The National Association of Home Builders (NAHB) recently released a report showing that builder confidence for newly built single-family homes was 40 in April - up one point since March.

 
There was slight dip in confidence overall which according to NAHB could be due to a retreat in mortgage interest rates over the last few weeks. However, Spring tends to be a hotter house buying season so a hit to builder confidence could indicate a slower start to the housing season. According to Zillow, the average home value is $361,263 as of March 31, 2025 which marks a 2.1% 1-year value change.

"The recent dip in mortgage rates may have pushed some buyers off the fence in March, helping builders with sales activity," said NAHB Chairman Buddy Hughes, a home builder and developer from Lexington, N.C. "At the same time, builders have expressed growing uncertainty over market conditions as tariffs have increased price volatility for building materials at a time when the industry continues to grapple with labor shortages and a lack of buildable lots."

Further, the NAHB released another statistic showing that housing affordability is constrained due to elevated interest rates, construction costs and labor shortages. With that, housing starts decreased 11.4% in March or a seasonally adjusted annual rate of 1.32 million units according to the U.S. Department of Housing and Urban Development and the U.S. Census Bureau.

In article published by Forbes earlier this month, home prices in the country posted a 4.1% annual gain in January according to the S&P CoreLogic Case-Shiller Home Price Index but the publication predicts that the likelihood of a housing market crash remains low in 2025.

LASN will continue to monitor this as updates are made available.