Page 14 - FDMAsia May/Jun 2026

12 MARKET BEATS MAY/JUN 2026 FDM ASIA | www.fdmasia.com

Fastest US Material Price Rise Total existing home sales, including single-family homes,

In 3 Years With Slight Home townhomes, condominiums and co-ops, rose 0.2 percent
to a seasonally adjusted annual rate of 4.02 million in April,
Sales Gain according to the National Association of Realtors (NAR). On a

year-over-year basis, sales were unchanged from a year ago.
US building material prices increase at highest yearly The existing home inventory level was 1.5 million units

rate in April, up 5.8 percent from March and 1.4 percent from a
According to the most recent Producer Price Index, prices rose year ago. At the current sales rate, April unsold inventory sits
across goods and services used in residential construction in at a 4.4-months’ supply, up from 4.2-months in March and
April due to rising energy and transportation service prices. 4.3-months a year ago.
Building material prices, excluding energy, rose at their Inventory between 4.5 to 6 months’ supply is generally
highest yearly rate in three years, up 3.7 percent from a year considered a balanced market.
ago, reported by NAHB’s Eye on Housing. Homes stayed on the market for a median of 32 days in
Soaring energy prices caused a spike in the overall April April, down from 41 days in the previous month but up from
PPI reading to six percent compared to last year. 29 days in April 2025.

Including energy, the price index for inputs to new residential The first-time buyer share was 33 percent in April, up
construction was up 5.9 percent from last year, with the price from 32 percent in March but down slightly from 34 percent
of goods used in new residential construction up 6.1 percent a year ago.
from last year, while the price of services was up 3.7 percent The April median sales price of all existing homes was $417,700,
from last year. up 0.9 percent from last year. This marks the 34th consecutive
Among input goods, the largest year-over-year increase month of year-over-year increases. The median condominium/
was for No. 2 diesel fuel as prices were 74.4 percent higher co-op price in March was up 1.1 percent from a year ago at

than a year ago. Asphalt prices were up 18 percent after $374,100. Recent gains for home inventory will put downward
declining in March. Softwood lumber prices were up 1.1 pressure on resale home prices in most markets in 2026.
percent in April after declining on a yearly basis for several Existing home sales in April were mixed across the four
months. Particleboard and fibreboard prices were down 12 major regions. Sales rose in the Midwest (+2.2 percent)
percent, while softwood veneer/plywood prices were down and South (+0.5 percent), fell in the West (-2.6 percent) and
1.7 percent. remained unchanged in the Northeast. On a year-over-year
basis, sales were flat in the West, declined in the Northeast
US existing home sales saw a slight uptick in April (-8.2 percent) and Midwest (-1.0 percent) but increased in the
Existing home sales edged up in April after reaching a nine- South (+2.7 percent).

month low in March, but sales remained at historically low The Pending Home Sales Index (PHSI) is a forward-looking
levels, according to an analysis from the National Association indicator based on signed contracts. The PHSI rose from
of Home Builders. 72.6 to 73.7 in March due to improved inventory. On a year-
Elevated mortgage rates and inflation driven by the Iran over-year basis, pending sales were 1.1 percent lower than a
war continued to impact affordability as economic uncertainty year ago, according to the National Association of Realtors’
pushed up long-term rates, while rising energy costs strained data. However, resurgence in mortgage rates driven by the
household budgets. Iran war could reverse the increase.