Home builder sentiment fell 4 points to a seven-month low of 34 in April, remaining in contraction territory. Much of this weakness is driven by concerns over rising mortgage rates, geopolitical tensions, and surging construction costs, which are squeezing margins and dampening momentum in the spring housing market. Buyer traffic, along with both current and future sales expectations, declined month over month.
What’s the bottom line?
Builders are pulling back as higher costs, elevated rates, and uncertainty continue to weaken demandand outlook.