This month’s level of builder confidence in the market for newly-built single-family homes remained at the same 58 level as last month’s reading, according to the latest National Association of Home Builders (NAHB)/Wells Fargo Housing Market Index (HMI).
On the individual HMI components, there was a split of optimism and pessimism: the component measuring sales expectations in the next six months rose one point to 62 and the index gauging buyer traffic also increased a single point to 44, but the component charting current sales conditions fell two points to 63. On a regional basis, the HMI for the Northeast and West fell two points to 44 and 67, respectively, while the Midwest and South each posted respective one-point losses to 57 and 58.
“Builders remain cautiously optimistic about construction growth in 2016,” said NAHB Chief Economist Robert Dietz. “Solid job creation and low mortgage interest rates will sustain continued gains in the single-family housing market in the months ahead.”