Builder confidence broke yet another record this year in November, reaching an all-time high of 90 points on the National Association of Home Builders/Wells Fargo Housing Market Index.
The level is up five points from October, which held the previous record-high of 85.
“Historically low mortgage rates, favorable demographics and an ongoing suburban shift for home buyer preferences have spurred demand and increased new home sales by nearly 17 percent in 2020 on a year-to-date basis," NAHB Chairman Chuck Fowke said in a statement regarding the high confidence levels.
NAHB warned that housing affordability remains a concern and that construction costs have continued to rise. Overall, however, the housing market has been a bright spot for the economy of late, according to the organization.
The NAHB survey is in its 35th year; levels above 50 indicate more builders view conditions as good than poor.