Housing Starts U.S. Economic Indicators
In October U.S. housing starts soared by 8.1 % on the seasonally adjusted basis to annual rate of 1,530,000 units, an increase of 115,000 units from 1,415,000 in September, reported by the Department of Housing and Urban Development. Most of growth took place in the Midwest and it was concentrated in multi-dwelling buildings such as apartments.
New building went up 32.7 % to annual rate of 219,000 units in the Midwest while the construction of multi-family units grew 14.3 % accounting for 22.94 % of total construction. As demand for renting apartments increases.
The government cautions that its monthly housing data are volatile and subject to large sampling and other statistical errors. In most months, the government can't be sure whether starts increased or decreased.
Despite recent growth, new construction of homes is still below the average level of 1,185,571 units.Permits decreased by -0.5 % or 8,000 units to an annual rate of 1,530,000 units, from 1,415,000 in September on the seasonally adjusted basis Demand for building permits fell the most in the Northeast and it was concentrated in multi-dwelling buildings such as apartments.
The issuance of new permits declined -11.3 % to annual rate of 78,000 units in the Northeast while the permits for multi-family units decreased -2.1 % accounting for 22.94 % of total building permits issued.
Permits indicate whether demand for new homes is growing or slowing. Over the past 12 months, monthly building permits grew by 5.7 %
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From Oct. 2019, housing starts jumped by 14.2 %, led by construction of homes in the South by 24.1 %.
|
| Permits By Region |
- In Northeast
housing units were authorized at seasonally adjusted annual rate of 134,000
units, an
decrease of 17,000
units,
or -11.26 % from 151,000
units Sep. 2020 and an
decrease of -2.90 % from 138,000
units Oct. 2019.
- In
Midwest housing units were authorized at seasonally
adjusted annual rate of 213,000
units, an
increase of
7,000
units,
or
3.40 % from 206,000
units Sep. 2020 and an
increase of
18.99 % from 179,000
units Oct. 2019.
- In
West housing units were authorized at seasonally adjusted
annual rate of 377,000
units, an
decrease of
5,000
units,
or
-1.31 % from 382,000
units Sep. 2020 and an
increase of
1.62 % from 371,000
units Oct. 2019.
|
- In
South housing units were authorized at seasonally adjusted annual rate of 821,000
units, an
increase of 7,000
units,
or 0.86 % from 814,000
units Sep. 2020 and an
increase of 6.21 % from 773,000
units Oct. 2019.
|
New Housing Units Authorized
(Seasonally adj., at Annual Rate, units), units) |
Oct. 2020
prel. |
Sep. 2020
prel. |
Aug. 2020
prel. |
July 2020
prel. |
June 2020
prel. |
| Total |
|
1,545,000 |
1,553,000 |
1,470,000 |
1,495,000 |
1,241,000 |
