Homebuilder Confidence Sinks to 10-Month Low as High Mortgage Rates Freeze Housing Market

Homebuilder confidence dropped to its lowest point since January 2023, according to the NAHB. High mortgage rates have frozen the housing market.

Stubbornly high mortgage rates have negatively impacted builder sentiment for 3 consecutive months.

Builder confidence fell 4 points in October to 40, marking the lowest reading in 10 months.

The NAHB cited stubbornly high mortgage rates as the main reason for lagging builder confidence.

Lower buyer traffic due to affordability issues from high rates is harming home sales and builder outlook.