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09-16-21 | News

Builder Confidence at 13-Month Low

Higher Material Costs Created Higher Home Prices

Home builder confidence hit a 13-month low due to higher material costs and sky rocketing home prices.

Home builder confidence is at a 13-month low after higher construction costs and supply shortages has made the industry more difficult, according to the National Association of Home Builders (NAHB) and Wells Fargo Housing Market Index (HMI).

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Meanwhile, builder sentiment in the single-family home building market fell five points in August to 75.

"Buyer traffic has fallen to its lowest reading since July 2020 as some prospective buyers are experiencing sticker shock due to higher construction costs," stated NAHB Chairman Chuck Fowke, "Policymakers need to find long-term solutions to supply-chain issues."

Three-month moving averages for regional HMI scores shows , the Northeast fell one point to 74, the Midwest dropped two points to 68, the South posted a three-point decline to 82 and the West registered a two-point drop to 85.

https://nahbnow.com/2021/08/builder-confidence-at-13-month-low-on-higher-material-costs-home-prices/

Filed Under: BUILDING, CONSTRUCTION, NAHB
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