Builder confidence for newly constructed, single-family homes remained unchanged at 28 from February to March, according to the National Association of Home Builders (NAHB)/Wells Fargo Housing Market Index released today.
The result follows five consecutive months of gains and marks the index’s highest holding level since June 2007.
“While builders are still very cautious at this time, there is a sense that many local housing markets have started to move in the right direction and that prospects for future sales are improving,” said Barry Rutenberg, chairman of the NAHB and a home builder from Gainesville, Fla.
Regionally, the index rose five points to 25 in the Northeast, gained two points to reach 32 in the Midwest and 27 in the South, but fell 10 points in the West.
The NAHB/Wells Fargo Housing Market Index is derived from a monthly survey that NAHB has been conducting for 20 years. It measures builder perceptions of current single-family home sales and sales expectations for the next six months as one of three categories: good, fair, or poor.