Builder confidence in housing market at all-time high

Builder confidence in housing market at all-time high

Builder confidence in housing market at all-time high
With mortgage rates remaining near historic lows, the demand for housing from Americans is expected to remain on an upward trend. As a result, the nation’s homebuilders are expressing a confidence in the future of the housing market that hasn’t ever been seen before.

The National Association of Home Builder/Wells Fargo Housing Market Index for September shows that home builder confidence in single-family homes rose five points to a reading of 83. This is the highest reading the survey’s 35-year history. In comparison, the index posted a reading of 68 in September 2019.

“The suburban shift for home building is keeping builders busy,” said NAHB Chief Economist Robert Dietz. “[This is] supported on the demand side by low interest rates.”

Today, conforming no-point 30-year fixed mortgage rates are averaging 2.875 percent and 15-year rates are near 2.5 percent.

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