Housing starts accelerates
Housing Starts U.S. Economic Indicators
Housing starts increased on the faster pace again, as strength in the U.S. economy becomes more evident.
U.S. housing starts grew in double digits in July by 26.1 % on the seasonally adjusted basis to annual rate of 1,496,000 units, an increase of 310,000 units from 1,186,000 in June, reported by the U.S. Department of Housing and Urban Development. Construction of new homes in U.S. increased across many sectors including, multi-family housing units, northeast and midwest.
Housing normally has a wide-ranging influence on the rest of the economy because so many raw materials and finished goods are required to build homes and furnish them after sale. From July 2019, housing starts jumped by 9.7 %, where construction in the Northeast grew the most, by 26.6 %.
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Permits have increased by higher rate than in previous period, permits grew in double digits by 20.5 % or 254,000 units to an annual rate of 1,496,000 units, from 1,186,000 in June on the seasonally adjusted basis Most of growth took place in the West and it was concentrated in multi-dwelling buildings such as apartments.
New permits went up 33.7 % to annual rate of 830,000 units in the West while permits for multi-family units grew 25.8 % accounting for 37.17 % of total permits issued.
Permits give an indication of whether demand for new homes is growing or slowing. Compare to a year ago monthly building permits jumped by 13.5 %
|
| Permits By Region |
- In Northeast
housing units were authorized at seasonally adjusted annual rate of 140,000
units, an
increase of 19,000
units,
or 15.70 % from 121,000
units June 2020 and an
increase of 17.65 % from 119,000
units July 2019.
- In
Midwest housing units were authorized at seasonally
adjusted annual rate of 224,000
units, an
increase of
41,000
units,
or
22.40 % from 183,000
units June 2020 and an
increase of
35.76 % from 165,000
units July 2019.
- In
West housing units were authorized at seasonally adjusted
annual rate of 377,000
units, an
increase of
95,000
units,
or
33.69 % from 282,000
units June 2020 and an
increase of
5.01 % from 359,000
units July 2019.
|
- In
South housing units were authorized at seasonally adjusted annual rate of 754,000
units, an
increase of 99,000
units,
or 15.11 % from 655,000
units June 2020 and an
increase of 11.87 % from 674,000
units July 2019.
|
New Housing Units Authorized
(Seasonally adj., at Annual Rate, units), units) |
July 2020
prel. |
June 2020
prel. |
May 2020
prel. |
April 2020
prel. |
March 2020
prel. |
| Total |
|
1,495,000 |
1,241,000 |
1,220,000 |
1,066,000 |
1,353,000 |
| In structures Single-family units |
|
983,000 |
834,000 |
745,000 |
666,000 |
884,000 |
| In structures with 2 - 4 units |
|
45,000 |
39,000 |
41,000 |
33,000 |
46,000 |
| In structures with 5 units or more |
|
467,000 |
368,000 |
434,000 |
367,000 |
423,000 |
| Northeast |
|
140,000 |
121,000 |
111,000 |
61,000 |
122,000 |
| Midwest |
|
224,000 |
183,000 |
167,000 |
141,000 |
178,000 |
| South |
|
754,000 |
655,000 |
659,000 |
612,000 |
712,000 |
| West |
|
377,000 |
282,000 |
283,000 |
252,000 |
341,000 |
New Housing Units Authorized
(Seasonally adj., at Annual Rate, units), in M / M) |
July 2020
prel. |
June 2020
prel. |
May 2020
prel. |
April 2020
prel. |
March 2020
prel. |
| Total |
20.47 % |
1.72 % |
14.45 % |
-21.21 % |
-6.82 % |
| In structures Single-family units |
17.87 % |
11.95 % |
11.86 % |
-24.66 % |
-12.04 % |
| In structures with 2 - 4 units |
15.38 % |
-4.88 % |
24.24 % |
-28.26 % |
2.22 % |
| In structures with 5 units
or more |
26.9 % |
-15.21 % |
18.26 % |
-13.24 % |
5.22 % |
| Northeast |
15.7 % |
9.01 % |
81.97 % |
-50 % |
