Though some housing experts anticipate a market slowdown in response to elevated mortgage rates, the nation’s largest home builders are still reporting strong sales and resilience from impatient and determined buyers. Much like the nation’s top builder, D.R. Horton, Pulte, the third largest, is limiting sales to keep a healthy pace with heightened demand despite recent price hikes.
According to ForexLive, a supply and demand imbalance is sustaining home building activity in the midst of an affordability crisis. Even as mortgage rates reach new highs, a lack of available housing inventory is driving up demand and keeping home builders busy in every regional market.
According to Pulte:
"The demand that we saw in the first quarter was exceptionally strong, and that's continued into April."
"I think it's fair to say that the supply/demand dynamics of the first quarter were consistent with the trends the industry has been experiencing for the past year or more. In short, demand was strong, available inventory was scarce and the incoming supply is limited.”
Advertisement
Related Stories
Affordability
‘Rentvesting’ Grows in Popularity as Housing Prices Climb
72% of Millennials and Gen Z would buy property in a more affordable state from the one they live in
Townhomes
Townhome Construction Gains in Popularity as Buyers Seek Medium-Density Housing
Townhouses made up 18% of single-family housing starts during Q1 2024
Housing Markets
5 Housing Markets That Would See a Huge Increase in Homeownership if Mortgage Rates Dropped
Spokane, Wash., would experience an 11.4% increase in affordability if rates dropped to 6%