US Housing Starts Fall More Than Expected


Housing starts in the United States slumped 6.8 percent from the previous month to a seasonally adjusted annualized rate of 1215 thousand in March of 2017, following an upwardly revised 1303 thousand in the previous month and much worse than market expectations of a 3 percent drop. It is the lowest rate in four months, led by drops in the Midwest.

Single-family housing starts, the largest segment of the market shrank 6.2 percent to 821 thousand. In addition, the volatile multi-family segment declined 6.1 percent to 385 thousand. Starts slumped in the Midwest (-16.2 percent to 155 thousand), the West (-16 percent to 284 thousand) and the South (-2.9 percent to 645 thousand) but rose 12.9 percent in the Northeast (to 131 thousand). 

Building permits increased 3.6 percent to a seasonally adjusted annual rate of 1260 thousand, more than market expectations of a 2.8 percent rise. Building permits for multi-family units jumped 18.3 percent to 401 thousand while single-family authorizations dropped 1.1 percent to 823 thousand. Permits went up in the West (16.7 percent to 315 thousand), the Northeast (15.5 percent to 134 thoudand) and the South (6 percent to 619 thousand) while fell 22 percent to 192 thousand in the Midwest.  


US Housing Starts Fall More Than Expected


U.S. Census Bureau | Joana Taborda | joana.taborda@tradingeconomics.com
4/18/2017 12:54:35 PM