| In structures Single-family units |
|
1,120,000 |
1,119,000 |
1,036,000 |
983,000 |
834,000 |
| In structures with 2 - 4 units |
|
60,000 |
44,000 |
53,000 |
45,000 |
39,000 |
| In structures with 5 units or more |
|
365,000 |
390,000 |
381,000 |
467,000 |
368,000 |
| Northeast |
|
134,000 |
151,000 |
119,000 |
140,000 |
121,000 |
| Midwest |
|
213,000 |
206,000 |
188,000 |
224,000 |
183,000 |
| South |
|
821,000 |
814,000 |
795,000 |
754,000 |
655,000 |
| West |
|
377,000 |
382,000 |
368,000 |
377,000 |
282,000 |
New Housing Units Authorized
(Seasonally adj., at Annual Rate, units), in M / M) |
Oct. 2020
prel. |
Sep. 2020
prel. |
Aug. 2020
prel. |
July 2020
prel. |
June 2020
prel. |
| Total |
-0.52 % |
5.65 % |
-1.67 % |
20.47 % |
1.72 % |
| In structures Single-family units |
0.09 % |
8.01 % |
5.39 % |
17.87 % |
11.95 % |
| In structures with 2 - 4 units |
36.36 % |
-16.98 % |
17.78 % |
15.38 % |
-4.88 % |
| In structures with 5 units
or more |
-6.41 % |
2.36 % |
-18.42 % |
26.9 % |
-15.21 % |
| Northeast |
-11.26 % |
26.89 % |
-15 % |
15.7 % |
9.01 % |
| Midwest |
3.4 % |
9.57 % |
-16.07 % |
22.4 % |
9.58 % |
| South |
0.86 % |
2.39 % |
5.44 % |
15.11 % |
-0.61 % |
| West |
-1.31 % |
3.8 % |
-2.39 % |
33.69 % |
-0.35 % |
New Housing Units Authorized
(Seasonally adj., at Annual Rate, units), in % Y/Y) |
Oct. 2020
prel. |
Sep. 2020
prel. |
Aug. 2020
prel. |
July 2020
prel. |
June 2020
prel. |
| Total |
5.75 % |
11.97 % |
3.59 % |
13.52 % |
1.72 % |
| In structures Single-family units |
22.94 % |
26.87 % |
19.63 % |
18.58 % |
2.58 % |
| In structures with 2 - 4 units |
25 % |
25.71 % |
20.45 % |
0 % |
-17.02 % |
| In structures with 5 units
or more |
-27.29 % |
-17.02 % |
-25.15 % |
5.42 % |
2.22 % |
| Northeast |
-2.9 % |
33.63 % |
-21.19 % |
17.65 % |
3.42 % |
| Midwest |
18.99 % |
17.05 % |
-0.53 % |
35.76 % |
6.4 % |
| South |
6.21 % |
11.2 % |
6.28 % |
11.87 % |
5.99 % |
| West |
1.62 % |
4.37 % |
11.18 % |
5.01 % |
-9.9 % |
New Housing Units Started
(Seasonally adj., at Annual Rate, units) |
Oct. 2020
prel. |
Sep. 2020
prel. |
Aug. 2020
prel. |
July 2020
prel. |
June 2020
prel. |
| Total |
|
1,530,000 |
1,415,000 |
1,416,000 |
1,496,000 |
1,186,000 |
| In structures Single-family units |
|
1,179,000 |
1,108,000 |
1,021,000 |
940,000 |
831,000 |
| In structures with 2 - 4 units |
|
17,000 |
12,000 |
20,000 |
9,000 |
5,000 |
| In structures with 5 units or more |
|
334,000 |
295,000 |
375,000 |
547,000 |
350,000 |
| Northeast |
|
78,000 |
145,000 |
89,000 |
157,000 |
105,000 |
| Midwest |
|
219,000 |
165,000 |
267,000 |
201,000 |
181,000 |
| South |
|
859,000 |
755,000 |
699,000 |
830,000 |
606,000 |
| West |
|
374,000 |
350,000 |
361,000 |
308,000 |
294,000 |
New Housing Units Started
(Seasonally adj. at Annual Rate, units), in Y / Y) |
Oct. 2020
prel. |
Sep. 2020
prel. |
Aug. 2020
