Even as the coronavirus pandemic continues to affect every sector throughout the U.S., there are bright spots for builders. According to the National Association of Home Builders (NAHB)/Wells Fargo Housing Market Index (HMI) released in July, builder confidence in the market for new single-family homes rose by 14 points to 72. “Builders are seeing strong traffic and lots of interest in new construction as existing inventory remains lean. Low interest rates are also fueling demand, and we expect housing to lead an overall economic recovery,” said NAHB chairman Chuck Fowke.
Indeed, consumers are willing to spend for the right home, even with economic uncertainty and pandemic concerns at the forefront. “Interest rates are so low, and buyers are taking advantage of that. We had a bit of a slowdown when everything hit, but now we’re catching up. I am actually seeing an increase in spend per home right now,” said Kristi Kennedy, design center manager for David Weekley Homes.