US Housing Starts at Near 11-Year High


Housing starts in the US jumped 5 percent month-over-month to an annualized rate of 1,350 thousand in May of 2018, following a downwardly revised 3.1 percent fall in April. It is the highest rate since July of 2007, mainly due to a rebound in the multi-family segment. It compares with market expectations of 1,310 thousand rate.

The volatile multi-family segment jumped 11.3 percent to 404 thousand and single-family starts, the largest segment of the market, went up 3.9 percent to 936 thousand. Overall, housing starts surged in the Midwest (62.2 percent to 266 thousand) but fell in the South (-0.9 percent to 653 thousand), the West (-4.1 percent to 329 thousand) and the Northeast (-15 percent to 102 thousand).

Building permits fell 4.6 percent to a seasonally adjusted annual rate of 1,301 thousand, while markets were expecting a smaller 1.4 percent drop to 1,350 thousand. Multi-family authorizations declined 8.8 percent to 457 thousand and single-family permits went down 2.2 percent to 844 thousand. Overall, building permits fell in the South (-13.9 percent to 626 thousand) and in the West (-4.6 percent to 331 thousand) but jumped in the Midwest (7.2 percent to 209 thousand) and the Northeast (42.1 percent to 135 thousand). 

US Housing Starts at Near 11-Year High


Census Bureau | Joana Taborda | joana.taborda@tradingeconomics.com
6/19/2018 1:01:30 PM