Homebuilder Confidence Takes Second Straight Dive
The National Homebuilders Association/Wells Fargo index of homebuilder sentiment dipped in February to 55 from 57 for its second straight monthly decline. Still, the gauge hovered above 50, which is broadly considered the border between home market confidence and pessimism. The NAHB/WF index has not dipped below 50 since last June. In a Reuters pooll economists had predicted sentiment to rise to 58.
"Solid job growth, affordable home prices and historically low mortgage rates should help unleash growing pent-up demand and keep the housing market moving forward in the year ahead," NAHB Chief Economist David Crowe said in a prepared statement. One troubling sign in today's report concerns the single-family home sales subindex, which dropped to 61 from 62, the first decline since last October.