-7.58 % |
| Midwest |
22.4 % |
9.58 % |
18.44 % |
-20.79 % |
-12.75 % |
| South |
15.11 % |
-0.61 % |
7.68 % |
-14.04 % |
-3.13 % |
| West |
33.69 % |
-0.35 % |
12.3 % |
-26.1 % |
-10.5 % |
New Housing Units Authorized
(Seasonally adj., at Annual Rate, units), in % Y/Y) |
July 2020
prel. |
June 2020
prel. |
May 2020
prel. |
April 2020
prel. |
March 2020
prel. |
| Total |
13.52 % |
1.72 % |
-5.72 % |
-17.75 % |
6.62 % |
| In structures Single-family units |
18.58 % |
2.58 % |
-8.59 % |
-14.83 % |
9.41 % |
| In structures with 2 - 4 units |
0 % |
-17.02 % |
10.81 % |
-29.79 % |
27.78 % |
| In structures with 5 units
or more |
5.42 % |
2.22 % |
-1.81 % |
-21.41 % |
-0.47 % |
| Northeast |
17.65 % |
3.42 % |
20.65 % |
-49.17 % |
0 % |
| Midwest |
35.76 % |
6.4 % |
-4.02 % |
-25 % |
-3.78 % |
| South |
11.87 % |
5.99 % |
-4.91 % |
-5.7 % |
10.56 % |
| West |
5.01 % |
-9.9 % |
-15.52 % |
-25.66 % |
7.23 % |
New Housing Units Started
(Seasonally adj., at Annual Rate, units) |
July 2020
prel. |
June 2020
prel. |
May 2020
prel. |
April 2020
prel. |
March 2020
prel. |
| Total |
|
1,496,000 |
1,186,000 |
974,000 |
934,000 |
1,216,000 |
| In structures Single-family units |
|
940,000 |
831,000 |
675,000 |
674,000 |
856,000 |
| In structures with 2 - 4 units |
|
9,000 |
5,000 |
8,000 |
11,000 |
13,000 |
| In structures with 5 units or more |
|
547,000 |
350,000 |
291,000 |
249,000 |
347,000 |
| Northeast |
|
157,000 |
105,000 |
53,000 |
47,000 |
69,000 |
| Midwest |
|
201,000 |
181,000 |
133,000 |
135,000 |
153,000 |
| South |
|
830,000 |
606,000 |
479,000 |
570,000 |
693,000 |
| West |
|
308,000 |
294,000 |
309,000 |
182,000 |
301,000 |
New Housing Units Started
(Seasonally adj. at Annual Rate, units), in Y / Y) |
July 2020
prel. |
June 2020
prel. |
May 2020
prel. |
April 2020
prel. |
March 2020
prel. |
| Total |
26.14 % |
21.77 % |
4.28 % |
-23.19 % |
-22.25 % |
| In structures Single-family units |
13.12 % |
23.11 % |
0.15 % |
-21.26 % |
-17.45 % |
| In structures with 2 - 4 units |
80 % |
-37.5 % |
-27.27 % |
-15.38 % |
-18.75 % |
| In structures with 5 units
or more |
56.29 % |
20.27 % |
16.87 % |
-28.24 % |
-32.09 % |
| Northeast |
49.52 % |
98.11 % |
12.77 % |
-31.88 % |
-42.5 % |
| Midwest |
11.05 % |
36.09 % |
-1.48 % |
-11.76 % |
-21.54 % |
| South |
36.96 % |
26.51 % |
-15.96 % |
-17.75 % |
-21.34 % |
| West |
4.76 % |
-4.85 % |
69.78 % |
-39.53 % |
-18.21 % |
New Housing Units Started
(Seasonally adj. at Annual Rate, in % Y/Y) |
July 2020
prel. |
June 2020
prel. |
May 2020
prel. |
April 2020
prel. |
March 2020
prel. |
| Total |
9.68 % |
-5.35 % |
-23.25 % |
-24.37 % |
6.76 % |
| In structures Single-family units |
2.29 % |
-1.89 % |
-17.68 % |
-21.08 % |
9.04 % |
| In structures with 2 - 4 units |
-57.14 % |
-50 % |
-38.46 % |
-50 % |
-23.53 % |
| In structures with 5 units
or more |
29.01 % |
-11.62 % |
-33.26 % |
-30.64 % |
2.97 % |
| Northeast |
26.61 % |
-3.67 % |
-27.4 % |
-67.36 % |
-19.77 % |
| Midwest |
-4.29 % |
-8.12 % |
-16.88 % |
-27.42 % |
16.79 % |
| South |
16.74 % |
-4.57 % |
-31.96 % |
-1.89 % |
14.74 % |
| West |
-3.45 % |
-5.77 % |
-6.93 % |
-43.83 % |
-5.35 % |
New Housing Units Authorized
(Not seasonally adjusted, units) |
July 2020
prel. |
June 2020
prel. |
May 2020
prel. |
April 2020
prel. |
March 2020
prel. |
| Total |
|
136,400 |
122,200 |
105,100 |
96,000 |
116,000 |
| In structures Single-family units |
|
92,700 |
83,600 |
66,100 |
63,300 |
78,300 |
| In structures with 2 - 4 units |
|
4,200 |
3,900 |
3,300 |
2,800 |
4,000 |
| In structures with 5 units or more |
|
39,600 |
34,800 |
35,700 |
29,800 |
33,700 |
| Northeast |
|
13,000 |
12,900 |
9,300 |
4,900 |
9,600 |
| Midwest |
|
21,300 |
18,400 |
15,700 |
13,800 |
14,000 |
| South |
|
69,100 |
62,600 |
