Following the financial meltdown, first-time home buyers were not as active in the real estate market as they had been previously. However, the situation has since changed. Today, there is a lot of chatter about first-time home buyers, and as a result, a large amount of focus has been centered on their return to the market and what it means for housing overall.
The National Association of Home Builders' 55+ Housing Market Index revealed there is an increased momentum in older home buyers being very active in the real estate market. The index - which looks at builder's confidence in the new home market with regards to buyers aged 55 and older continued to remain positive for the 2nd quarter of this year, registering a 57 on a scale that results above 50 indicates builders have confidence in the market.
NAHB's 55+ Housing Industry Council chairman Timothy McCarthy said although the index has decreased a small amount, there is no cause for concern. He added, “Although builder confidence in the 55+ housing sector is down slightly from its peak, builders are still optimistic about the market going forward. According to our survey, one area in particular that's improved recently is the condo market, and we expect this momentum to continue.”
Inside the Index's individual components, expectations for condos sales within the next six month period showed the largest gains, increasing ten points from the last quarter. More on this story here.