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Yahoo
24-07-2025
- Business
- Yahoo
NAHB: Multifamily completions hit 38-year high
This story was originally published on Multifamily Dive. To receive daily news and insights, subscribe to our free daily Multifamily Dive newsletter. Dive Brief: Multifamily completions reached 608,000 units in 2024, the highest level since 1986, according to a National Association of Home Builders analysis of the Census Bureau's Survey of Construction. Fifty-four percent of those completions were high-density buildings comprising 50 or more units. This is the eighth consecutive year those structures claimed the most multifamily openings, according to the NAHB. Ninety-five percent of completions were rental buildings, and 55% of those were high-density projects. In 2004, only 25% of those were larger buildings. Deliveries for buildings with 10 to 19 units decreased from 24% in 2004 to 4% in 2024. Dive Insight: The number of completed multifamily units built-for-sale rose to 29,000 in 2024 — a 9,000 increase from 2023. Forty percent of those units were high density, up from 28% in 2023. The South led the way in completions, with 292,000, accounting for 48% of the total in 2024. The West at 163,000, or 27%, was next. The Midwest, at 14% with 87,000, and the Northeast, at 11% with 68,000, followed. 'Completions in the South were weighted toward low-medium density buildings — a reverse on the overall trend — while high-density buildings in the Midwest and the Northeast were nearly double the amount of low-medium density completions,' the NAHB analysis said. For apartment operators in the South, these completions have hindered rent growth and led to concessions, particularly in hotspots like Austin, Texas. Austin has stood out nationally for its apartment supply, with 23,000 units delivered between the city and nearby Round Rock, Texas, over the past two years, according to data from Yardi Matrix. In that time, rents have dropped by more than $200. However, the situation is beginning to improve in Austin and other high-supply markets, according to Yardi Matrix's latest National Multifamily Report. Western and Sun Belt metros with historically high deliveries and declining rents — including Denver, San Francisco, Dallas and Austin — saw positive growth in May. In Austin, which experienced a 9.1% increase in supply this year, rents rose by 0.2% in May, or $3. As rents show signs of growth, these new completions could also present discount buying opportunities for apartment investors. 'You're starting to see [distressed buying opportunities] in the greater Phoenix metro in Arizona,' Jim Brooks, president of Los Angeles-based real estate investor BH Properties, told Multifamily Dive. 'You're starting to see a little bit of that in Austin — markets where you had this huge supply.' Click here to sign up to receive multifamily and apartment news like this article in your inbox every weekday. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Time of India
21-07-2025
- Business
- Time of India
No taxes on overtime or tips? What the new proposal could mean for your paycheck
No tax on overtime pay Live Events How employers must report overtime No tax on tips Who can't use the tip deduction Law Medicine Accounting Consulting Finance Performing arts Athletics Investing Stock trading Any job based mainly on the person's skill or fame How employers must report tips FAQs (You can now subscribe to our (You can now subscribe to our Economic Times WhatsApp channel A new law called the One Big Beautiful Bill Act (OBBBA) was passed. It helps former President Trump fulfill two campaign promises: No taxes on overtime and No taxes on tips . These tax breaks start from January 2025 and end after 2028. This law affects both workers and business owners, as per the don't have to pay income tax on some of your overtime money. You can deduct up to $12,500 if you're single, or $25,000 if you file taxes as a couple. If you earn more than $150,000 (single) or $300,000 (married), this benefit goes away, as per the report by don't have to do itemized deductions to get this — it's automatic. This only works on extra money you earn from overtime, not your regular pay. Example: If your normal pay is $20/hour and you earn $30/hour for overtime, only the extra $10/hour counts for the tax break, as per the legal overtime under federal law (over 40 hours/week) is allowed. Overtime paid through contracts or state law doesn't count unless it also follows federal rules. You still pay Social Security and Medicare taxes on overtime pay, as stated by the NAHB must show the overtime amount separately on your W-2 form. Right now, overtime and regular pay are combined on W-2, but this will change in 2025. For 2025, employers can use a 'reasonable guess' to separate regular and overtime pay while adjusting to the new rule, as per the IRS will give more instructions about how to report this soon. Employers are told to work with accountants or payroll experts to track overtime who get tips can also avoid paying income tax on some of their tip money. You can deduct up to $25,000 in tips from your taxable income. This benefit also phases out if you earn over $150,000 (single) or $300,000 (married). You don't need to itemize to get the tip deduction — it's automatic, as stated by the NAHB qualify, you must work in a job that normally gets tips, like waiters, repair workers, etc. The Treasury Department will release a list of approved 'tipped jobs' by around October 2025. Tips must be given freely by the customer — mandatory service charges don't count, as per the jobs can't use the tip deduction, even if they get include people working inTips will also need to be reported separately on your W-2 form. In 2025, employers can use a reasonable method to estimate tip amounts while the system updates. Just like overtime, you still pay Social Security and Medicare taxes on tips, as mentioned by the NAHB says this is just general information — not legal or tax advice. Before doing anything, you should talk to a real tax or accounting under the OBBBA law, qualified workers can deduct up to $12,500 (single) or $25,000 (married) of overtime pay from their taxable income starting in are still subject to payroll taxes, but eligible workers can deduct up to $25,000 in tip income from federal income tax under the new OBBBA law.
