Real estate has endured a difficult time during the pandemic. The best homebuilding stocks like the Pulte Group saw massive price declines of more than 50% during the market meltdown in March 2020. Home construction company D.R. Horton also saw its stock halve during the March crash. Companies like Simon Property Group (SPG) fell by almost 70%. SPG is the largest retail REIT in the US. It is the largest operator of malls in the country. All of the above-mentioned companies have been among the top real estate stocks to buy.
However, things are looking up lately. Interest rates are at historic lows and it is significantly cheaper to borrow and buy property than it has been in a long time. The month of June has shown higher sales activity among all the 4 major US regions. Sales have grown by almost 90% in the North-east, 7.2% in the South, and 18% in the West. According to a report on Investing.com, recent home sales were recorded at 776,000. This number has comfortably beaten estimates of 700,000.
Pulte Group, one of the best homebuilding stocks 2020, has also seen a strong performance off-late. According to its CEO, Ryan Marshall, “We are very encouraged by the fact that the momentum of this dramatic recovery continues, as demand has remained strong through the first few weeks of July.” Pulte Group stock has gained a staggering 140% since hitting a low on March 23rd, 2020. Pulte Group is based out of Atlanta and is a national homebuilding company with a presence in the northeast, mid-Atlantic, south, south-west, California, and some parts of the north-west.