prel. |
July 2020
prel. |
June 2020
prel. |
| Total |
8.13 % |
-0.07 % |
-5.35 % |
26.14 % |
21.77 % |
| In structures Single-family units |
6.41 % |
8.52 % |
8.62 % |
13.12 % |
23.11 % |
| In structures with 2 - 4 units |
41.67 % |
-40 % |
122.22 % |
80 % |
-37.5 % |
| In structures with 5 units
or more |
13.22 % |
-21.33 % |
-31.44 % |
56.29 % |
20.27 % |
| Northeast |
-46.21 % |
62.92 % |
-43.31 % |
49.52 % |
98.11 % |
| Midwest |
32.73 % |
-38.2 % |
32.84 % |
11.05 % |
36.09 % |
| South |
13.77 % |
8.01 % |
-15.78 % |
36.96 % |
26.51 % |
| West |
6.86 % |
-3.05 % |
17.21 % |
4.76 % |
-4.85 % |
New Housing Units Started
(Seasonally adj. at Annual Rate, in % Y/Y) |
Oct. 2020
prel. |
Sep. 2020
prel. |
Aug. 2020
prel. |
July 2020
prel. |
June 2020
prel. |
| Total |
14.18 % |
12.66 % |
3.81 % |
9.68 % |
-5.35 % |
| In structures Single-family units |
28.99 % |
20.7 % |
11.1 % |
2.29 % |
-1.89 % |
| In structures with 2 - 4 units |
41.67 % |
9.09 % |
-4.76 % |
-57.14 % |
-50 % |
| In structures with 5 units
or more |
-19.32 % |
-9.79 % |
-11.56 % |
29.01 % |
-11.62 % |
| Northeast |
-32.17 % |
33.03 % |
-28.23 % |
26.61 % |
-3.67 % |
| Midwest |
22.35 % |
-1.2 % |
27.14 % |
-4.29 % |
-8.12 % |
| South |
24.13 % |
11.69 % |
-1.69 % |
16.74 % |
-4.57 % |
| West |
5.65 % |
15.13 % |
13.17 % |
-3.45 % |
-5.77 % |
New Housing Units Authorized
(Not seasonally adjusted, units) |
Oct. 2020
prel. |
Sep. 2020
prel. |
Aug. 2020
prel. |
July 2020
prel. |
June 2020
prel. |
| Total |
|
133,000 |
134,200 |
125,500 |
136,400 |
122,200 |
| In structures Single-family units |
|
94,500 |
95,300 |
89,600 |
92,700 |
83,600 |
| In structures with 2 - 4 units |
|
5,400 |
4,000 |
4,700 |
4,200 |
3,900 |
| In structures with 5 units or more |
|
33,100 |
34,900 |
31,200 |
39,600 |
34,800 |
| Northeast |
|
11,600 |
13,600 |
9,900 |
13,000 |
12,900 |
| Midwest |
|
21,300 |
19,800 |
17,600 |
21,300 |
18,400 |
| South |
|
67,800 |
69,000 |
68,000 |
69,100 |
62,600 |
| West |
|
32,300 |
31,800 |
30,000 |
33,100 |
28,300 |
New Housing Units Authorized
(Not seasonally adjusted, in Y / Y) |
Oct. 2020
prel. |
Sep. 2020
prel. |
Aug. 2020
prel. |
July 2020
prel. |
June 2020
prel. |
| Total |
-0.89 % |
6.93 % |
-7.99 % |
11.62 % |
16.27 % |
| In structures Single-family units |
-0.84 % |
6.36 % |
-3.34 % |
10.89 % |
26.48 % |
| In structures with 2 - 4 units |
35 % |
-14.89 % |
11.9 % |
7.69 % |
18.18 % |
| In structures with 5 units
or more |
-5.16 % |
11.86 % |
-21.21 % |
13.79 % |
-2.52 % |
| Northeast |
-14.71 % |
37.37 % |
-23.85 % |
0.78 % |
38.71 % |
| Midwest |
7.58 % |
12.5 % |
-17.37 % |
15.76 % |
17.2 % |
| South |
-1.74 % |
1.47 % |
-1.59 % |
10.38 % |
12.19 % |
| West |
1.57 % |
6 % |
-9.37 % |
16.96 % |
16.94 % |
New Housing Units Authorized
(Not seasonally adjusted, in % Y/Y) |
Oct. 2020
prel. |
Sep. 2020
prel. |
