The building promoters index declined again in March in US. This is an indication that the housing industry is yet to regain momentum from its backfall during recession. Though the US government had introduced enough programs to safeguard the industry and building the confidence of the customers, the reforms are yet to see results.

Obama’s administration had introduced tax credit for buyers of new homes and also extended it to buyers of old homes too. But that evoked little response. Record number of foreclosures have been major contributor to the decline in sales of new houses. Lesser job growth and lower confidence of people and withdrawal of facilities of Federal Reserve have also contributed to the downfall.

The sales of new houses fell to the lowest in January and so did the sales of already owned houses. Unless and until the unemployment issues solves in US, the other industries will have a great impact on them.