Yahoo
18-07-2025
- Business
- Yahoo
Single-Family Home Construction Dips as Builders Admit Making Price Cuts To Spur Sales
The construction of new homes scaled back for the month of June as single-family housing starts were at a rate of 883,000, according to the latest data released Friday by the U.S. Census Bureau and the Department of Housing and Urban Development. This is 4.6% (±11.4 percent)* below the revised May figure of 926,000. The June rate for units in buildings with five units or more was 414,000. 'A jump in multifamily construction led to a small uptick in housing permits and starts in June, but overall construction remains weak, with single-family permits and starts at 11+ month lows,' says Danielle Hale, chief economist at In June, 1,397,000 building permits were issued; housing starts (which represent the beginning of new construction) totaled 1,321,000, and the number of new homes completed stood at 1,314,000. 'These lows in single family construction come as nearly 2 in 5 builders reported making price cuts in June, underscoring the price sensitivity of today's home shoppers,' says Hale. The latest Housing Market Index (HMI) survey from the National Association of Homebuilders (NAHB) revealed that 38% of builders reported cutting prices in July—that's the highest percentage since NAHB began tracking this figure monthly in 2022. That number is a percent higher from when 37% of builders reported cutting prices in June, 34% in May, and 29% in April. Economic factors Despite the decrease in housing starts, mortgage applications for new home purchases increased 8.5% in June, compared from a year ago, according to the Mortgage Bankers Association (MBA) builder application survey—but compared to May 2025, applications decreased by 4%. 'A cloudier economic outlook and elevated mortgage rates continues to weigh on potential buyers, while growing inventory, builder incentives, and lower prices have brought some buyers back to the market,' says Joel Kan, MBA's vice president and deputy chief economist. The single-family construction decline comes on the heels of mortgage interest rates increasing for two consecutive weeks. The average rate on a 30-year fixed home loan inched up to 6.75% for the week ending July 17, according to Freddie Mac. This week's rate is up from 6.72% last week. For perspective, rates averaged 6.77% during the same time in 2024. Add to that inflation rising in June—it's highest level since February. Consumer prices rose to 2.7%, up from 2.4% in May, according to the U.S. Labor Department's consumer price index. 'June's numbers mark a slight shift from May's cooler-than-expected inflation data, but it remains unclear if and when the U.S. economy will feel the true brunt of a slew of new tariffs,' says Senior Economist Jake Krimmel. This week, President Donald Trump said he plans to tell more than 150 countries what tariff rate they will face. The president explained it'll be the 'same for everyone.' 'They're not big countries, and they don't do that much business. Not like the ones we've agreed with, like China, like Japan,' Trump told reporters during a meeting with Bahrain's Crown Price at the White House, according to Politico. Several countries have already received letters letting them know that the tariff rate increase will take effect Aug. 1. The European Union, Japan, Mexico, Canada, and South Korea will be among the countries affected. Related Articles This High-Priced Metro's Popularity Surges Among Local Homebuyers: Why They're Staying Put as Others Flee Big Cities Mortgage Applications Today: Home Loan Demand Falls by 10% After Mortgage Interest Rates Rise Foreign Investors Bought $56 Billion Worth of U.S. Homes Solve the daily Crossword
Yahoo
17-07-2025
- Business
- Yahoo
Solid US Economic News Lifts the Dollar
