Each month, the National Association of Home Builders conducts a survey asking builders for their opinion of the market for newly built homes. The NAHB’s measure of builder confidence is a closely watched market barometer, as a home builder’s success is dependent on an ability to read the market and know what buyers want, where they want it, and when. In August, the survey – which is scored on a scale where any number above 50 indicates more builders see conditions as good than poor – scored a 39, down two points from the month before. But while confidence has been down this summer, builders see better days ahead, according to NAHB chief economist Robert Dietz. “With current inflation data pointing to interest rate cuts from the Federal Reserve and mortgage rates down markedly in the second week of August, buyer interest and builder sentiment should improve in the months ahead,” Dietz said. (source)