Does your state have high taxes?
If so, chances are housing construction is slowing and the population is fleeing to lower-tax states.
High-tax states like New York, Connecticut, New Jersey, and Illinois were already experiencing high levels of out-migration even before the new tax laws were passed.
As Hedgeye housing co-sector head Josh Steiner explains in the above excerpt from his 1Q18 Housing Themes call, that's bad news for housing construction.
"It makes sense. People are leaving these states, so why do you need to build a lot more homes?" Steiner says.
Where are those people fleeing to? Watch the above clip to find out.
