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Home Economy

Builder Confidence Unchanged in January

January 19, 2016
Reading Time: 1 min read

The National Association of Home Builders/Wells Fargo Housing Market Index held steady at 60 points in January, unchanged from December’s downwardly revised reading.

“After eight months hovering in the low 60’s, builder sentiment is reflecting that many markets continue to show a gradual improvement, which should bode well for future home sales in the year ahead,” said NAHB Chairman and home builder, Tom Woods.

The index components were mixed in January, as current sales conditions rose two points to 67, while sales expectations in the next six months fell three points to 63. The buyer traffic component fell two points to 44.

“January’s HMI reading is right in line with our forecast of modest growth for housing,” said NAHB Chief Economist David Crowe. “The economic outlook remains promising, as consumers regain confidence and home values increase, which will help the housing market move forward.”

The three-month moving averages for regional HMI scores declined. The South fell 2 points to 61, while the Northeast, Midwest, and West regions fell 1 point each to 49, 57, and 75.

Read the NAHB release.

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