Today, the National Association of Home Builders (NAHB) released their latest Housing Market Index (HMI) showing continued evidence that the new home market is experiencing a prolonged bout of depression.The release came along with some hopeful “bottom searching” outlook from Chief Economist David Seiders.
“While our overall measure of builder confidence remains at a record low at this time, it is a good sign that two out of three of the HMI’s component indexes rose in August, and this may be an indication that we are nearing the bottom of the long downswing in new-home sales, … Our current forecast shows stabilization of sales during the second half of this year, followed by solid recovery in 2009 and beyond.”
Each component of the NAHB housing market index is now sitting WELL BELOW the worst levels ever seen in the over 20 years the data has been being compiled strongly suggesting that the current severe contraction has surpassed all other events seen in the last 22 years and is now firmly in uncharted territory.
