Business Contacts Surveys: Construction and Real Estate Survey Results - May 2012

Business Contact Surveys: Construction and Real Estate

May 2012

The majority of Southeast homebuilders and residential brokers continued to report that sales increased on a year-over-year basis in March. Close to three-quarters of brokers reported sales gains, while two-thirds of builders reported that sales were up compared with a year earlier.

Both builders and brokers indicated that home inventories continued to decline on a year-over-year basis. Most builders reported that new home inventories were unchanged from February to March. Most brokers indicated that home inventories were flat to down.

Southeast brokers indicated that home prices were similar to year earlier levels in March and builders continued to note more moderate price declines than last year.

Southeast residential brokers and builders indicated that buyer traffic improved on a year-over-year basis in March.

Southeast brokers and homebuilders expect that year-over-year home sales growth will remain positive over the next several months.

Southeast builders reported that construction activity remained ahead of the year earlier level in March, and the outlook is for construction to remain positive.

Note: The poll results are based on responses from 68 residential brokers and 37 builders. Responses were collected April 2–11, 2012.

The housing survey's diffusion indexes are calculated as the percentage of total respondents reporting increases minus the percentage reporting declines. Positive values in the index indicate increased activity; negative values indicate decreased activity.