In January builders were concerned about the poor job market and the large number of foreclosed homes for sale. This caused a 1 % drop in their confidence. Competition from foreclosed homes is impacting the new homes sales. Home buying conditions have never been so good as they are right now, but consumers are still waiting for a significant positive sign of improved job employment and confidence. Builders have thinned inventories and kept new construction to a minimum. They stand poised to deliver new homes as soon as customers are ready to take advantage of the first time home buyers credit advantage and other incentives