US Homebuilder Sentiment Hits New High Since July

Rising demand and lower mortgage rates boost confidence despite supply challenges.

US homebuilder sentiment jumps to 51 in March, marking its first positive reading since July.
The increase reflects a rise in demand for new homes amid a persistent shortage of existing homes on the market.
Mortgage rates have recently declined, fueling optimism among homebuilders despite ongoing supply-side challenges.
Fewer builders are reducing home prices to attract buyers, with only 24% reporting price cuts in March, the lowest share since July 2023.
The Federal Reserve is expected to cut interest rates in the second half of 2024, potentially drawing more buyers into the market.