Housing starts during August eased 3.0% to 1.126 million (AR) from 1.161 million in July, last month reported as 1.206 million. So far this quarter, starts are 1.3% below the Q2 average. The latest figure fell short of expectations for 1.16 million starts in the Action Economics Forecast Survey.

Single-family starts declined 3.0% to 739,000 from 762,000. Multi-family starts also fell 3.0% to 387,000, the lowest level in three months.

Housing starts were mixed m/m throughout the country. Activity in the Northeast fell by one-third to 108,000. In the Midwest, starts declined 9.8% to 157,000. Starts in the West eased 1.1% to 259,000 but in the South starts gained 7.1% to 602,000.

Permits to build housing units rebounded 3.5% to 1.170 million units (+8.9% y/y). They remained, however, at the lowest level since April. Multi-family permits increased 4.7% to 471,000 (9.1% y/y) and single-family permits improved 2.8% to 699,000 (8.7% y/y).

The housing starts figures can be found in Haver's USECON database. The expectations figure is contained in the AS1REPNA database.

Why Has Household Debt Declined? from the Federal Reserve Bank of St. Louis is available here.