Mature-Housing Builders Still Pessimistic

Washington, DC, Nov. 12, 2010 -- Builder confidence in the mature-market sector remains bleak, according to a survey by the National Association of Home Builders.

Almost all categories surveyed declined from the levels reported in the third quarter of 2009, the group said.

"While we have anecdotal information that some local 55+ markets are beginning to rebound, the third-quarter data show that national conditions for this sector have not yet turned the corner," said NAHB Chief Economist David Crowe.

"Real improvement won't happen until we have better employment numbers, and consumers who are more confident of keeping their jobs. Those consumers will buy the homes of the 55+ age cohort, so that the mature buyers will be able to move to more appropriate housing."

In the third quarter of 2010, the index came in at 15, a five-point drop from the third quarter of the previous year. A reading of more than 50 shows positive conditions.