U.S. Builder Confidence 11-Year High
U.S. builder confidence for new single-family homes rose 7 points to 70 on the National Association of Home Builders/Wells Fargo Housing Market Index (HMI), the highest reading since July 2005.
The HMI component gauging current sales conditions rose 7 points to 76, and sales expectations in the next six months index increased 9 points to 78. Buyer traffic was up 6 points to 53, the first time this index has been over 50 since October 2005.
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