Markets in 197 of 337 metro areas returned to or exceeded their last normal levels of economic and housing activity in the third quarter of 2017, a net gain of 40 markets year-over-year, according to the National Association of Home Builders Leading Markets Index.
The index’s nationwide score inched up to 1.03, meaning markets nationwide are running at 103 percent of normal economic and housing activity based on current permit, price and employment data.
"Home price appreciation remains the strongest component of the HMI, and strong employment numbers also bode well for the continued growth of the housing sector," said NAHB Chief Economist Robert Dietz in a statement. "While permits continue to inch upward, they remain the weakest element of the index and show that builders need to manage supply-side hurdles, such as rising material prices and labor shortages."
