NAHB Reports Increased Traffic

Builders in many parts of the country are seeing increased traffic, according to a monthly survey by the National Association of Home Builders. "It's the first time in six months that traffic has improved," NAHB's chief researcher, Gopal Ahluwaliah, said at the group's annual convention in Orlando, Fla. "Previously, it's been dead, slow." In an industry that's hungry for good news, the survey, which will be released soon, is "a very positive indication," the economist said. But at the same time, he cautioned about reading too much into the findings. "One month is not a trend, so we don't want to be too quick to jump to any conclusions," Mr. Ahluwaliah said. "Next month, we could be flat on our face." In addition, increased traffic has not necessarily resulted in increased sales. Many of the visitors are "tire kickers" who are looking to see what kind of deals they can make as builders continue to cut prices. "You've got to leave a little blood on the table," said builder Thomas Paparrone, who said traffic is up in his southern New Jersey market. One place where traffic is still down is California. John Orr, who builds in the northern part of the state, said traffic in January was at the lowest level since 1995.