Builder Sentiment

What the Homebuilder Confidence Index Measures and How to Read Its Moves

The Homebuilder Confidence Index (HMI) is a monthly survey that gauges sentiment in the U.S. new single-family home market by assessing builders' perceptions of current sales, future sales, and buyer traffic. It serves as a leading indicator, with readings above 50 signaling confidence and below 50 indicating pessimism, influenced by factors like interest rates and construction costs.