“As long as job growth continues to organically boost demand, we think housing volumes and pricing will again show positive trends in spite of housing’s headwinds,” says the analyst. [Homebuilder ETFs Higher on Sales Report.]
Hovnanian is anticipating an improved fiscal situation fort he second half of 2011. The loss of the first-time homebuyers credit and weak jobs market have affected homebuilders and the real estate market across the board.
SPDR S&P Homebuilders ETF (NYSEArca: XHB) dropped 0.5% on Tuesday, and lost 4% over the past 10 days. iShares Dow Jones US Home Construction Index Fund (NYSEArca: ITB) fell 0.8% Tuesday, after trending down 3.5% over the past 10 days. [Housing ETFs Gain on Toll Brothers.]
Tisha Guerrero contributed to this article.