Home-builder confidence holds steady in March, NAHB reveals

Sentiment among US home-builders held steady in March, according to a report on Tuesday.

The National Association of Home Builders’/Wells Fargo confidence index was unchanged at 58, missing expectations for a reading of 59.

“Confidence levels are hovering above the 50-point mid-range, indicating that the single-family market continues to make slow but steady progress,” said NAHB chairman Ed Brady.

“However, builders continue to report problems regarding a shortage of lots and labour.”

The data follows a report from the National Association of Realtors which showed existing home sales reached the second-highest rate of the expansion in January. Inventory fell as a result of high demand, pushing house prices higher.

“Solid job growth, low mortgage rates and improving mortgage availability will help keep the housing market on a gradual upward trajectory in the coming months,” said NAHB chief economist David Crowe.

The NAHB’s housing market index gauging current sales conditions held steady at 65 in March while the index measuring sales expectations in the next six months fell three points to 61.