Housing starts in October were at a seasonally adjusted annual rate of 1,290,000, 13.7% above the revised September estimate of 1,135,000 but 2.9% below the October 2016 rate of 1,328,000, the Commerce Department said Friday.
Single-family housing starts in October were at a rate of 877,000, 5.3% above the revised September figure of 833,000.
Building permits in October were at a seasonally adjusted annual rate of 1,297,000, 5.9% above the revised September rate of 1,225,000 and is 0.9% above the October 2016 rate of 1,285,000. Single-family authorizations in October were at a rate of 839,000, 1.9% above the revised September figure of 823,000.
Housing completions in October were at a seasonally adjusted annual rate of 1,232,000, up 12.6% from the revised September estimate of 1,094,000 and 15.5% above the October 2016 rate of 1,067,000. Single-family housing completions in October were at a rate of 793,000, 2.6% above the revised September rate of 773,000.
National Association of Realtors Chief Economist Lawrence Yun said, “The South region is quickly getting back on its feet with a big jump in new housing starts, after a pause in the prior month from the aftermath of the hurricanes. The Midwest and the Northeast regions also made gains. Only the West region, the very region that is most in need of new supply, experienced fewer housing starts.”
Yun continued, “Overall, the total activity for the country is moving in the right path. More supply will boost future home sales. The West region, however, could experience slowing job growth as affordability conditions worsen from the ongoing inventory shortages that are driving up prices. This could ultimately force residents and potential job seekers to start looking to other parts of the country.”
