More Than One-Third of Surveyed U.S. Builders Report Immigration Enforcement

More than one-third of builders surveyed in October reported immigration enforcement in their markets, with the activity delaying construction and discouraging legal workers from reporting to job sites.

National Association of Home Builders (NAHB) Chairman Bill Owens described the effects as “causing construction delays and discouraging legal workers from reporting to work.” Builders were also contending with higher financing, material and fuel costs.

Separately, the NAHB/Wells Fargo Housing Market Index fell three points to 29 in October, its weakest reading since June 2012. The index tracks views of newly built single-family homes. A reading below 50 means negative assessments outnumber positive ones.

Mortgage rates had climbed well above 7% in recent weeks. Higher gas prices and inflation also weighed on prospective-buyer traffic, while builders faced increased costs for construction loans, building materials and diesel.

The October decline in builder confidence also included weaker current sales, expectations for sales over the next six months and prospective-buyer traffic.