Homebuilder confidence is soaring. For the fourth straight month, the National Association of Homebuilders reports an increase in its Housing Market Index. The index climbed 4 points to 25 this month -- its second four-point gain since October. With home sales activity increasing across all four regions, the monthly HMI has now nearly doubled in value since June 2011. The HMI is now at a 55-month high. The Housing Market Index itself is a composite reading; the result of three home builder surveys sent by the National Association of Homebuilders to its members monthly. Home builders report back on current single-family home sales volume; projected single-family home sales volume for the next 6 months; and current buyer "foot traffic". The NAHB then results compiles the surveys into a single reading. In January, home builders reported improving sales conditions across all three categories :
- Current Single-Family Sales : 25 (+3 from December)
- Projected Single-Family Sales : 29 (+3 from December)
- Buyer Foot Traffic : 21 (+3 from December)