U.S. Housing Market Index Falls to 34 in July, Extending 15-Month Streak Below 40

According to the National Association of Home Builders (NAHB), the U.S. housing market index (HMI) declined 2 points to 34 in July 2026, falling short of market expectations of 35. The index has now remained below 40 for 15 consecutive months, marking the longest streak since 2012.

The current sales index dropped 1 point to 37, while expectations for sales over the next six months fell 2 points to 43. The index tracking potential buyer traffic also declined 2 points to 23. NAHB Chief Economist Robert Dietz noted that affordability challenges persist as the industry's primary obstacle, with high mortgage rates, elevated land costs, and rising material prices continuing to pressure the market.