Single-family housing permits, employment, and home prices all rose in the first quarter of 2016, signaling steady economic recovery nationwide, according to the NAHB/First American Leading Markets Index (LMI), as reported by Mike Neal for the NAHB’s Eye On Housing blog.
As a whole, the LMI rose to .95 in the first quarter of 2016, .01 point higher than its level in the fourth quarter of 2015, .94, and .04 point higher than its level from one year ago, .91. It is now .17 point above its low of .78 reached in March 2012.
Nationally, all three components of the LMI contributed to the quarter-over-quarter growth in the nationwide score. Permits rose from .48 to .49, prices increased from 1.38 to 1.40, and employment rose from .96 to .97. Over the year, the permits, prices, and employment components expanded by .05, .07, and .02 respectively. Regionally, 119 of the 337 markets, 35%, have an LMI Score that is greater than or equal to 1.0 and are considered normal, up from 113 in the fourth quarter of 2015 and 74 last year.