Top 2 ETFs to buy on housing start increase

Housing starts reported today. Housing starts rose up to 20.2% to 1,135,000, over the revised March estimate of 944,000 and about 9.2% over last year’s 1,039,000.

This news has led to the home builders being top gainers in today’s session. With Home Depot releasing good numbers, the economic scenario is that the US economy seems to be on a strong footing.

Two ETFs that have exposure to the housing market are ITB, XHB. These two ETFs hold  HomeDepot, KB Homes, NVR, D R Hortons.

ITB has an exposure of 24.19% to these stocks whereas XHB has an exposure of 9.39%.

With a net expense ratio of 0.45 ITB is more expensive as compared to its peer XHB with an expense ratio of 0.35. Both of them have good volume, however ITB has more exposure to the housing stocks.

home_bldg_etfs

 

 

 

 

 

 

 

Leave a Comment