Builder confidence stayed weak in Late-Q1, holding near recent levels despite slightly better readings than mid-2025.
Late-Q1 pricing: 37% cut prices, 64% offered incentives; avg. cut held at 6%, extending a long incentive streak.
Builders cite affordability strains: buyers wait for lower rates amid uncertainty, while land, labor, and construction costs stay high.
Industry chatter in suggested slightly better traffic since Late-Q4, but not necessarily stronger demand for 2026 overall.
Iran conflict added uncertainty: oil neared $100, mortgage rates moved above ~6%, and single-family starts and permits weakened.
I’m seeing builders stay cautious as demand remains soft and affordability pressures persist. Incentives are still common, and uncertainty tied to global conflict and higher energy costs is weighing on confidence and activity.
