That means the U.S. housing market will continue to recover at a measured pace. Shares of companies with exposure to the U.S. housing market should also continue to do well; even if the recovery moderates a little.
Investors who think new construction is going to rebound might want to look at diversified timber and lumber real estate investment trusts (REITs) like Rayonier, Inc. (NYSE:RYN) and Weyerhaeuser Company (NYSE:WY).
Tricon Capital Group Inc. (TSX:TCN) is one of North America’s leading residential real estate investment companies, with approximately $1.0 billion of assets under management. In the U.S., the company’s efforts are focused in California, Dallas, Houston, Phoenix, Atlanta, and South Florida. Stantec Inc. (NYSE:STN) generates revenue from residential housing through its urban land sector. It also derives revenue from the North American oil and gas, transportation, and water sectors.
One of the best times to look at certain sectors is when they’re being either ignored or beaten down by outside forces. While the rebound in the U.S. housing market is taking a bit of a breather on the back of a dysfunctional Washington, everything will eventually get resolved—including the U.S. housing market.
This article is brought to you courtesy of John Whitefoot from the Daily Gains Letter.