Bullish On Homebuilders, But Is Housing Supply Gap Unlikely To Close Soon?
b'"Many prospective buyers are priced our by highest mortgage rates since 2008. Homebuilders are more keen on multifamily rental construction. Existing home sale prices rose 13.4% to $416K. Rates and commodity prices mean that the housing supply gap is unlikely to close soon," says George Ratiu. "The homebuilders outlook is conservatively positioned in June compared to the consensus. Rates, seasonality, and lack of inventory slowed demand for new housing. Names like D.R. Horton (DHI) and Tri Pointe Homes (TPH) remain undervalued. My long-term bull case is intact for homebuilders," Jay McCanless adds.'