Key facts
- U.S. homebuilder sentiment dropped to 35 in June.
- U.S. homebuilder sentiment is at its lowest in over a decade.
- Elevated mortgage rates and construction material costs are straining the U.S. housing market.
- U.S. homebuilders are offering more incentives to sell inventory.
- Canadian housing starts fell 6% in May.
- Canadian housing starts reached a seasonally adjusted annualized rate of 261,377 units in May.
- Economists had predicted a decline to 255,000 units for Canadian housing starts.
- The revised figure for Canadian housing starts in the previous month was 278,380 units.
In the United States, homebuilder sentiment has fallen to its lowest level in over a decade, registering 35 in June. This decline is attributed to the continued pressure of elevated mortgage rates and high construction material costs on the housing market. As a result of these challenging conditions, U.S. homebuilders are increasingly resorting to offering incentives to help move their existing inventory.