Builder confidence increases in October

According to a recent release from the National Association of Home Builders (NAHB), builder confidence jumped in October to reach a six-year high.

The report, known as the NAHB/Wells Fargo Housing Market Index, showed that builder confidence hit 41 points in October, the highest since June of 2006. Furthermore, the October increase marks the 6th consecutive rise in confidence.

NAHB notes that builders are reporting increased numbers of interested buyers visiting their headquarters, leading many to believe that the housing market is only continuing to improve. However, the slow, one-point gain is being attributed to the fact that several attributes are still impeding the slow growth of the budding market, including still-tight credit and very little job growth.

Rental property management officials worried about the improving retail housing market can take heart in the fact that as the housing market improves, so will the rental market. If job growth continues and national credit conditions become less complicated, rental property managers will see more rental applications and improved tenant financial status.