The dollar index (DXY00) on Thursday rose by +0.29% and posted a 3.5-week high. Signs of strength in the US economy may keep the Fed from cutting interest rates and are supportive of the dollar. Weekly initial unemployment claims unexpectedly fell to a 3-month low, June retail sales rose more than expected, and the July Philadelphia Fed business outlook survey rose to a 5-month high. The dollar added to its gains Thursday after Fed Governor Kugler said it's appropriate for the Fed to hold rates steady for "some time." However, the dollar fell back from its best levels on dovish comments from San Francisco Fed President Mary Daly, who said she expects two 25 bp rate cuts this year. US weekly initial unemployment claims unexpectedly fell -7,000 to a 3-month low of 221,000, showing a stronger labor market than expectations of an increase to 233,000. More News from Barchart Gold and Silver Are Grinding Sideways. Here's What Could Change That, and When It Might Happen. Dollar Rallies to 3-week High Dollar Falls Back on Apparent Trial Balloon for Firing Fed Chair Powell Markets move fast. Keep up by reading our FREE midday Barchart Brief newsletter for exclusive charts, analysis, and headlines. US June retail sales rose +0.6% m/m, stronger than expectations of +0.1% m/m, and Jun retail sales ex-autos rose +0.5% m/m, stronger than expectations of +0.3% m/m. The US June import price index ex-petroleum was unchanged m/m, weaker than expectations of +0.2% m/m. The US July Philadelphia Fed business outlook survey rose +19.9 to a 5-month high of 15.9, stronger than expectations of -1.0. The US July NAHB housing market index rose +1 to 33, right on expectations. Fed Governor Kugler said the Fed should keep interest rates on hold "for some time," citing the acceleration of inflation as tariffs begin to boost prices. San Francisco Fed President Mary Daly said the most recent set of rate projections from Fed officials, issued in June, offered a "reasonable outlook" in pointing to two 25 bp rate cuts by year's end. She added that the Fed should not wait too long before moving on rates, because if they wait until inflation is 2%, they've "likely injured the economy in some way that was completely unnecessary." On the trade front, President Trump said late Wednesday that he intends to send a tariff letter to more than 150 countries notifying them their tariff rates could be 10% or 15%, effective August 1, and that the group was "not big countries who don't do that much business with the US." Also, Commerce Secretary Lutnick said Nvidia could soon resume sales of its less advanced H20 chips to China, and Advanced Micro Devices received similar assurances from the Commerce Department, in a sign that the US may be in the process of negotiating a grand trade deal with China. Treasury Secretary Bessent is expected to meet his Chinese counterpart, Vice Premier He Lifeng, within "the next couple of weeks" and signaled the US will likely extend an August 12 deadline for the easing of sky-high tariffs. Federal funds futures prices are discounting the chances for a -25 bp rate cut at 3% at the July 29-30 FOMC meeting and 58% at the following meeting on September 16-17. EUR/USD (^EURUSD) Thursday fell by -0.40% and posted a 3.5-week low. The dollar's strength on Thursday undercut the euro. The euro also came under pressure on comments from Italian Deputy Premier Tajani, who said the euro is "too strong and the ECB needs to cut interest rates "to weaken the euro. Swaps are pricing in a 1% chance of a -25 bp rate cut by the ECB at the July 24 policy meeting. USD/JPY (^USDJPY) Thursday rose by +0.51%. The yen is under pressure due to concern that Japanese Prime Minister Ishiba's Liberal Democratic Party (LDP) could lose its majority in Sunday's upper house election. The promises by Japan's ruling Liberal Democratic Party of cash handouts to voters and promises of lower taxes by the opposition have sparked concerns of fiscal deterioration, which are bearish for the yen. The yen extended its losses after T-note yields rose. Japanese trade news is mixed for the yen. On the negative side, Japan's June exports unexpectedly fell -0.5% y/y, weaker than expectations of +0.5% y/y. Conversely, June imports unexpectedly rose +0.2% y/y, stronger than expectations of -1.1% y/y. August gold (GCQ25) Thursday closed down -13.80 (-0.41%), and September silver (SIU25) closed up +0.184 (+0.48%). Precious metals on Thursday settled mixed, with the price of gold sliding to a 1.5-week low. Thursday's rally in the dollar index to a 3.5-week high was bearish for metals. Also, strength in stocks on Thursday has curbed safe-haven demand for precious metals. In addition, precious metals came under pressure after President Trump said he's "not planning on doing anything" to remove Fed Chair Powell. Finally, hawkish comments Thursday from Fed Governor Kugler undercut precious metals when she said the Fed should keep interest rates on hold "for some time." Precious metals recovered from their worst levels Thursday, with