flexiblefullpage - default
Currently Reading

Home Builder Confidence Rises in the Final Month of 2021

billboard - default
National Builders

Home Builder Confidence Rises in the Final Month of 2021

Despite high material costs and an ongoing labor shortage, national builders are ending the year on a high

December 16, 2021
Builder with new construction
Image: Stock.adobe.com

Strong housing demand after a year of project delays and backlogs has home builder sentiment on the rise in the final month of 2021, according to CNBC. The one point December increase on the National Association of Home Builders/Wells Fargo Housing Market Index marks the fourth consecutive month of rising builder confidence and ties with February for the highest level of the year.

Builders are benefiting from a limited supply of existing homes for sale, and many are seeing high demand from investors as the build-for-rent sector gradually gains steam. Sales conditions rose one point to 90 in December, and buyer traffic also increased one point to 70, signaling high demand for home builders in 2022. 

Builder sentiment in the single-family housing market rose one point to 84 in December, on the National Association of Home Builders/Wells Fargo Housing Market Index, or HMI. That is the fourth consecutive increase and ties with February for the highest level of the year. Anything above 50 is considered positive sentiment.

The increase comes despite concerns over inflation, supply-chain disruptions and an ongoing labor shortage. Prices for wallboard, steel, aluminum and plastic construction products rose sharply in November, according to the producer price index.

“While demand remains strong, finding workers, predicting pricing and dealing with material delays” remain challenging, said NAHB Chairman Chuck Fowke, a homebuilder from Tampa, Florida.

Read more

leaderboard2 - default

Related Stories

Housing Giants

The 2024 Housing Giants Survey Is Now Open!

Complete the 2024 Housing Giants Survey to see if your company makes the cut in Pro Builder's rankings of the largest home building companies in the country


A Look at the Boom in Home Builder Stocks During 2023

In 2023, stocks for the 10 biggest U.S. home builders outperformed the S&P 500. What does that say about the housing market?

Housing Giants

2023 Housing Giants Report and Rankings

Pro Builder's annual Housing Giants report ranks the top U.S. home builders by revenue, closings, and type and location of homes built and this year investigates off-site construction's potential to help home builders resist the headwinds of escalating costs and lack of affordability 

boombox1 -
native1 - default
halfpage2 -

More in Category

Delaware-based Schell Brothers, our 2023 Builder of the Year, brings a refreshing approach to delivering homes and measuring success with an overriding mission of happiness

NAHB Chairman's Message: In a challenging business environment for home builders, and with higher housing costs for families, the National Association of Home Builders is working to help home builders better meet the nation's housing needs

Sure there are challenges, but overall, Pro Builder's annual Housing Forecast Survey finds home builders are optimistic about the coming year

native2 - default
halfpage1 -

Create an account

By creating an account, you agree to Pro Builder's terms of service and privacy policy.

Daily Feed Newsletter

Get Pro Builder in your inbox

Each day, Pro Builder's editors assemble the latest breaking industry news, hottest trends, and most relevant research, delivered to your inbox.

Save the stories you care about

Lorem ipsum dolor sit amet lorem ipsum dolor sit amet lorem ipsum dolor sit amet.

The bookmark icon allows you to save any story to your account to read it later
Tap it once to save, and tap it again to unsave

It looks like you’re using an ad-blocker!

Pro Builder is an advertisting supported site and we noticed you have ad-blocking enabled in your browser. There are two ways you can keep reading:

Disable your ad-blocker
Disable now
Subscribe to Pro Builder
Already a member? Sign in
Become a Member

Subscribe to Pro Builder for unlimited access

Lorem ipsum dolor sit amet, consectetur adipisicing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua.