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THE HOUSING MARKET, generally being forecast to post growth this year, is seem- ingly closing 2015 with mixed results, according to the latest available indicators. Among the key statistics and forecasts released in recent weeks by government agencies, research frms and indus- try-related trade associations were the following: HOUSING STARTS Single-family housing production has reached levels last seen before the Great Recession, "an indicator we are making gradual headway back to a normal housing market," according to David Crowe, chief economist for the National Association of Home Builders. Commenting at the close of 2015, Crowe observed that it's evident the housing sector "has made headway and we expect the recovery to continue at a modest pace" into 2016. According to the latest fgures, nationwide housing starts were pegged at a seasonally adjusted 1.17 million units, with single-family production reported to be at a sea- sonally adjusted annual rate of 768,000 units, its highest reading since January 2008, the Washington, DC-based NAHB said. EXISTING-HOME SALES Existing-home sales dropped to the slowest pace in 19 months and, as of November 2015, were nearly 4% below the previous year, the frst year-over-year decrease since September 2014, according to the National Association of Realtors. The latest fgures show resales at a seasonal- ly adjusted annual rate of 4.76 million, their lowest pace since April 2014, the Washington, DC-based NAR said. "Sparse inventory and afordability issues continue to impede a large pool of buyers' ability to buy, which is holding back sales," said NAR Chief Economist Lawrence Yun. The economist noted, however, that signed contracts "have remained mostly steady in recent months [and] therefore it's highly possible the sales decline "wasn't because of sudden, wither- ing demand." The Federal Reserve's decision to raise short-term rates "will likely have minimal impact on mortgage rates," Yun said, adding that with home prices expected to rise, "wages and new-home construction need to start increasing substantially to preserve afordability." CABINET & VANITY SALES Sales of kitchen cabinets and vanities rose for the 46th consecutive month in November, 2015, posting solid gains compared to sales for the same month in 2014, the Kitchen Cabinet Manufacturers Association said last month. According to the Reston, VA-based KCMA, manu- facturers participating in the association's "Trend of Business" survey reported that November sales of cabinets and vanities rose 10.6 % over November of 2014. Sales of stock cabinets gained 14.3%, while semi-custom cabinet sales rose 5.3% and custom cabinet sales increased 23.3%, the KCMA said. Year-to-date sales through November 2015 were up 8.2% compared to the same 11-month period the prior year, the KCMA added APPLIANCE SHIPMENTS Domestic shipments of major home appliances will seemingly close 2015 on a positive note, gaining signifcantly compared to shipments during the previous year, according to the Association of Home Appliance Manufacturers. The Washington, DC-based AHAM reported last month that November 2015 appliance shipments totaled 4.94 million units, up 5.2% from the 4.74 million units shipped in November, 2014. Year- to-date shipments for the frst 11 months of 2015 were up 7.4% over January-November shipments in 2014, AHAM said. U.S. Households Mixed on State of Economy, Survey Finds WASHINGTON, DC — While a promising stretch of job creation throughout 2015 has hous- ing analysts forecasting continued growth this year, only half of U.S. households believe that the economy is truly improving. That's according to a recent survey conducted among homeowners and renters by the National Association of Realtors, which said that the research fnding can be attributed to the fact that "some areas have been slow to recover and wages have yet to grow in a meaningful way for far too many families." "With roughly 26 million more people in the U.S. compared to the peak year of home sales in 2005, the pace of existing-home sales would likely be more robust if not for the economy's subpar growth since the downturn and wage gains that have failed to keep pace with rents and home prices," said NAR Chief Economist Lawrence Yun. Among all households in the NAR survey, the results highlight a split between those who agree the U.S. economy is on the right track and those who disagree, according to the association. Only half of respondents believe the economy is currently improving, and 44% think the economy is actually in a recession, the NAR said. Nevertheless, the NAR survey found that most homeowners (82%) and renters (68%) believe that "it's a good time to buy a home." And, of those who think it's a good time to buy, 64% felt strongly about buying, the NAR added (see related graphs, above). Market Mixed as 2015 Comes to a Close While only half of U.S. households believe the economy is truly improving, most homeowners and renters feel this is a good time to buy a new or existing home – a survey fnding that buttresses housing analysts' forecasts for continued market growth in 2016 (see related story, below). Source: National Association of Realtors VIEWS ABOUT BUYING & SELLING HOMES Renters' View of Buying Homeowners' View of Buying Homeowners' View of Selling Good Time Good Time Good Time Not a Good Time Not a Good Time Not a Good Time 68% 61% 82% 32% 39% 18% 10 Kitchen & Bath Design News • February 2016 BAROMETERS A LOOK AT KEY STATISTICS & TRENDS SHAPING THE INDUSTRY MARKET ANALYSIS