National builder confidence drops two points in the South
Builder confidence for newly built single homes in December fell one point on a national level and two points in the South.
The slight decrease in the National Association for Home Builders/Wells Fargo Housing Market Index followed a four-point increase in November. The index gauges builder perceptions of homes sales and sales expectations for the next six months. It also asks builders to rate traffic of prospective buyers, according to a news release.
Any number over 50 is an indication that more builders view conditions as good. The national index in December was 61 and the index in the South was 60.
“After a sluggish start to 2014, the HMI has stabilized in the mid-to-high 50s index level trend for the past six months, which is consistent with our assessment that we are in a slow march back to normal,” NAHB chief economist David Crowe said in a news release. “As we head into 2015, the housing market should continue to recover at a steady, gradual pace.” — Katherine Kallergis