Aug. 2020
prel. |
July 2020
prel. |
June 2020
prel. |
| Total |
0.99 % |
17.41 % |
-1.18 % |
14.81 % |
10.99 % |
| In structures Single-family units |
18.42 % |
34.99 % |
14.72 % |
18.54 % |
12.82 % |
| In structures with 2 - 4 units |
28.57 % |
33.33 % |
14.63 % |
5 % |
-11.36 % |
| In structures with 5 units
or more |
-30.61 % |
-14.04 % |
-30.51 % |
8.49 % |
10.13 % |
| Northeast |
-10.08 % |
40.21 % |
-23.26 % |
17.12 % |
14.16 % |
| Midwest |
11.52 % |
20.73 % |
-4.86 % |
35.67 % |
17.95 % |
| South |
1.04 % |
17.15 % |
2.72 % |
13.46 % |
16.14 % |
| West |
-0.92 % |
8.53 % |
1.69 % |
6.77 % |
-3.41 % |
New Housing Units Started
(Not seas. adj. at Annual Rate, units) |
Oct. 2020
prel. |
Sep. 2020
prel. |
Aug. 2020
prel. |
July 2020
prel. |
June 2020
prel. |
| Total |
|
132,000 |
125,000 |
127,300 |
139,400 |
112,200 |
| In structures Single-family units |
|
101,000 |
97,300 |
93,200 |
89,300 |
81,600 |
| In structures with 2 - 4 units |
|
1,400 |
1,000 |
1,700 |
700 |
400 |
| In structures with 5 units or more |
|
29,600 |
26,700 |
32,400 |
49,400 |
30,200 |
| Northeast |
|
7,300 |
13,300 |
7,800 |
15,300 |
10,400 |
| Midwest |
|
21,400 |
15,900 |
24,600 |
20,000 |
18,100 |
| South |
|
71,300 |
65,500 |
62,100 |
75,200 |
56,500 |
| West |
|
32,000 |
30,400 |
32,700 |
28,900 |
27,300 |
New Housing Units Started
(Not seas. adj. at Annual Rate, in Y / Y) |
Oct. 2020
prel. |
Sep. 2020
prel. |
Aug. 2020
prel. |
July 2020
prel. |
June 2020
prel. |
| Total |
5.6 % |
-1.81 % |
-8.68 % |
24.24 % |
25.64 % |
| In structures Single-family units |
3.8 % |
4.4 % |
4.37 % |
9.44 % |
30.35 % |
| In structures with 2 - 4 units |
40 % |
-41.18 % |
142.86 % |
75 % |
-42.86 % |
| In structures with 5 units
or more |
10.86 % |
-17.59 % |
-34.41 % |
63.58 % |
16.15 % |
| Northeast |
-45.11 % |
70.51 % |
-49.02 % |
47.12 % |
116.67 % |
| Midwest |
34.59 % |
-35.37 % |
23 % |
10.5 % |
36.09 % |
| South |
8.85 % |
5.48 % |
-17.42 % |
33.1 % |
32.01 % |
| West |
5.26 % |
-7.03 % |
13.15 % |
5.86 % |
-3.87 % |
New Housing Units Started
(Not seas. adj. at Annual Rate, in % Y/Y) |
Oct. 2020
prel. |
Sep. 2020
prel. |
Aug. 2020
prel. |
July 2020
prel. |
June 2020
prel. |
| Total |
14.98 % |
10.72 % |
5.12 % |
20.69 % |
-4.51 % |
| In structures Single-family units |
31.51 % |
20.57 % |
12.97 % |
5.18 % |
0 % |
| In structures with 2 - 4 units |
27.27 % |
-9.09 % |
-10.53 % |
-30 % |
-55.56 % |
| In structures with 5 units
or more |
-19.78 % |
-14.15 % |
-11.72 % |
66.89 % |
-13.71 % |
| Northeast |
-31.13 % |
29.13 % |
-29.73 % |
64.52 % |
1.96 % |
| Midwest |
25.15 % |
-3.05 % |
27.46 % |
9.89 % |
-8.12 % |
| South |
25.53 % |
10.08 % |
0.49 % |
30.78 % |
-2.42 % |
| West |
5.96 % |
13.43 % |
13.15 % |
-4.93 % |
-8.08 % |
Source U.S. Department of Commerce
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