Tuesday, November 19, 2013

Builder Confidence Remains at 4 Month Low

Confidence among U.S. homebuilders held in November at a four-month low as buyer traffic and sales outlooks retreated.

The National Association of Home Builders/Wells Fargo builder sentiment gauge was unchanged at 54 from a revised October reading that was weaker than initially estimated, the Washington-based group reported today. The median forecast in a Bloomberg survey projected it would come in at 55. Readings above 50 mean more respondents reported good market conditions.

The 16-day partial government shutdown and political wrangling over the nation’s budget have taken a toll on consumer sentiment, causing some would-be buyers to delay spending decisions. Higher mortgage rates also are holding back gains in real estate, which has been a source of strength for the economic expansion.

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