Builder confidence in the 55+ housing market for single-family homes fell three points to 12 compared to the same period a year ago, according to the latest National Association of Home Builders' (NAHB) 55+ Housing Market Index (HMI) released today.
"The current state of the economy continues to affect buyers in the 55+ housing market," said NAHB Chairman Bob Nielsen, a homebuilder from Reno, Nev. "The market remains weak given the many uncertainties people face in this economy. While potential buyers exist, they are hesitant to commit to buying a new home as they are concerned about selling their existing home at a fair price, due to low appraisals, an abundance of foreclosures and tighter mortgage lending criteria."
The 55+ single-family HMI measures builder sentiment based on current sales, prospective buyer traffic and anticipated six-month sales for the 55+ single-family market. A number greater than 50 indicates that more builders view conditions as good than poor. Among the index components, present sales dropped four points, to 11; expected sales (six months into the future) dropped nine points, to 15; and traffic of prospective buyers rose two points, to 13.
