According to the National Association of Home Builders and Wells Fargo, confidence among home builders rebounded this month, rising four points to 58, reaching close to its highest level in nine years.

Readings that measure above 50 signify that builders are, in general, optimistic about sales trends. November marks the fifth consecutive month of an above-50 reading. The gauge had dropped in October from a nine-year high hit in September.

“Growing confidence among consumers is what’s fueling this optimism among builders,” NAHB Chairman Kevin Kelly, a homebuilder and developer from Wilmington Delaware, said according to Bloomberg. “Members in many areas of the country continue to see increasing buyer traffic and signed contracts.”

The housing market has been supported by borrowing costs near historic lows. The average 30-year, fixed-rate mortgage was 4.01 percent in the week ended Nov. 13, down from 4.35 percent a year earlier, according Freddie Mac.

There are, however, indicators that show that rising builder optimism has not necessarily been paired with a significant improvement in sales.

According to The Associated Press, which reported findings from the Commerce Department, purchases of new homes were nearly flat in September, and the pace of sales for newly built homes has only improved a mere 1.7 percent so far this year compared to 2013, putting it below overall economic growth.

In addition, experts predict that sales from already-built houses fell in October. For October "sales [were] at an annual rate of 5.15 million," which was "down from 5.17 million in September," AP reports citing data by FactSet.

Despite improved buying activity in recent months, sales in 2014 are still projected to lag behind last year's total of 5.1 million.

Sales of about 5.5 million homes are generally associated with a healthy real estate market.

“The recovery is not going quite as quick as we anticipated,” Larry Nicholson, chief executive office at Ryland Group Inc., said at a Nov. 13 conference. “I don’t think everybody feels great about the economy.”

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