Want more evidence that the real estate market is experiencing a V-shaped recovery from the Covid epidemic? Look at the rebound in US homebuilder optimism!!
(Bloomberg) — U.S. homebuilder optimism rose to a record in September, with low mortgage rates driving a housing boom that has boosted the pandemic economy.
A gauge of builder sentiment jumped five points from a month earlier to 83, beating estimates and hitting the highest level in 35 years of the survey, according to the National Association of Home Builders/Wells Fargo Market Index. It was 78 last month, which matched the previous record from 1998.
While it is easy to link the V-shaped rebound to lower mortgage rates, mortgage rates were low prior and during the Covid crash.
The more powerful explanation is the anticipation of a V-shape economic recovery.
Economic rebound like a monster! Well, maybe not like Dennis Rodman.
