues by charging contractors a monthly advertising fee. My HVAC guy, who was just here fixing my retarded furnace, said he gets 5-10 new customers per week off ANGI, +50% from last year. He used to pay $150 per month to advertise, or get “bumped to top” on ANGI; but they just raised the prices to $250. He expects another rate increase when his contract is up next year and will gladly pay it, since it pays for itself.
He feels the service is “amazing.”
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House across the street sold in two weeks at a premium. The owners pocketed a 33% gain in five years.
Just bought a lot for new construction. Chicago area. Prices have risen 10% on the lots since Jan 1, and they’ve still sold them “too fast”. 9 month lead to get a house built now.
For as long as you can get inflation-adjusted free mortgage money (<3% after tax deduction interest)…housing will boom. It may just be the "haves" buying, but it will boom.
SoCal has recovered too, but you better offer full cash for the good properties or you have no chance of getting the house.
Fly…I do want to offer my counter analysis…A good friend of mine has a restoration company….and he says Angie’s List sucks and gets him little to no business. Alternatively, Yelp gets him $80,000 per month in Local business. Not trying to be a naysayer-because you are GOD…just trying to help.
THat’s odd.I am hearing the exact opposite.
I am going to guess your friend is in California, which had an early adoption to Yelp.
Yes?
Yes Sir compadre…San Diego to be exact. Out West we’re all stoned living in harmony with Illegals while spitting on Angie…after we bang her of course…
My pricing looks like $9 per month or $80 per year for Angies List
I thought it was bit strange when my construction workers showed up this morning in Mercedes Benz and Cadillacs.
WTF happened to your VHC pick??!!! OUCH
Sold at 35
ANGI promotes the contractors who pay them the most?
RAS?
Just a hunch but if ANGI hosts mostly contractors that perform corrective actions on equipment or construct upgrades, I would think they more closely follow existing home sales rather than new home sales.
fwiw- comparison. http://bit.ly/YjJRHX