Home Builder Sentiment Retreats to Start 2026

Real Estate Spotlight


Source: Economics Group of Wells Fargo Bank, N.A.Summary

Home builder sentiment remains fairly downbeat despite the recent easing in mortgage rates. The NAHB housing market index (HMI) fell two points to 37 in January, ending a three-month streak of gains. We note that 75% of survey responses arrived before January 7th, ahead of the Trump Administration’s new housing policy announcements. That said, the monthly drop in the headline index suggests builders are still dealing with disappointing demand as 2026 gets underway.

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