It’s here, finally. According to Moody’s.
24/7 Wall St.: Moody’s Investors Service has raised the bias and outlook on the U.S. homebuilder sector this morning. Its report was titled “U.S. Homebuilding Industry Shows Signs of Stability” and the ratings agency raised the sector’s outlook to Stable from Negative. In short, Moody’s believes or suggests that a bottom has been reached.
Moody’s synopsis is that the stable outlook expresses a view that fundamental credit conditions in the industry will neither erode nor improve materially over the next 12 to 18 months.
Moody’s has cited that housing starts, new home sales, and existing home sales have all shown positive trends, and housing affordability is at the strongest point seen in many years. This is on the heels of a November figure showing a 8.9% rise in housing starts.