US Homebuilder Sentiment Climbs to Six-Month Peak

The NAHB/Wells Fargo Housing Market Index in the US rose to 37 in October 2025, the highest in six months, compared to 32 in each of the previous two months, and above forecasts of 33. Current sales conditions increased four points to 38. Sales expectations in the next six months jumped nine points to 54 and the traffic of prospective buyers gauge posted a four-point gain to 25. In a sign of ongoing challenges for the housing market, the survey also revealed that 38% of builders reported cutting prices in October. Meanwhile, the average price reduction rose to 6% in October after averaging 5% for several months previously. The last time builders reduced prices by 6% was a year ago in October 2024. The use of sales incentives was 65% in October, unchanged from September.