silver moving into positive territory when San Francisco Fed President Mary Daly said recent Fed rate projections offered a "reasonable outlook" in pointing to two 25 bp rate cuts by year's end. Precious metals also receive safe-haven support from global trade tensions, following President Trump's announcement that he intends to send a tariff letter to more than 150 countries, notifying them that their tariff rates could be 10% or 15%, effective August 1. In addition, fund buying of gold continues to support prices after the amount of gold in ETFs rose to a nearly 2-year high on Wednesday. On the date of publication, Rich Asplund did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
17-07-2025
- Business
- Yahoo
Why tax changes are a 'huge deal' for small homebuilders
Homebuilder confidence edged up in July after 15 months in negative territory. Jim Tobin, CEO of the National Association of Home Builders (NAHB), joins Market Catalysts to discuss what's driving cautious optimism amid high interest rates and new tax policies. To watch more expert insights and analysis on the latest market action, check out more Market Catalysts here. Homebuilder confidence rose slightly in July with the National Association of Homebuilders Housing Market Index rising to 33, up from 32 in June. The index has remained in negative territory for 15 months straight. Here with more on the outlook for homebuilders is Jim Tobin, NAHB CEO. Jim, it is good to see you here. So, a small improvement, I guess we'll take it, right, in this environment? Um, what, uh, do you think drove that improvement in confidence? Well, good morning, Julie. Uh, I I think I think we're bouncing along at the bottom here. Uh, I I think, you know, one one one point up, which which is great to see us to move move in any positive direction. Uh, really, I just think we've reached the bottom and, you know, I travel across the country speaking to home builders in every market and every state. Uh, and and they're still there's still a level of confidence in in the market even though things have slowed considerably over the last couple of months. I also think the news out of Washington with the passage and and and enactment of the one big beautiful bill act, I think that sets the the business and individual tax taxation in this country ahead for the next 10 years. I think that is a positive aspect. Plus the deregulation that President Trump is starting to to implement, I think there's some good signs on the horizon. We're just stuck in a, you know, high interest rate and still a regulatory environment that's uh, that's hurting home building. Hey, Jim, um, in that bill, can you point to some specific stuff for people who might not be, well, I mean, I guess it would be difficult for anyone to be familiar with all of the intricacies of the bill. But in terms of the parts of the bill that are most relevant for your industry, what can you point to that, uh, could potentially be helpful? The vast majority of homes built in this country are built by small and medium-sized businesses. So locking in that 20% deduction for pass-through entities to keep them competitive with the corporate rates, that is a huge deal and that has been made permanent. Uh, so that's great for the business side of the home building industry. For consumers, they didn't touch any of the housing tax incentives, meaning the loan to housing, sorry, meaning the mortgage interest deduction or the, uh, the the exclusion of capital gains on the sale of a home. Uh, but also, we've also created the pathway to build more low-income affordable rental units, allowing people to get into safe, decent, affordable rental, and then build build, uh, a nest egg so they can move into home ownership. So, there's a lot in there both from the business and individual side for housing. Uh, and again, setting the setting the tax structure of this country for the next five to 10 years, a really big, uh, a really big boost for the industry. And I think as we see that move into the economy over the next several months, that's going to add to to more optimism for our industry. Related Videos United CEO is 'adjusting to the new realities' of the industry Novartis CEO on pharma tariffs, raised outlook, competition PepsiCo, Citizens Financial, US Bancorp: Earnings movers Retail sales jump in June: Consumer is 'powering through' Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
