Homebuilders are feeling the most pessimistic about the new-construction market in 14 years, as surging mortgage rates keep would-be buyers on the sidelines this fall. Builder confidence in new single-family home sales shed three points month over month, bringing the NAHB/Wells Fargo Housing Market Index (HMI) down to 29. This is the lowest HMI since June 2012. For context, builder sentiment has now remained below 40 for 18 consecutive months. NAHB Chairman Bill Owens ascribes the sharp pullback to soaring borrowing costs and broader economic headwinds. …Last Thursday, Freddie Mac reported that the average rate on 30-year fixed home loans held steady week over week at 7.4%, a three-year high fueled by a global bond selloff that pushed up 10-year Treasury yields. While less visible than earlier this year, the Trump Administration’s anti-immigration crackdown continues to negatively impact the residential construction industry across the U.S.