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Home builder confidence in the new, single-family construction market is solid, despite recent tempering, according to the latest National Association of Home Builders (NAHB)/Wells Fargo Housing Market Index (HMI). The Index reading for June was 67—down from 69 in May. An above 50-reading indicates more builders have a positive outlook than a negative one.

“Builder confidence levels have remained consistently sound this year, reflecting the ongoing gradual recovery of the housing market,” said Granger MacDonald, chairman of the NAHB, in a statement.

“As the housing market strengthens and more buyers enter the market, builders continue to express their frustration over an ongoing shortage of skilled labor and buildable lots that is impeding stronger growth in the single-family sector,” said Robert Dietz, chief economist of the NAHB.

Home builders’ expectations regarding present and expected single-family home sales both fell in June, down to 73 and 76, in order, while expected homebuyer traffic fell two points to 49.

Source: National Association of Home Builders (NAHB)

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