Builder Sentiment Jumps to Three-Month High Amid Sustained Demand

Source: NAHB

• Builder sentiment climbed to a three-month high in October as demand and sales remained strong, despite the ongoing supply chain constraints. XHB is up 1.03%
• The NAHB/Wells Fargo National and Regional Housing Market Index stood at 80 in October. This compares with 76 in September and 85 a year ago.
• The latest reading is the highest in three months, equivalent to the 80 recorded in July.
• The indicator gauging present single-family sales jumped to 87, up from 82 the previous month. Sales for the next six months stood at 84.
• The gauge looking at traffic of prospective buyers jumped to 65, four points up from 61 in September.
• Regional HMI scores all posted increases with the Northeast up to 73 from 67, Midwest at 73 from 69, South at 84 from 80, and West at 85 from 80.
• NAHB Chief Economist Robert Dietz said builders are already getting increasingly concerned regarding the affordability of properties.
• Dietz cited the continued price hikes and bottlenecks, along with the expected interest rate hikes in the coming months.