WASHINGTON, DC-The National Association of HomeBuilders/Wells Fargo Housing Market Index reported thatbuilder confidence in single-family homes posted afive point increase in November to reach 46 out ofa scale of 100. It is the seventh consecutive monthly gain and 46is the highest point reached on the index since 2006. The index,though, adds to the growing anecdotal store of evidence that growthin the red-hot multifamily will surely slacken if it hasn'talready. Probably such talk is accurate, says NAHB chief economistDavid Crowe—but it is hardly reason for despair."I think we are moving to a place where both single-family homesand multifamily will grow at the same pace," he tellsGlobeSt.com.

The single-family home momentum captured in the index is notwithout bumps. For starters, the index has not breached the 50-markbenchmark, where an equal number of builders view sales conditionsas good versus poor. Also, not all of the country's regions aregrowing at the same pace, Crowe notes. The South posted afour-point gain to 43, while the Midwest and West each postedthree-point gains, to 45 and 47, respectively, and the Northeastposted a two-point gain to 31. Superstorm Sandy, no doubt, played arole in that, but Crowe also notes there is higher unemployment inthe Northeast and a slower pace of housing price recovery. "Startsand permits have not moved as quickly in the northeast as they havedone elsewhere," he says.

The good news is that one of the components of the index—builderexpectations—has breached the 50-mark to reach 53. It is the thirdconsecutive month this portion of the index has been above 50,Crowe says. A separate report, released last week by FannieMae, provides another glimpse into the confusing andsometimes conflicting dynamics that make up thesingle-family housing and multifamily housing space. Fannie Mae'sEconomic & Strategic Research Group's latest edition ofHousing Insights finds that homeownership ratescontinue to decline, particularly among young households; thatsingle-family housing is absorbing a disproportionate share of newrental demand; and that housing affordability problems are mountingamong young renters while easing for young homeowners.