Home-Builder Sentiment Rises in October
By Kate Davidson
WASHINGTON--A gauge of U.S. home-builder confidence climbed in
October, continuing a steady rebound in the housing sector that
began in the spring.
--The National Association of Homebuilders said Wednesday its
housing market index rose three points, to 71 from a revised level
of 68 in September. That was the index's highest level since
February 2018. Economists surveyed by The Wall Street Journal had
expected the reading to remained unchanged.
--The gradual uptick in builder sentiment in recent months
mirrors the steady gains in single-family construction during the
second half of 2019, NAHB chief economist Robert Dietz said.
"However, builders continue to remain cautious due to ongoing
supply side constraints and concerns about a slowing economy," he
--The index had held relatively steady in a range between 64 and
66 through the summer and began edging up last month amid a
continued decline in mortgage rates. The average rate on a 30-year,
fixed-rate mortgage hit 3.57% for the week ended Oct. 10, down from
3.73% in mid-September, according to Freddie Mac.
--Overall, the housing market has been showing signs of life
following a slump last year. Home building in the U.S. increased in
August to the highest level since June 2000. August was also the
strongest month for sales of previously owned homes in nearly a
year and a half. The Commerce Department will release new data
Thursday on housing construction in September.
Write to Kate Davidson at email@example.com.
(END) Dow Jones Newswires
October 16, 2019 10:14 ET (14:14 GMT)
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