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    In the dynamic world of homebuilding, understanding how homebuilders feel is crucial. It shows us where the industry is heading. Let’s explore how homebuilders are feeling, and what it means for the future.

    The National Association of Home Builders (NAHB)/Wells Fargo Housing Market Index (HMI) tells us a lot about homebuilder sentiment. In December, the index went up slightly, reaching 37 after being low for four months. This small increase suggests that homebuilders are starting to feel more confident. They’re seeing positive signs in the economy, like lower mortgage rates. This confidence hints that the housing market might be getting better and more stable.

    The NAHB predicts that there will be a 5% increase in single-family housing starts in 2024. This means they believe the market will improve. It’s based on looking at how money matters are getting better.

    Lennar Corporation (LEN): Feeling Positive

    Lennar Corporation (LEN) is one of the big players in homebuilding is looking to 10% growth in 2024. Executive Chairman Stuart Miller says, “We are positioned for a very strong 2024 right now. We have the land. We have it identified. It is under contract or in our pipeline. It is under development. 2024 at this point, except for the overall sales environment, is pretty much embedded in our system. So, we have pretty good visibility at this point.”

    PulteGroup, Inc. (PHM): Going into 2024 Strong

    PulteGroup, Inc. (PHM) stock was up an impressive 127% in 2023. PulteGroup has been paying out quarterly dividends for nearly four decades. In November 2023, it announced a quarterly dividend hike of 25% to 20 cents per share. The dividend will be payable on Jan 3, 2024, to its shareholders of record as of the close of the business on Dec 19, 2023.

    D.R. Horton, Inc. (DHI): On Target for Further Growth

    D.R. Horton, Inc. (DHI) is the biggest homebuilder in the US. On November 7, 2023, the company shared its upbeat outlook for the fiscal year 2024. The company foresees a period of growth and opportunity, targeting the completion and sale of an estimated 86,000 to 89,000 homes.

    Looking at the Opportunities in Homebuilding

    While it’s true that homebuilding faces its share of challenges, there’s a silver lining to be found. Issues like supply chain disruptions and inflation are part of the journey, but they don’t define it.

    Sure, rising interest rates might make things a bit trickier, but they may also signal a growing economy and increasing consumer confidence.

    Financing a New Construction Home?

    Embrace Home Loans® steps up to the plate, offering solutions designed to empower homebuyers. With options like tailored loans for new construction and extended rate lock opportunities, Embrace Home Loans helps individuals navigate the complexities of the housing market with confidence.

    Contact your local office today and we’ll be right there with you at every step from contract to closing.

    Your mortgage options for a smooth journey home.

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