SoFi is committed to fighting racism, standing in solidarity with all of our communities, providing space for open dialogue,
as well as taking action as informed allies. We are donating $1 million to organizations that empower people of color and their allies.

The Housing Market’s Comeback



Reasons for the Market’s Strength


The US housing market has rebounded after a downturn in March and April. Home sale volume last week was 13.7% higher than it was during the week ending March 13, when lockdown measures went into effect in many parts of the country. This recovery could be due to several factors.

Homebuyers currently have access to credit and low interest rates. In addition, some people are seeing the appeal of more living space after quarantining. Single-family homes are being viewed as the best way to social distance as COVID-19 continues to spread. The housing market has also adapted to new circumstances and has implemented ways to help buyers view homes virtually.

Builder Stocks to Watch


New home sales fell 25% between February and April this year. However in May, they were up 16.6% to reach a seasonally adjusted rate of 676,000.

Analysts believe that this uptick in demand for new homes could benefit builder stocks. Some companies to watch are Builders FirstSource (BLDR), D.R. Horton (DHI), Lennar Corporation (LEN), Taylor Morrison (TMHC), and Toll Brothers (TOL).

Looking Ahead


The housing market’s rebound comes as a relief for many. However, some are wary that the uptick in demand for houses may not last. A second wave of COVID-19, the end of the Paycheck Protection Program, and the 2020 election could all cause change in the housing market.

Homeowners, prospective buyers, lenders, and investors, can stay on top of changing conditions by watching a few key data points. Analysts recommend keeping an eye on the volume of new home listings, following which price ranges of houses are moving, and looking at state-level information about housing inventory, as opposed to just nation-wide or neighborhood-specific information.


Please understand that this information provided is general in nature and shouldn’t be construed as a recommendation or solicitation of any products offered by SoFi’s affiliates and subsidiaries. In addition, this information is by no means meant to provide investment or financial advice, nor is it intended to serve as the basis for any investment decision or recommendation to buy or sell any asset. Keep in mind that investing involves risk, and past performance of an asset never guarantees future results or returns. It’s important for investors to consider their specific financial needs, goals, and risk profile before making an investment decision.
The information and analysis provided through hyperlinks to third party websites, while believed to be accurate, cannot be guaranteed by SoFi. These links are provided for informational purposes and should not be viewed as an endorsement. No brands or products mentioned are affiliated with SoFi, nor do they endorse or sponsor this content.
Communication of SoFi Wealth LLC an SEC Registered Investment Advisor
SoFi isn’t recommending and is not affiliated with the brands or companies displayed. Brands displayed neither endorse or sponsor this article. Third party trademarks and service marks referenced are property of their respective owners.
SOSS070803


ABOUT SoFi SoFi helps people achieve financial independence to realize their ambitions. Our products for borrowing, saving, spending, investing, and protecting give our more than one million members fast access to tools to get their money right. SoFi membership comes with the key essentials for getting ahead, including career advisors and connection to a thriving community of like-minded, ambitious people. For more information, visit SoFi.com. Want an easy and convenient way to manage your financial life? Get the SoFi app. For iOS and Android.


TLS 1.2 Encrypted
Equal Housing Lender