Builder confidence in the market for newly built, single-family homes rose two points to 55 on the National Association of Home Builders (NAHB)/Wells Fargo Housing Market Index (HMI) for August. This third consecutive monthly gain brings the index to its highest level since January.
"As the employment picture brightens, builders are seeing a noticeable increase in the number of serious buyers entering the market," said Kevin Kelly, NAHB chairman and a home builder and developer from Wilmington, Del. "However, builders still face a number of challenges, including tight credit conditions for borrowers and shortages of finished lots and labor."