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- US: Homebuilder sentiment is at its highest level since 2006
US: Homebuilder sentiment is at its highest level since 2006
After
rising for eight straight months, homebuilder sentiment stayed at
The index
continues to be at its highest level since April 2006.
Conditions
in the housing market look much better now than at the beginning of 2012 and an
increasing number of housing markets are showing signs of recovery, which
should bode well for future home sales later this year,” said Barry Rutenberg,
chairman of the National Association of Home Builders (NAHB) in a press release.
“However,
uncertainties stemming from last month’s fiscal cliff negotiations contributed
to the pause in builder confidence and continuing discussions among
policymakers related to spending cuts and the future of the mortgage interest
deduction could put a damper on housing demand in the coming months.”
The current
sales component of the index stayed at
The index
has been up for eight straight months. A reading of 50 shows that an equal
number of builders view the market as good or bad.
The
National Association of Home Builders' housing market index is a sentiment
index in which respondents rate not just the housing market but also the
economy in general.
The index
draws on builder perceptions of current single-family home sales and sales
expectations for the next six months. It also includes builders' expectations
of traffic of prospective buyers.
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