Monday, December 27, 2010

BUILDER CONFIDENCE REMAINS LOW IN DECEMBER

The National Association of Home Builders/Wells Fargo Housing Market Index for mid December stayed at a dismal 16.  Any score of 50 or less means that new home builders have no confidence in a turnaround in business.  The index is stuck at 16 for the second month.

"Builders are bracing themselves for a slow holiday season as a number of factors continue to cause uncertainty among consumers and builders alike," said NAHB Chairman Bob Jones, a home builder from Bloomfield Hills, Mich. "While the HMI is adjusted for seasonal factors, the typical cold-weather slowdown in sales activity is being accentuated by ongoing weakness in the job market, the rising number of foreclosures and short-sales, and very challenging credit conditions for both builders and buyers."



Prognosticators are now saying that it might be 2012 before any kind of good market will bring home builders back from the brink.  Let's hope they're wrong again and we start to see the light at the end of the tunnel by mid-2011.

No comments: