Home builder confidence slips in April

While the index measuring sentiment for current sales conditions declined two points to 45 and the feelings about buyer traffic declined four points to 30 in April, expectations for the next six months posted a three-point gain to 53, the highest level since February of 2007.

"Many builders are expressing frustration over being unable to respond to the rising demand for new homes due to difficulties in obtaining construction credit, overly restrictive mortgage lending rules and construction costs that are increasing at a faster pace than appraised values," said Rick Judson, chairman of NAHB and a home builder from Charlotte, N.C. 

"While sales conditions are generally improving, these challenges are holding back new building and job creation."

Regionally, looking at three-month moving averages, the Northeast was unchanged at 38, while the Midwest posted a two-point decline to 45, the South experienced a four-point decline to 42 and the West dropped three points to 55.