According to the index, about two-thirds of the builders reported that more than 20 percent of their homes were sold to first-time buyers. Twenty-seven percent of builders said more than half of their sales were to first-timers.
"Though buyer traffic remains strong, some home building activity is being delayed due to material shortages," said Chuck Fowke. "This is forcing builders and buyers to grapple with rising affordability issues, as soaring lumber prices have added more than $24,000 to the price of a new home."
The task force was created to review and establish best practices for developing and sustaining policies designed to enhance a diverse and inclusive membership that is representative and reflective of all communities that seek the American Dream of homeownership.
The latest National Association of Home Builders/Wells Fargo Housing Market Index shows that builder confidence in the market for newly built single-family homes fell two points to 82 in March.
After declining for four years, a number of key trends-including the average size of the home and the number of bedrooms and bathrooms-reversed course in 2020 as a result of shifting buyer preferences in the wake of COVID-19.
Sales of newly built, single-family homes in January rose 4.3 percent to a 923,000 seasonally adjusted annual rate, from an upwardly revised December reading, according to newly released data by the U.S. Department of Housing and Urban Development and the U.S. Census Bureau.
In summer 2020, NAHB surveyed more than 3,000 home buyers, both recent and prospective, on the types of features they prefer to have in their homes, including eco-friendly components and designs.
"The increase in lumber prices is forcing our company to delay construction starts, which will only exacerbate the lack of supply in our market," said NAHB first vice chairman Jerry Konter, a home builder and developer from Savannah, Georgia.
