KB Home Says Consumers are Home Shopping but not Buying

Dow Jones
09/23
 

1854 ET - KB Home executives say that consumers still want to buy houses, but are holding out due to affordability concerns. Consumers are feeling cautious and are especially worried about rising interest rates, the executives tell analysts on a call. Every time rates rise, consumers need a period to digest the increase because they don't want to feel like they overpaid for a house by buying during a peak rate period, they say. The executives note that traffic isn't down as much as sales, suggesting that people are still interested in shopping, even though they are waiting to buy.

 

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