According to the latest National Home Builders Association / Wells Fargo brand index released this week, low availability and strong consumer demand have boosted builders’ confidence for the third month in a row, despite supply-side challenges, including barriers to supply and building materials staff shortage continued. US Builder sentiment in the market for newly-built single-family homes rose by three points in November 2021 to reach 83.
“The strength of the housing market remained in November despite the current crisis,” said Chuck Fowke, president of the NAHB. “The lack of retail stores, coupled with strong consumer demand, continues to drive the construction of single-family homes.”
“In addition to reported concerns about building materials and the public distribution chain, barriers to workers’ access to housing and construction,” said Robert Dietz, economic director of NAHB. “Land availability has been at an all-time low in decades and there are now more than 330,000 places in the construction sector. Legislators need to address these issues to help builders build more homes to meet strong market demand.”
Based on the NAHB 35-month review, the developers ‘views on the NAHB / Wells Fargo HMI developers’ current single-family sales and sales expectations for the next six months are “good.” “Good” or “bad “.” This survey asks developers to advise potential buyers from “high to very high”, “medium” or “low to very low.”
The HMI index, which measures the current sales situation, increased from three to 89 points, and the traffic index of potential buyers also increased from three to sixty-eight points. The unit that measures the sales forecast for the next six months has remained stable at 84.
Looking at the three-month moving average HMI scores, the Midwest increased four points to 72, the South four points to 84, and the West one point to 84. In the Northeast, two points fell to seventy.