The National Association of Home Builders/Wells Fargo Housing Market Index fell 1 point to 59 in July, after rising 2 points in June. Over the past six months, the index has held within a range of 58 and 60 points.
“The economic fundamentals are in place for a continued slow, steady growth in the housing market,” said NAHB Chief Economist Robert Dietz. “Job creation is solid, mortgage rates are at historic lows and household formations are rising. These factors should help to bring more buyers into the market as the year progresses.”
The three index components posted losses in July. The index measuring sales conditions and buyer traffic fell 1 point each to 63 and 45 respectively, while the index measuring sales expectations in the next six months fell 3 points to 66.
The three month moving averages were mostly unchanged, with the Northeast, Midwest and South holding at 39, 57 and 61. The West rose 1 point to 69.
Read the NAHB release.