The builder sentiment index went down two points to 42 this month, the lowest level since October 2012, according to the National Association of Home Builders (NAHB)/Wells Fargo Housing Market Index (HMI).

　　"Many builders are expressing frustration over being unable to respond to the rising demand for new homes due to difficulties in obtaining construction credit, overly restrictive mortgage landing rules and construction costs that are increasing at a faster pace than appraised values," said NAHB Chairman Rick Judson.

　　In April, three HMI components were mixed. The component gauging current sales conditions fell two points to 45 and the component measuring traffic of prospective buyers declined four points to 30, while the component measuring sales expectations for the next six months rose by three points to 53, the highest level since February of 2007.

　　Any reading below 50 indicates negative sentiment about the market. The index has not rebounded above that level since April 2006.