Builder confidence in the market for newly-built single-family homes remained unchanged at the 72 level in February on the National Association of Home Builders (NAHB)/Wells Fargo Housing Market Index (HMI).
The HMI component charting sales expectations in the next six months rose two points to 80, while the index measuring buyer traffic was unchanged at 54 and the component gauging current sales conditions dipped by one point to 78. Among the regional HMI scores, the Midwest rose two points to 72, the South increased one point to 74, the West remained unchanged at 81 and the Northeast fell two points to 56.
“The HMI gauge of future sales expectations has reached a post-recession high, an indicator that consumer demand for housing should grow in the months ahead,” said NAHB Chief Economist Robert Dietz. “With ongoing job creation, increasing owner-occupied household formation, and a tight supply of existing home inventory, the single-family housing sector should continue to strengthen at a gradual but consistent pace.”