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Rick Palacios Jr.: Homebuilders reduce single-family starts growth outlook for 2026

Rick Palacios Jr.: Homebuilders reduce single-family starts growth outlook for 2026
Homebuilders cut 2026 growth outlook

Rick Palacios Jr. reports that homebuilders surveyed at the start of 2026 anticipated 7 percent growth in single-family housing starts for the year.

However, after being re-surveyed in May, their expectations have shifted to just 2 percent growth, which Palacios Jr. believes remains an overly optimistic estimate.

In recent commentary, Rick Palacios Jr. reported that D.R. Horton executives cited softness in housing markets tied to the software sector. He also noted that Century Communities saw adjustable-rate mortgages rise to 30 percent of its mortgage volume in the first quarter of 2026. These developments follow shifting expectations among homebuilders for single-family housing starts this year.

This material may contain third-party opinions, none of the data and information on this webpage constitutes investment advice according to our Disclaimer. While we adhere to strict Editorial Integrity, this post may contain references to products from our partners.

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