To no one's astonishment, March's economic numbers are somewhat frightening. Total unemployment claims for the past four weeks hit 22 million. Manufacturing production dropped 6.3%, and housing starts fell 22.3% in March, which Kiplinger.com said took them by surprise, "as most states had designated home construction an essential industry. Buyer traffic at new homes was down to its lowest level in nine years, an indication of either social distancing or buyers' reluctance to make a major purchase during a time of economic uncertainty."

 

In addition, the NAHB/Wells Fargo Housing Market Index, which measures homebuilders' confidence, fell a record 42 points in April, hitting its lowest level since June 2012 when tax breaks for first-time homebuyers ended. But again, no shock to that outcome.

One bright spot is that the number of housing construction permits declined only a modest 6.8%.

Kiplinger reports that "this is important because permits are an indication of builders' intentions in the near future. So, it seems that home building is not coming to a screeching halt, which is good news considering how tight the housing market has been recently. The health crisis won't last forever. When it's over, the country will still need more houses."