SFH Demand Indicator

SFH Demand Indicator

Measuring demand for the single family housing market can be challenging, but we believe looking at price reductions can provide valuable insight. If there is healthy demand for single family housing sellers won’t necessarily need to lower their asking prices unless of course their expectations were artificially high to begin with. 

Disconnected from Reality?

Disconnected from Reality?

While still early, our proprietary single family housing listing data, from our partner Altos Research, provides an initial glimpse into the spring selling season. In a nutshell, things look pretty good so far on the ground, which may present an opportunity in Homebuilder stocks. Our leading data suggests prices.

Taking Inventory

Taking Inventory

The inventory of listings of single family homes as aggregated by our data partner, Altos Research, has been in a downward trend this whole cycle in spite of the relative strength in prices and absorptions. We find this trend to be particularly interesting, prompting three key questions...

"Bottoms Up"

"Bottoms Up"

As a follow-up to our write-up last month, we wanted to revisit single family absorptions by price quartile. As a quick recap, the housing market this cycle had been led by the top two price quartiles with the third quartile showing some strength throughout this year’s spring selling season. The bottom quartile had been noticeably left behind. Examining our data partner Altos Research’s robust...

The Bottom Quartile

The Bottom Quartile

Through the end of 2014, the housing market recovery/expansion this cycle had been led by the top two price quartiles, or in other words by higher income buyers who were more likely to meet down payment and lending requirements.

Starting in 2015, absorptions, our primary unit demand indicator, have noticeably strengthened within the third quartile, implying average income buyers are starting to contribute more meaningfully...