US homebuilder confidence sinks in February

U.S. homebuilders' confidence in the housing market has declined sharply as the severe weather battering much of the nation keeps many would-be buyers at home.

Storms and cold weather dampened builders' outlook for sales ahead of the spring home-selling season and could further slow the pace of home construction.

The National Association of Home Builders/Wells Fargo builder sentiment index slid to 46. That's down from January's reading of 56 and is the lowest level since May.

Readings below 50 indicate that more builders view sales conditions as poor rather than good.

Builders' view of current sales conditions for single-family homes, their outlook for sales over the next six months and traffic by prospective buyers have all declined since January.

Economists predict that U.S. sales of new homes fell last month.

 

How many people -- especially people with kids -- go out and buy houses in February. Couple that with the horrendous weather and of course, sales are going to be down. Its not lack of confidence. Its just common sense so rather than use stupid headlines to make people feel insecure, why not just be honest. Come May, sales will be booming as schools close for the summer and families move so as not to disrupt lives during the school year.

 

In my opinion, people would prefer to stay at home during harsh weather. It is pretty sure that many people buy houses in summer only, so that they do not disrupt their daily routine.

 

Existing home sales got hammered this month.

 

Now just isn't a good time to be buying a house, really. The housing market isn't that good, the weather has been horrible, and it isn't the right time of year. I bet sales will pick up some in the summertime, I bet.

 

If the housing market is not good because of recent weathers and you expect it to pick up in a few months.... why wouldn't it be a good time to buy a house?

 

I suppose I worded it wrong. PEOPLE think it isn't a good time to buy a house. I would buy a house right now myself if I could.

 

I feel like it is a good time to buy housing but there's so much involved with buying a house, like financing it, which aren't easy to do at age 25. I have quite a few friends who are buying houses now in their 30s because they are now financially stable enough to do so.

 

Absolutely. I've always thought that the very best time to buy is... well yeah, when it's a lousy seller's market. There are some really great price reductions when sellers want to make a fast "getaway." So absolutely when everyone else is sitting at home shivering with their hot chocolate, *THAT* is when I'm going to buy. I hate competition.

 

Quite right JadeDoo, if the weather picks up on some months so will real estate and if you buy now, if you have the capital to invest, you can make big money when the prices go back up.