Volume 14, Issue 8- October 2013

Industry Indices

PWorld Demand for Doors and Windows to Reach $223 Billion in 2017

Through 2017, global demand for doors and windows is expected to rise 7.1 percent annually to $223 billion, significantly exceeding the growth rate of the 2007-2012 period, according to World Windows and Doors, a new study from The Freedonia Group Inc., a Cleveland-based industry market research firm.

China was the world’s largest door and window market in 2012, and will see its share of global demand rise to 36 percent of the total in 2017. Rapid demand gains are also expected in the other developing areas of the world—particularly in the Africa/Mideast region nd South America. However, gains will be slightly below the world average, as the global financial crisis did not have as strong an impact as in the developed areas, and these regions are starting from a higher 2012 base. Rising personal incomes will lead to the adoption of more Western-style building practices, encouraging the use of modern doors and windows and boosting demand gains.

Single-Family Pushes Housing Starts Up in August
Led by a solid increase in single-family starts, nationwide housing production rose 0.9 percent to a seasonally adjusted annual rate of 891,000 units in August, according to figures released by the U.S. Department of Housing and Urban Development and the U.S. Census Bureau. Meanwhile, construction of multifamily buildings slowed following a rebound in the previous month.

Single-family housing starts rose 7 percent to a 628,000 unit pace. Regionally, single-family starts activity rose 9.6 percent in the Northeast, 7.1 percent in the Midwest, 2.3 percent in the South and 17.5 percent in the West.

The annualized rate of multifamily production fell 11.1 percent to a seasonally adjusted annual rate of 263,000 units.

Remodeling Gains to Continue into 2014
General strengthening in the housing market over the past 18 months is translating into increased spending on home improvements, according to the Leading Indicator of Remodeling Activity (LIRA) released in August by the Remodeling Futures Program at the Joint Center for Housing Studies of Harvard University. Remodeling contractors have been reporting improving market conditions for the past four quarters, and are seeing strength in future market indicators.

“Homeowners are more comfortable investing in their homes right now,” says Eric S. Belsky, managing director of the Joint Center. “Consumer confidence scores are back to pre-recession levels, and since recent homebuyers are traditionally the most active in the home improvement market, the growth in sales of existing homes is providing more opportunities for these improvement projects.”

291 Markets Improve in September
A total of 291 metropolitan areas across the country now qualify as improving housing markets, according to the National Association of Home Builders/First American Improving Markets Index (IMI) for September. This reflects a gain of 44 markets from August.

In September, 242 housing markets retained their existing positions on the IMI while 49 new markets were added and five were dropped from the list. Recent additions include such geographically diverse locations as Macon, Ga.; St. Cloud, Minn.; Brownsville, Texas; Spokane, Wash.; and Milwaukee, Wis.


DWM

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