Global| Nov 17 2016U.S. Housing Starts Reach 2007 High; Permits Improve
by:Tom Moeller
|in:Economy in Brief
Summary
Housing starts increased 25.5% (23.3% y/y) during October to 1.323 million (AR) following a September decline to 1.054 million, revised from 1.047 million. It was the highest level of starts since August 2007. Expectations were for [...]
Housing starts increased 25.5% (23.3% y/y) during October to 1.323 million (AR) following a September decline to 1.054 million, revised from 1.047 million. It was the highest level of starts since August 2007. Expectations were for 1.155 million starts in the Action Economics Forecast Survey.
Starts of single-family homes increased 10.7% (21.7% y/y) to 869,000 from 785,000. It too was the highest level since 2007. Starts of multi-family units rebounded by more than two-thirds (26.5% y/y) to 454,000 from 269,000. It was the highest level since June of last year.
By region, starts in the Northeast jumped 44.8% (2.2% y/y) to 139,000 following a 28.4% drop. Starts in the Midwest increased 44.1% (24.4% y/y) to 219,000 after a 9.5% decline. Starts in the West improved 23.2% (40.2% y/y) to 345,000 after a 7.0% decline. Starts in the South gained 17.9% (20.4% y/y) to 620,000 following a 53.8% drop.
Building permits nudged 0.3% higher (4.6% y/y) to 1.229 million on the heels of a 6.3% rise. It was the highest level of permits since November. Single-family permits increased 2.7% (5.1% y/y) to 762,000, but multi-family permits declined 3.3% (+3.8% y/y) to 467,000.
The housing starts and permits figures can be found in Haver's USECON database. The expectations figure is contained in the AS1REPNA database.
| Housing Starts (000s, SAAR) | Oct | Sep | Aug | Oct Y/Y % | 2015 | 2014 | 2013 |
|---|---|---|---|---|---|---|---|
| Total | 1,323 | 1,054 | 1,164 | 23.3 | 1,107 | 1,001 | 928 |
| Single-Family | 869 | 785 | 724 | 21.7 | 713 | 648 | 618 |
| Multi-Family | 454 | 269 | 440 | 26.5 | 395 | 356 | 307 |
| Starts By Region | |||||||
| Northeast | 139 | 96 | 134 | 2.2 | 136 | 110 | 97 |
| Midwest | 219 | 152 | 168 | 24.4 | 151 | 163 | 150 |
| South | 620 | 526 | 561 | 20.4 | 555 | 496 | 464 |
| West | 345 | 280 | 301 | 40.2 | 265 | 235 | 215 |
| Building Permits | 1,229 | 1,225 | 1,152 | 4.6 | 1,164 | 1,052 | 991 |
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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