Ocean Realty
Michael Rosenbaum

Builders Feel Confident In Market Conditions For New Homes

The National Association of Home Builders Housing Market Index measures builders’ perceptions of the market for newly built single-family homes on a scale where any number above 50 indicates that more builders view conditions as good than poor. In July, the index increased four points to a reading of 53. It was the first time since January confidence has been above 50. David Crowe, NAHB’s chief economist, said an improving job market goes hand-in-hand with a rise in builder confidence. According to Crowe, as employment increases and those with jobs feel more secure about their economic situation, they are more likely to feel comfortable buying a home. July’s results also show increases to all three of the index’s individual components, including a six-point spike in expectations for future sales. Regionally, the West increased five points and the South was up two points from the month before. The Midwest rose a point to 35 and the Northeast climbed two points to 48.

Michael Rosenbaum

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

« Previous Post:

Next Post: »