Homebuilder confidence stays steady, as expected, in May

• May NAHB Housing Market Index: 83 vs. 83 consensus and 83 prior.
• Present single-family sales: 88 vs. 88 prior.
• Next 6 months single-family sales: 81 vs. 80 prior.
• Prospective buyer traffic: 73 vs. 75 prior.
• "Builder confidence in the market remains strong due to a lack of resale inventory, low mortgage interest rates and a growing demographic of prospective home buyers,” said NAHB Chairman Chuck Fowke, a custom home builder from Tampa, FL.
• However, rising material costs are making it harder for first-time and first-generation homebuyers to purchase a home, he said.
• "In recent months, aggregate residential construction material costs were up 12 percent year-over-year, and our surveys suggest those costs are rising further," said NAHB Chief Economist Robert Dietz. "Some builders are slowing sales to manage their own supply-chains, which means growing affordability challenges for a market in critical need of more inventory."