Overview

• The NAHB/Wells Fargo Housing Market Index for April 2025 increased to 40, reflecting ongoing negative sentiment among U.S. homebuilders.
• Sixty percent of builders report material cost hikes linked to tariffs, adding an estimated $10,900 to the price of a new home.
• Builders are pausing new projects and delaying permits, citing uncertainty over trade and immigration policies under the Trump administration.
• Mortgage rates remain near 7% following a Treasury bond selloff tied to tariff policies, further dampening buyer demand.
• The U.S. housing market continues to face a shortage of 1.5 to 4 million units, keeping home prices elevated despite sales incentives by builders.