Builder Confidence Remains Unchanged

Posted by Orb Staff on January 16, 2013 No Comments
Categories : Residential Mortgage

13108_homebuilder4 Builder Confidence Remains Unchanged Builder confidence in the market for newly built, single-family homes was unchanged in January, remaining at a level of 47 on the National Association of Home Builders (NAHB)/Wells Fargo Housing Market Index (HMI). At its current level, the index continues to hold at its highest level since April 2006.

According to the NAHB, the HMI's components were mixed in January. The component gauging current sales conditions remained unchanged at 51. Meanwhile, the component gauging sales expectations in the next six months fell one point to 49, and the component gauging traffic of prospective buyers gained one point to 37.

The HMI three-month moving average was up across all regions, with the Northeast and Midwest posting a two-point gain to 36 and 50, respectively. The South registered a three-point gain to 49, and the West posted a four-point increase to 51.

‘Conditions in the housing market look much better now than at the beginning of 2012, and an increasing number of housing markets are showing signs of recovery, which should bode well for future home sales later this year,’ says Barry Rutenberg, chairman of the NAHB and a home builder from Gainesville, Fla. ‘However, uncertainties stemming from last month's fiscal cliff negotiations contributed to the pause in builder confidence, and continuing discussions among policymakers related to spending cuts and the future of the mortgage interest deduction could put a damper on housing demand in the coming months.’

Register here to receive our Latest Headlines email newsletter




Leave a Comment