As the U.S. economy remains on shaky ground, declining builder confidence marks the latest “troubling sign” of a weak housing market, according to a new report.
Confidence among home builders fell for the eighth consecutive month in August, dropping six points to 49, according to the National Association of Home Builders (NAHB)/Wells Fargo Housing Market Index (HMI) released on Monday. The report marks the first time since the pandemic began that the index fell below 50 points.
In a press release, NAHB Chairman Jerry Konter cited rising construction costs and mortgage rates for the weakened sentiment among builders.
Konter added that in “a troubling sign” that consumers are now opting out of home purchases due to increased housing costs, the index found that August’s buyer traffic number fell to a record low since April 2014, with the exception of when the pandemic first hit in the spring of 2020.
Green lawns are pictured in front of…
