Builder confidence in the market for newly built, single-family homes was unchanged in November from a downwardly revised October level of 54 on the National Association of Home Builders/Wells Fargo Housing Market Index (HMI).
To calculate the HMI, the NAHB asks builders to rate sales, expected sales and buyer traffic as good, fair or poor. A number over 50 indicates that more builders view conditions as good than poor.
The HMI index gauging current sales conditions in November held steady at 58. The component measuring expectations for future sales fell one point to 60 and the component gauging traffic of prospective buyers dropped one point to 42.
"Policy and economic uncertainty is undermining consumer confidence," said NAHB Chief Economist David Crowe in a statement. "The fact that builder confidence remains above 50 is an encouraging sign, considering the unresolved debt and federal budget issues cause builders and consumers to remain on the sideline."
