Homebuilder sentiment jumped in November, according to a report from the National Association of Home Builders.
The NAHB's housing market index came in at a reading of 20 for November, bringing the index to its highest level since May 2010. Economists were expecting the index to remain unchanged from the originally reported reading of 18 in October according to Thomson One Analytics.
Still, the index remains well below 50, indicating that builders largely view the market as poor.
"While this second solid monthly gain on the builder confidence scale is encouraging, the overall measure remains quite low due to the many challenges that home building continues to face with regard to the high number of foreclosures, the difficulties of obtaining construction financing and accurate appraisals, and the restrictive lending environment that is discouraging potential buyers," said Bob Nielsen, NAHB chairman and a home builder from Reno, Nev.
Reported by The Street (11/16/11)
Comments
Post has no comments.