The housing market improved in October but remains well below fundamental levels.
One important sector of the economy continues to post weak monthly data. The existing home sales and housing starts data from last week reported small rebounds from what has been a slowing market. Existing home sales are down 5.1% in the past year. The issues driving this slowing include higher mortgage rates, low inventories and rising home prices. Housing starts are also being impacted by the shortage of building materials and the lack of skilled workers.
PROBANK AUSTIN ADVISOR - NOVEMBER 26, 2018