Builder Confidence Remains Strong but Dips in December from Record High
Despite the decline, this is still the second-highest reading in the history of the series, after last month’s 90.
Ending a string of three successive months of record highs, builder confidence in the market for newly built single-family homes fell four points to 86 in December, according to the latest National Association of Home Builders (NAHB)/Wells Fargo Housing Market Index (HMI). Despite the decline, this is still the second-highest reading in the history of the series, after last month’s 90.
“Housing demand is strong entering 2021, however the coming year will see housing affordability challenges as inventory remains low and construction costs are rising,” said Chuck Fowke, NAHB chairman and a custom home builder from Tampa, Fla. “Policymakers should take note to avoid increasing regulatory costs associated with land development and residential construction.”