NAHB analysis of The Conference Board Consumer Confidence Index sub-category for home purchase plans.

The Conference Board reported that in March the Consumer Confidence Index rebounded. The Consumer Confidence Index rose to 96.2 in March, from 94.0 in February.

Beneath the headline data, however, National Association of Home Builders economics research analyst Jing Fu explores the subset of data that pertains to home purchase plans among respondent. She notes, by and large, that month to month readings on respondents' plans to buy either a resale or new home tend to run with a lot of noise. Still, Fu notes, the trajectory is improving. Jing Fu writes:

Despite the monthly volatility, the trends in the shares of respondents planning to buy a new home and the shares of respondents planning to buy a lived-in home within six months are climbing up from the trough and consumer confidence remains at a relatively high level by historical standards.

Improving overall confidence, buoyed by jobs growth and house price increases, typically emerge as an indicator of present and future demand in the housing market.

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