For the first time since April 2006, builder confidence surged past 50 on the National Association of Home Builders/Wells Fargo Housing Market Index released Tuesday. This benchmark indicates that builder sentiment is mostly positive regarding market conditions.
The eight-point jump to 52 in June also marked the biggest one-month gain since August and September 2002.
Any reading over 50 indicates that more builders view sales conditions as good than poor.
"Builders are experiencing some relief in the headwinds that are holding back a more robust recovery," said NAHB chief economist David Crowe.
June's HMI numbers are on track with the forecast for a 29% increase in total housing starts for 2013, according to Crowe.
All three HMI components posted gains in June. The index gauging current sales conditions increa