Builders' Confidence Falls in March

 

Home builders' confidence took a hit in March, according to a members' survey by their trade group conducted amid growing reports of problems in the subprime mortgage market.

 

The National Association of Home Builders' survey showed that the group's confidence index fell to 36 in March from a 39 reading in February. The February reading was also revised lower.

 

It was the first decline in the index since it fell to a 15-year low of 30 in September.

 

"Builders are uncertain about the consequences of tightening mortgage lending standards for their home sales down the line, and some are already seeing effects of the subprime shakeout on current sales activity," said a statement from David Seiders, chief economist for the trade group.

 

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