The National Association of Home Builders (NAHB) reported today that Builder Confidence registered its record 10th consecutive decline this month as conditions in the housing market continue to deteriorate. The combination of high prices and high mortgage rates are weighing heavily on housing affordability and continue to be the main challenge faced by builders. As stated by the NAHB, there is currently a “worsening housing affordability crisis” which they believe is unsustainable. We concur.
This leading survey confirms the worst likely lies ahead for the U.S. housing market, and we will take a deeper look at this topic in our upcoming issue of InvesTech Research (available this Friday on our website).
Eli Petropoulos, CFA – Sr. Market Analyst