Homebuilder Sentiment Falls to Low Levels as Buyer Traffic Evaporates

Homebuilder Sentiment Falls to Low Levels as Buyer Traffic Evaporates
A home is offered for sale by owner in Chicago, Ill., on Jan. 20, 2022. Scott Olson/Getty Images
Naveen Athrappully
Updated:
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Homebuilder sentiment in newly built single-family homes dropped in November as prospective buyers shied away from making a purchase due to high costs, according to the National Association of Home Builders (NAHB).

The NAHB/Wells Fargo Housing Market Index (HMI), which measures homebuilder sentiment, declined five points, to 33, and registered the 11th consecutive monthly decline, as a press release stated on Nov. 16. This is the index’s lowest reading since June 2012, with the sole exception being the spring of 2020 during the COVID-19 outbreak.