Builder Confidence Slightly Slumps

Jan 17, 2018

Builder confidence in the market for newly-built single-family homes started the year on a gloomy note by dropping two points to a level of 72 in January on the National Association of Home Builders (NAHB)/Wells Fargo Housing Market Index (HMI). January’s slippage followed the 18-year peak in the HMI set in December 2017.

“Builders are confident that changes to the tax code will promote the small business sector and boost broader economic growth,” said NAHB Chairman Randy Noel, a custom home builder from LaPlace, La. “Our members are excited about the year ahead, even as they continue to face building material price increases and shortages of labor and lots.”

“The HMI gauge of future sales expectations has remained in the 70s, a sign that housing demand should continue to grow in 2018,” said NAHB Chief Economist Robert Dietz. “As the overall economy strengthens, owner-occupied household formation increases and the supply of existing home inventory tightens, we can expect the single-family housing market to make further gains this year.”

All three HMI components were lower for January: the index gauging current sales conditions dropped one point to 79, the component charting sales expectations in the next six months fell a single point to 78 and the index measuring buyer traffic fell four points to 54. Amid the regional HMI scores, however, there was upward movement: The West rose two points to 81, the South upticked one point to 73, the Midwest also inched up a single point to 70 and Northeast climbed five points to 59.

About the author

Phil Hall

Link copied

Published

Jan 17, 2018

Regulation and Compliance

Senate Passes 21st Century ROAD To Housing Act In 85-5 Vote

Sweeping housing package heads back to House after Senate clears final version with broad bipartisan support

The U.S. Senate passed the 21st Century ROAD to Housing Act on Monday by a vote of 85-5, moving Congress closer to enacting one of the most significant federal housing packages in decades.The bill, which now heads back to the House for approval, is designed to lower housing ...

Operations

Rocket Pro Meets Brokers Halfway With ARIVE Expansion

Phase 2 of Rocket Pro’s integration lets brokers submit loan files and receive real-time status updates inside ARIVE

Rocket Pro is expanding its integration with ARIVE, allowing brokers to submit loan files and receive real-time loan status updates from Rocket Pro inside the broker platform.The second phase of the partnership moves Rocket Pro beyond pricing and product visibility inside AR...

Sep

San Francisco, CA

More from

Industry News

Commercial, Multifamily Mortgage Debt Tops $5 Trillion In Q1

MBA says outstanding debt grew by $26.3 billion in the first quarter, led by multifamily lending and increased holdings from banks, agencies, and life insurers

Industry News

Jun 18, 2026

Fed Holds Rates Steady, But Outlook Dims For Mortgage Rate Relief

The Federal Reserve left rates unchanged but updated projections show more policymakers expecting additional hikes

Industry News

Jun 18, 2026

Congress Nears Final Vote On 21st Century ROAD to Housing Act

Senate voted 87-8 to advance House-amended package, with final votes expected in coming days

Industry News

Jun 17, 2026

Florida Pending Sales Signal Strong Summer Housing Market

Closed sales rise for a ninth straight month as inventory gives buyers more negotiating power