55,800 |
54,600 |
62,700 |
| West |
|
33,100 |
28,300 |
24,200 |
22,700 |
29,600 |
New Housing Units Authorized
(Not seasonally adjusted, in Y / Y) |
July 2020
prel. |
June 2020
prel. |
May 2020
prel. |
April 2020
prel. |
March 2020
prel. |
| Total |
11.62 % |
16.27 % |
9.48 % |
-17.24 % |
15.77 % |
| In structures Single-family units |
10.89 % |
26.48 % |
4.42 % |
-19.16 % |
10.59 % |
| In structures with 2 - 4 units |
7.69 % |
18.18 % |
17.86 % |
-30 % |
25 % |
| In structures with 5 units
or more |
13.79 % |
-2.52 % |
19.8 % |
-11.57 % |
28.63 % |
| Northeast |
0.78 % |
38.71 % |
89.8 % |
-48.96 % |
21.52 % |
| Midwest |
15.76 % |
17.2 % |
13.77 % |
-1.43 % |
35.92 % |
| South |
10.38 % |
12.19 % |
2.2 % |
-12.92 % |
13.79 % |
| West |
16.96 % |
16.94 % |
6.61 % |
-23.31 % |
10.04 % |
New Housing Units Authorized
(Not seasonally adjusted, in % Y/Y) |
July 2020
prel. |
June 2020
prel. |
May 2020
prel. |
April 2020
prel. |
March 2020
prel. |
| Total |
14.81 % |
10.99 % |
-15.24 % |
-19.53 % |
11.65 % |
| In structures Single-family units |
18.54 % |
12.82 % |
-18.6 % |
-15.94 % |
14.81 % |
| In structures with 2 - 4 units |
5 % |
-11.36 % |
0 % |
-33.33 % |
42.86 % |
| In structures with 5 units
or more |
8.49 % |
10.13 % |
-9.39 % |
-25.13 % |
2.74 % |
| Northeast |
17.12 % |
14.16 % |
4.49 % |
-51 % |
4.35 % |
| Midwest |
35.67 % |
17.95 % |
-13.26 % |
-25 % |
0.72 % |
| South |
13.46 % |
16.14 % |
-14.55 % |
-8.08 % |
15.47 % |
| West |
6.77 % |
-3.41 % |
-23.42 % |
-27.71 % |
11.7 % |
New Housing Units Started
(Not seas. adj. at Annual Rate, units) |
July 2020
prel. |
June 2020
prel. |
May 2020
prel. |
April 2020
prel. |
March 2020
prel. |
| Total |
|
139,400 |
112,200 |
89,300 |
84,800 |
100,100 |
| In structures Single-family units |
|
89,300 |
81,600 |
62,600 |
62,600 |
71,700 |
| In structures with 2 - 4 units |
|
700 |
400 |
700 |
900 |
1,100 |
| In structures with 5 units or more |
|
49,400 |
30,200 |
26,000 |
21,300 |
27,300 |
| Northeast |
|
15,300 |
10,400 |
4,800 |
4,200 |
5,200 |
| Midwest |
|
20,000 |
18,100 |
13,300 |
12,400 |
10,700 |
| South |
|
75,200 |
56,500 |
42,800 |
51,300 |
58,900 |
| West |
|
28,900 |
27,300 |
28,400 |
16,900 |
25,300 |
New Housing Units Started
(Not seas. adj. at Annual Rate, in Y / Y) |
July 2020
prel. |
June 2020
prel. |
May 2020
prel. |
April 2020
prel. |
March 2020
prel. |
| Total |
24.24 % |
25.64 % |
5.31 % |
-15.28 % |
-10.06 % |
| In structures Single-family units |
9.44 % |
30.35 % |
0 % |
-12.69 % |
-1.65 % |
| In structures with 2 - 4 units |
75 % |
-42.86 % |
-22.22 % |
-18.18 % |
-8.33 % |
| In structures with 5 units
or more |
63.58 % |
16.15 % |
22.07 % |
-21.98 % |
-26.61 % |
| Northeast |
47.12 % |
116.67 % |
14.29 % |
-19.23 % |
-30.67 % |
| Midwest |
10.5 % |
36.09 % |
7.26 % |
15.89 % |
0.94 % |
| South |
33.1 % |
32.01 % |
-16.57 % |
-12.9 % |
-12.09 % |
| West |
5.86 % |
-3.87 % |
68.05 % |
-33.2 % |
-3.44 % |
New Housing Units Started
(Not seas. adj. at Annual Rate, in % Y/Y) |
July 2020
prel. |
June 2020
prel. |
May 2020
prel. |
April 2020
prel. |
March 2020
prel. |
| Total |
20.69 % |
-4.51 % |
-24.77 % |
-25.68 % |
7.29 % |
| In structures Single-family units |
5.18 % |
0 % |
-20.05 % |
-22.91 % |
9.47 % |
| In structures with 2 - 4 units |
-30 % |
-55.56 % |
-41.67 % |
-52.63 % |
-15.38 % |
| In structures with 5 units
or more |
66.89 % |
-13.71 % |
-33.67 % |
-31.29 % |
3.02 % |
| Northeast |
64.52 % |
1.96 % |
-27.27 % |
-66.93 % |
-20 % |
| Midwest |
9.89 % |
-8.12 % |
-18.4 % |
-29.55 % |
15.05 % |
| South |
30.78 % |
-2.42 % |
-34.46 % |
-4.47 % |
15.26 % |
| West |
-4.93 % |
-8.08 % |
-7.19 % |
-43.85 % |
-4.17 % |
Source U.S. Department of Commerce
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