The numbers: Home builders are more confident about the state of their industry than ever before as foot traffic of prospective buyer
The numbers: Home builders are more confident about the state of their industry than ever before as foot traffic of prospective buyers continues to improve, according to research from a trade group released Wednesday.
The National Association of Home Builders’ monthly confidence index rose five points to a reading of 83 in September. The index reading was the highest on record in the 35-year history of the data series, surpassing the previous month’s record high.
“The suburban shift for home building is keeping builders busy, supported on the demand side by low interest rates,” Robert Dietz, chief economist for the National Association of Home Builders, said in the report. “In another sign of this growing trend, builders in other parts of the country have reported receiving calls from customers in high-density markets asking about relocating.”
Index readings over 50 are a sign of improving confidence. The index had fallen below 50 in April and May as concerns about the impact of the coronavirus pandemic mounted.
What happened: The main indicators underpinning the overall index all increased notably this month.
The index that measures sentiment regarding prospective buyer traffic soared nine points to a record high of 73. The index of expectations for future sales over the next six months increased six points to 84, and the index of current single-family home…