Home builder confidence for newly built single-family homes held at a record low in December as the economy and job market continue to deteriorate and a growing number of foreclosed homes remain on the market. The National Association of Home Builders/Wells Fargo Housing Market Index (HMI) did not budge this month from November’s all-time low reading of 9, with two out of three component indexes losing further ground.
Two out of three of the HMI’s component indexes deteriorated further in December. The index gauging current sales conditions and the index gauging sales expectations for the next six months each declined to new record lows, declining one point to 8 and two points to 16, respectively. The index gauging traffic of prospective buyers held at a record low of 7 for the month. Regionally, the south and midwest regional markets showed worsening sentiment from last quarter.
For the full press release, click here.