In a further sign of declining builder sentiment, the use of price incentives increased sharply in June as the housing market continues to soften. Builder confidence in the market for newly built single-family homes was 32 in June, down two points from May, according to the NAHB)/Wells Fargo Housing Market Index (HMI). The index has only posted a lower reading twice since 2012 – in December 2022 when it hit 31 and in April 2020 at the start of the pandemic when it plunged more than 40 points to 30. Buyers have increasingly moved to the sidelines due to elevated mortgage rates and tariff and economic uncertainty. …All three of the major HMI indices posted losses in June. The HMI index gauging current sales conditions fell two points in June to 35, the component measuring sales expectations in the next six months dropped two points to 40 while the gauge charting traffic of prospective buyers posted a two-point decline to 21.