U.S. builder confidence for new single-family homes in June climbed five points from May to 55, marking the sixth consecutive month of improvement, according to the National Association of Home Builders/Wells Fargo Housing Market Index (HMI). The HMI component gauging current sales conditions grew five points to 61 and the measurement of sales expectations in the next six months rose six points to 62 in June. The prospective buyer traffic component was 37, four points higher than May.
Derived from a monthly NAHB survey, the HMI gauges builder perceptions of current single-family home sales and sales expectations for the next six months. Scores from each component are then used to calculate a seasonally adjusted index where any number over 50 indicates that more builders view conditions as good rather than poor. See NAHB