Housing starts fell to a worse than expected five percent in June to a seasonally adjusted annual rate of 549,000 according to the U.S. Commerce Department. This represents the lowest level in eight months.
June’s numbers were lower than economists expected.
In June, housing starts dropped in every region, with the biggest drop in the Northeast at 11.3% and down about 76% overall since the industry’s height in 2006.
Building permits, which are considered a forward indicator of housing construction, rose 2.1% on the month, due to a 20% gain in permits for multi-family units.
Permits for single-family homes — considered by many to be the most vital number in Tuesday’s release — fell 3.4% to a seasonally adjusted annual rate of 421,000, the lowest level since April 2009.
The article provided compliments of Paul Cristelli, New Jersey Re/Max Real Estate Agent; (973) 214-3316.
