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Home builder confidence sags

Too much bad weather, too few workers trigger a loss of optimism

A new home under construction
A new home under construction

Builder confidence for newly constructed single-family houses slipped 10 percent in February from the previous month. The Housing Market Index registered a score of 46, according to data from the National Association of Home Builders and Wells Fargo. A score exceeding 50 means that more builders consider conditions to be good rather than poor.

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“Significant weather conditions across most of the country led to a decline in buyer traffic last month,” Kevin Kelly, chair of National Association of Home Builders, said in a statement, cited by Bloomberg News. “Builders also have additional concerns about meeting ongoing and future demand due to a shortage of lots and labor.”

Last month, the National Association of Home Builders/Wells Fargo builder sentiment gauge fell to 56 in January, from 57 in December, as previously reported. [Bloomberg News]Mark Maurer

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