U.S. homebuilder sentiment fell to a five-month low in February, signaling negative outlooks amid tariff concerns. The NAHB Housing Market Index fell 5 points in February to 42, down from 48 a year ago. Builders face elevated mortgage rates above 7% and higher home prices, reducing affordability. Builders still anticipate higher costs from Trump's tariffs on Canada and Mexico. Tariff uncertainty adds to builders' cost concerns, with a significant share of appliances and softwood lumber relying on international trade.
