What Home Depot tells us about the country’s housing boom

Home Depot has been a representative of the hot real estate market.

What is happening: The company mounted the wheels of the pandemic building boom and gave us the idea that it has not slowed down.

A new data point illuminates the boom: U.S. house prices soared in December at the fastest pace in six years, the latest sign of strong demand.

Details: Home Depot said Tuesday the floors, appliances and vinyl moldings generated sales late last year.

  • Sales of DIY projects continued at a dizzying pace.
  • Purchases of housing supplies by professional builders have jumped the most since the pandemic began.

Get up to date fast: Demand for housing has skyrocketed, but supply continues to tighten: prices are soaring.

  • Builders compete to keep up with the demand for new homes.
  • Debt rates plummeted when the pandemic hit, attracting closed residents to look for larger or different homes.

The other side: As people spent more time at home, they also put in extra money, fueling a home improvement frenzy.

What they say: “It took us 19 years to get the first $ 20 billion in total sales,” but sales increased more than that in just one year, Craig Menear, CEO of Home Depot, told analysts today.

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