Housing Market Index

Builder Confidence Drops, Signaling Trouble For The Housing Market

Posted on by TMN Editor
Builder confidence dropped two points in June to its lowest level since June 2020, according to the National Association of Home Builders(NAHB)/Wells Fargo Housing Market Index (HMI). The HMI asks builders for their opinions on current single-family home sales and sales expectations for the next six months, as well as rate their traffic of prospective buyers. Any number under 50 indicates that more builders view conditions as worse than better. The HMI posted a reading of 67 for the month of June. It is the sixth consecutive month of decline for the index. NAHB’s press release called it a “troubling sign for the housing market.” “Six consecutive monthly declines for the HMI is a clear sign of a slowing housing…

Home Builders More Confident Despite Continued Supply, Labor Shortages

Posted on by TMN Editor
Despite continuing supply chain issues and labor shortages, builder confidence rose in September thanks to falling lumber prices and high demand, the National Association of Home Builders (NAHB)/ Wells Fargo Housing Market Index (HMI) reported. Builder sentiment in the market for newly-built single-family homes increased to 76, one point higher than last month. The data broke a three-month streak of downward expectations. “Builder sentiment has been gradually cooling since the HMI hit an all-time high reading of 90 last November,” said NAHB Chairman Chuck Fowke. Fowke builds custom homes in Tampa, Fla.  “The September data show stability as some building material cost challenges ease, particularly for softwood lumber. However, delivery times remain extended and the chronic construction labor shortage is…