Economic Buzz: US homebuilder confidence inches up in December
The report said the NAHB/Wells Fargo Housing Market Index crept up to 39 in December after inching up to 38 in November. The uptick, which matched economist estimates, lifted the index to its highest level since hitting 40 in April.
Despite the modest increase, the NAHB noted sentiment levels were below the breakeven point of 50 every month in 2025.
The uptick by the headline index came as the index measuring future sales and the index gauging current sales conditions both inched up by one point to 52 and 42, respectively, while the gauge charting traffic of prospective buyers held steady at 26.
The NAHB said the latest HMI survey also revealed that 40 percent of builders reported cutting prices in December, marking the second consecutive month the share has been at 40 percent or higher.
The average price reduction was 5 percent in December, down from 6 percent in November, the report said, while the use of sales incentives was 67 percent in December, the highest in the post-Covid period.
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