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Builder confidence remains solid, according to the latest National Association of Home Builders/Wells Fargo Housing Market Index. The April Index reading was 63; in March, it was 62. At 51 or higher, the general outlook is positive.

“Builders report solid demand for new single-family homes but they are also grappling with affordability concerns stemming from a chronic shortage of construction workers and buildable lots,” said Greg Ugalde, chairman of the NAHB, in a statement.

“Ongoing job growth, favorable demographics and a low-interest rate environment will help to modestly spark sales growth in the near term,” said Robert Dietz, chief economist of the NAHB. “However, supply-side headwinds that are putting upward pressure on housing costs will limit more robust growth in the housing market.”Ā 

Source: National Association of Home Builders

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