U.S. Builder Confidence Rises in August
U.S. builder confidence for new single-family homes in August rose 1 point from July to 66 points on the National Association of Home Builders/Wells Fargo Housing Market Index (HMI). The HMI component gauging current sales conditions gained 2 points to 73, while the measurement of sales expectations in the next six months dropped 1 point from July to 70. The component measuring prospective buyer traffic was up 2 points from June to 50.
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