Global| Aug 16 2017U.S. Housing Starts & Building Permits Decline
by:Tom Moeller
|in:Economy in Brief
Summary
Total housing starts fell 4.8% to 1.155 million units (AR, -5.4% y/y) during July. That reversed most of June's rise to 1.213 million units, revised from 1.215 million. Starts of 1.220 million had been expected in the Action Economic [...]
Total housing starts fell 4.8% to 1.155 million units (AR, -5.4% y/y) during July. That reversed most of June's rise to 1.213 million units, revised from 1.215 million. Starts of 1.220 million had been expected in the Action Economic Forecast Survey.
Last month's decline was led by a 15.3% drop in multi-family starts to 299,000 (-34.5% y/y). Single-family starts eased 0.5% to 856,000 (+11.7% y/y).
By region, starts in the Northeast declined 15.7% (-3.1% y/y) to 129,000 led by 32.6% fewer multi-family starts. In the Midwest, starts declined 15.2% (+14.0% y/y) to 179,000, also led by a 29.3% drop in multi-family starts. Starts in the West eased 1.6% (+7.0% y/y) to 315,000, where multi-family starts rose 3.6%. Starts in the South improved 0.6% to 532,000 (-17.0% y/y), though multi-family starts fell 7.9%.
Building permits declined 4.1% (+2.6% y/y) to 1.223 million from 1.275 million in June. Permits to build single-family homes held steady at 811,000 (+12.9% y/y), while multi-family permits fell 11.2% (-14.7% y/y) to 412,000.
The housing starts and permits figures can be found in Haver's USECON database. The expectations figure is contained in the AS1REPNA database.
The minutes to the latest FOMC meeting can be found here.
| Housing Starts (000s, SAAR) | Jul | Jun | May | Jul Y/Y % | 2016 | 2015 | 2014 |
|---|---|---|---|---|---|---|---|
| Total | 1,155 | 1,213 | 1,129 | -5.4 | 1,17 | 1,107 | 1,001 |
| Single-Family | 856 | 860 | 795 | 11.7 | 784 | 712 | 647 |
| Multi-Family | 299 | 353 | 334 | -34.5 | 393 | 395 | 355 |
| Starts By Region | |||||||
| Northeast | 129 | 153 | 85 | -3.1 | 116 | 136 | 109 |
| Midwest | 179 | 211 | 165 | 14.0 | 185 | 150 | 159 |
| South | 532 | 529 | 564 | -17.0 | 584 | 556 | 497 |
| West | 315 | 320 | 315 | 7.0 | 292 | 265 | 236 |
| Building Permits | 1,223 | 1,275 | 1,168 | 2.6 | 1,207 | 1,178 | 1,053 |
Tom Moeller
AuthorMore in Author Profile »Prior to joining Haver Analytics in 2000, Mr. Moeller worked as the Economist at Chancellor Capital Management from 1985 to 1999. There, he developed comprehensive economic forecasts and interpreted economic data for equity and fixed income portfolio managers. Also at Chancellor, Mr. Moeller worked as an equity analyst and was responsible for researching and rating companies in the economically sensitive automobile and housing industries for investment in Chancellor’s equity portfolio. Prior to joining Chancellor, Mr. Moeller was an Economist at Citibank from 1979 to 1984. He also analyzed pricing behavior in the metals industry for the Council on Wage and Price Stability in Washington, D.C. In 1999, Mr. Moeller received the award for most accurate forecast from the Forecasters' Club of New York. From 1990 to 1992 he was President of the New York Association for Business Economists. Mr. Moeller earned an M.B.A. in Finance from Fordham University, where he graduated in 1987. He holds a Bachelor of Arts in Economics from George Washington University.
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