Affordability Woes Have Compounded to Lower Builder Confidence by a Significant Amount
As a result of high inflation and increasing interest rates, builder confidence dropped by a large margin coinciding with a slow in sales and buyer traffic in the housing market. The National Association of Home Builders (NAHB) reported the July statistics from their NAHB/Wells Fargo Housing Market Index (HMI), and there has been a significant downtrend so far this month. According to the HMI, builder confidence when it comes to new, single-family homes has dropped by 12 points down to 55 in total. This marks the seventh month in a row that this number has decreased.