Single-family home builder confidence fell two points to 35 in June, according to the National Association of Home Builders/Wells Fargo Housing Market Index, marking the 14th consecutive month that sentiment has been below 40, a streak not seen since the foreclosure crisis in 2011–2012. The survey also found that 35% of builders cut prices in June, up from 32% in May, for an average reduction of 6%.
NAHB blames government regulation, taxes and fees for the low confidence, reporting that according to its recent study, these costs and inefficiencies add 26% to the price of an average home. “Easing permitting bottlenecks, density limits and inefficient zoning rules would help reduce costs and support the housing growth the nation needs,” the organization said.
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