After price cuts for new builds outpaced those for existing homes late last year, home builders’ responses to a popular industry survey signal a pullback from that sales incentive tool this year.

The National Association of Home Builders (NAHB) released an update to its NAHB/Wells Fargo Housing Market Index (HMI) on Tuesday showing a reading of 36, a single-point decline from January and three-point decline from December.

As builder sentiment of the new-home market remains dour, 65% of builders reported the use of sales incentives last month, flat from January levels. But only 36% reported slashing prices, down from 40% in the three preceding months.

 

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Six-month sales outlook sags for U.S. home builders