US housing market has stalled, and home builders are feeling that, Bloomberg reports.

S&P Supercomposite Homebuilding Index fell by 21% this year, and this is the biggest decline since 2008 when it lost 32%. It shall be noted that such situation is observed despite of tax reduction and the lowest unemployment level since 1969.

Investors worry about such modest market recovery. Inventory of new houses increases, however, it is getting more and more expensive amid workforce deficit, rising interest rates and higher commodity costs. Experts are concerned that lower affordability will hit demand. Sales of secondary owned properties are slowing down.

Builders rely on millenials, but although they are buying more, they also are more price sensitive.

In August new building permits for single-family houses showed the biggest slump in seven years. Permits for building multi-family houses have been declining for five months already.

Experts forecast that this year house sales will be slightly lower than last year. First time in eight year investments in residential housing will cause reduction in GDP growth for the full year.