Builder sentiment ↓2 points to 35 as rising material costs, elevated mortgage rates, and affordability pressures shaped new single-family home decisions nationwide.
Sentiment has stayed below 40 for 14 straight mo, while builders point to a US shortage of ~1.2M homes in current conditions.
Buyer-friendly tools stayed visible in Late-Q2: mid-30% of builders cut prices, avg. reductions held ~6%, and low-60% used sales incentives nationwide overall.
Industry experts point to permitting bottlenecks, density limits, zoning rules, taxes, fees, and regulation adding >25% to avg. new-home prices nationally today.
Current sales conditions ↓2 points to 38, while future sales held at 45 and prospective-buyer traffic stayed 25 for a cautious market read.
