Chuck Barberini Realtor – Contra Costa County Real Estate – Intero Walnut Creek
DAILY REAL ESTATE NEWS | TUESDAY, AUGUST 18, 2015
Builders are feeling more confident as sentiment over the new single-family home market rose to its highest level since November 2005, according to the latest National Association of HomeBuilders/Wells Fargo Housing Market Index. Read more: New-Home Market Expected to Strengthen
The index gauges builder perceptions of current single-family home sales, sales expectations for the next six months, and buyer traffic. The index rose one point in August to 61. Any reading above 50 indicates that more builders view conditions as “good” than “poor.” Broken out, the index measuring buyer traffic rose two points in August to 45; current sales conditions rose one point to 66; and the index measuring sales expectations in the next six months held steady at 70.
“Today’s report is consistent with our forecast for a gradual strengthening of the single-family housing sector in 2015,” says David Crowe, NAHB chief economist. “Job and economic gains should keep the market moving forward at a modest pace throughout the rest of the year.”
Regionally, the index rose by the most in the West and Midwest in August, both seeing a three-point increase to 63 and 58, respectively. The South also saw a two-point increase to 63 while the Northeast held steady at 46.
“The fact the builder confidence has been in the low 60s for three straight months shows that single-family housing is making slow but steady progress,” says NAHB Chairman Tom Woods. “However, we continue to hear that builders face difficulties accessing land and labor.”
Source: National Association of Home Builders