Healthy U.S. housing market continues, helped by favorable labor market

housing market forecast

The U.S. housing market is continuing to see positive momentum, helped strongly by low and falling unemployment rates, sparking a series of interrelated events that has led to increased demand among renters and buyers. In turn, the U.S. housing market is healthy with little chance of a housing downturn in the next year, according to the latest quarterly housing market barometer released today by Nationwide, a leading insurance and financial services organization.

The forward-looking Health of Housing Markets Report (HoHM Report) evaluates the housing health for the U.S. and 400 metropolitan statistical areas (MSAs). Performance rankings show that the housing markets in the vast majority of metropolitan statistical areas and divisions are healthy. This suggests that most local housing markets may see sustainable expansion over the next year.

The Top 10 MSAs in the index are, in order: Springfield, Ill.; Niles-Benton Harbor, Mich.; Milwaukee, Wis.; Akron, Ohio; Dayton, Ohio; Battle Creek, Mich.; Springfield, Ohio; Midland, Mich.; Toledo, Ohio; Saginaw, Mich.

MSAs housing market

The Bottom 10 MSAs, in order, are: New Orleans-Metairie, La.; Sherman-Denison, Texas; Watertown-Fort Drum, N.Y.; Sioux Falls, S.D.; Hammond, La.; Odessa, Texas; Austin-Round Rock, Texas; Casper, Wyo.; Dallas-Plano-Irving, Texas; Houma-Thibodaux, La.

More information about the HoHM Report, including the methodology used, can be found at blog.nationwide.com/housing/. The HoHM Report is released on a quarterly basis online and in print.

This material is provided by Nationwide Economics and is general in nature. It is not intended as investment or economic advice, or a recommendation to buy or sell any security or adopt any investment strategy. Additionally, it does not take into account the specific investment objectives, tax and financial condition or particular needs of any specific person. We encourage you to seek the advice of an investment professional who can tailor a financial plan to meet your specific needs. The economic and market forecasts in this report reflect our opinion as of the date of this presentation/review and are subject to change without notice. These forecasts show a broad range of possible outcomes. Because they are subject to high levels of uncertainty, they may not reflect actual performance. Case studies and examples are for illustrative purposes only. We obtained certain information from sources deemed reliable, but we do not guarantee its accuracy, completeness or fairness.

NFJ-0609AO