Supply chain challenges for homebuilders in the US appear to be worsening, and that is affecting confidence in the industry.
Source: NAHB Now
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Builder confidence in the single-family, newly built housing market dropped 1 point in February to 82. That is the second consecutive month of decline.
Jerry Konter, NAHB Chairman, stated that the production disruptions are severe and that many builders are waiting for months to get cabinets, garage doors, countertops, and appliances.
Konter further noted that these delivery delays are increasing construction costs and pricing prospective home buyers out of the market.
Only the index of current conditions posted an increase of 1 point to 90. Sales expectations index in the next six months dropped 2 points to 80 and buyer traffic dropped 4 points to 65.
Regionally, on a three-month moving average, confidence in the Northeast rose 3 points to 76. In the West, it increased 1 point to 89, and in the Midwest, it dropped 1 point to 73.