Housing Trends Favor Builders Focused on Entry-Level Buyers

It’s lining up to be another strong year for investors who own homebuilding stocks.

Shares of the 10 builders with the most completed sales in 2016 are up an average of 60.8 percent. And exchange-traded funds, or ETFs, that invest in homebuilders have also notched gains that eclipse the growth in the broader U.S. stock market. While many economists expect U.S. housing market growth trends to continue next year, homebuilders that focus on entry-level buyers could be the safest bet for further gains.

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Source: Valley News

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