Overview

• The NAHB/Wells Fargo Housing Market Index rose five points to 37 in October, topping forecasts for 33 and marking the highest reading since April.
• All components improved, with current sales at 38, sales expectations at 54, and prospective buyer traffic at 25.
• The index remained below the 50 threshold for the 18th straight month, signaling overall weak conditions.
• Price competition persisted as 38% of builders reported cutting prices, the average reduction increased to 6%, and 65% used incentives.
• NAHB modeling points to roughly a 3% rise in September single-family permits, but official Census data are delayed by the government shutdown.