From Nasdaq:

Housing stocks have seen a rise of 77% last year, outperforming the S&P 500 despite a mixed economy and increasing mortgage rates. PHM’s stock has seen growth of 135% from early 2021 to now, though the returns have been inconsistent over the years. The Trefis High Quality Portfolio has outperformed S&P 500 each year over the same period.  In the housing market, new home sales have seen a surge given the high mortgage rates, existing homeowners are staying put, and prices have declined.

Existing home sales saw a dip reaching a 13 year low in October, while new sales prices for homes have declined by 6% as of November. Major housing players should see good demand visibility, with volumes and revenues likely to keep up, due to the fundamental under-supply of homes in the US. Additionally the Federal Reserve has indicated it could carry out three interest rate cuts over 2024.



Read more: Homebuilders Theme Returned 77% Last Year. What Does 2024 Hold?