Builders Confidence in Newly Built Single-Family Homes Matches Record High Set in 1988

According to the latest National Association of Home Builders (NAHB) \ Wells Fargo Housing Market Index (HMI) builder’s confidence in the market for newly built single-family homes increased by six points in August to a reading of 78. The HMI now is at its highest reading in the 35-year history of the series and matches a record set in Decembre 1988.  Any reading above 50 indicates that builders see market conditions as favorable. All HMI indices posted gains in August. Single-family construction is benefiting from low interest rates and a noticeable shift in housing demand to suburbs, exurbs and rural markets as renters and buyers seek out more affordable, lower density markets.