Builder Confidence Rises After Four-Month Downturn

Builder confidence in the market for newly-built single-family homes increased two points in September to a level of 41 on the National Association of Home Builders (NAHB)/Wells Fargo Housing Market Index. 

September’s rating breaks a string of four consecutive monthly declines.

“Thanks to lower interest rates, builders now have a positive view for future new home sales for the first time since May 2024,” NAHB Chairman Carl Harris said in a statement. “However, the cost of construction remains elevated relative to household budgets, holding back some enthusiasm for current housing market conditions.

Index levels below 50 indicate more builders view market conditions as “poor” than “good.”