Home builder KB Home is heralding the return of the first-time buyer. Economic indicators agree that, yes, there is cause for optimism in that regard, but it is heavily muted optimism.

KB Home Chief Executive Jeff Mezger made a disclosure that bodes well for future sales: The builder’s sales to first-time buyers are up, albeit slightly. Specifically, 56% of KB Home’s sales in its quarter ended May 31 were to first-time buyers, up from 50% in its fiscal first quarter and from 54% a year ago.

Granted, that’s not a huge increase. But Mr. Mezger posits that first-timers’ long-anticipated return from their hiatus since the downturn is nigh. He noted that U.S. household formations are on the rise. To wit, Commerce Department data show 116.2 million occupied households in the first quarter, up from 114.7 million a year earlier.

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