US builder confidence falls to 29 in October, the lowest since June 2012
The NAHB and Wells Fargo housing market index fell three points to 29 in October, its lowest reading since June 2012. Some 43% of builders cut prices, the highest share in the 2020 to 2026 period.
Builder confidence in the market for newly built single-family homes fell three points to 29 in October 2026, the National Association of Home Builders and Wells Fargo reported on 19 October. A reading below 50 means more builders judge conditions poor than good, and 29 is the lowest since June 2012.
What builders reported
- Buyer traffic: the lowest since April 2012, excluding the start of the pandemic in April 2020
- Price cuts: 43% of builders cut prices in October, the highest share in the 2020 to 2026 period. The average cut was 6%
- Incentives: 65% of builders offered sales incentives, the 19th straight month at or above 60%
- Mortgage rates: the NAHB chairman said rates had climbed well above 7% in recent weeks
Reading it
The survey adds to the picture of weak housing demand. Price cuts and incentives are how builders respond to weak demand, although the survey does not show how much they cost margins. For the Census starts figure from the same month, see US housing starts. For the earlier index, see the September report. For the resale market, see US existing-home sales.
Live prices: EUR/USD.
Sources
Common questions
What was the NAHB housing market index in October 2026?
The index fell three points to 29, its lowest reading since June 2012.
How many builders cut prices in October 2026?
The NAHB reports that 43% of builders cut prices, the highest share in the 2020 to 2026 period.
What does a reading below 50 mean?
It means more builders rate current conditions and expectations as poor than as good.
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