Home Builders Grow More Confident in November

(Los Angeles Times/TNS) -

Single-family-home builders are increasingly optimistic, as more potential buyers stroll through their model homes.

The National Association of Home Builders said Tuesday that its gauge of builder confidence rose four points to 58 this month. Any number higher than 50 indicates more builders see the market for new single-family homes as good rather than poor.

“Growing confidence among consumers is what’s fueling this optimism,” NAHB Chairman Kevin Kelly said in a statement. “Members in many areas of the country continue to see increasing buyer traffic and signed contracts.”

An improving job market and low mortgage rates have helped steady the housing recovery after a slow start earlier this year, according to the trade group’s chief economist David Crowe.

The association’s confidence survey rose in all three areas it tracks: current sales conditions, expectations of future sales and current traffic of prospective buyers.