Housing Market Steadily Improves

The housing industry might be leveling out according to recent numbers from the National Association of Home Builders and its First American Improving Markets Index. Ninety-nine markets showed improvement in March - up one since February but up dramatically from December which had 41 markets.

Overall markets have steadily increased since September 2011. See chart to right. According to NAHB, 30 markets were added while 31 fell off the list. The following cities were added back to the list due to employment data: Orlando; Rochester, NY.; Columbus, Ohio; Austin and San Antonio, Texas.

"After five consecutive months of solid gains, the March IMI held virtually flat this month at just under 100 metros, while showing a significant amount of transition in terms of markets represented on the list," says NAHB Chief Economist David Crowe. "This is consistent with NAHB's projections for a gradual but patchy recovery in which some month-to-month softening is likely, particularly in places where the measurable gains have been very small. The bottom line is that roughly one quarter of all U.S. metropolitan areas are showing signs that their housing markets have turned the corner, which is a very positive development."

What is the status of your market? Does this give you optimism about the housing industry?