–Starts Mixed Across Regions; Permits at 597k – Up Only in South
By Joseph Plocek
WASHINGTON (MNI) – The U.S. July housing starts data were a little
better than expected, but show the construction market stalling at a
modest pace.
July housing starts printed -1.5% to 604,000 and permits -3.2% to
597,000, with the approximate balance between the two readings
suggesting the housing market will not move much ahead.
Starts were uneven, at +34.7% overall in the Northeast and with
multi-family units up in the South and 1-families gaining 4.6% in the
West. Starts dropped in the Midwest and 1-families were down 4.2% in the
South.
Permits rose only in the South (+3.6% overall) and in an oddity in
contrast with the area starts gain were down 18.3% in the Northeast for
a second good drop.
There were 636,000 housing completions (+11.8%) and 413,000 units
under construction during the month, hardly robust but good enough to
show construction progress. Overall, the numbers were a little better
than expectations but in a broad stall.
Seasonal adjustment, of course, removes some of the froth from the
summer housing market, as it is typical that good weather encourages
building. Unadjusted starts are running about 10% better than the
reported pace. And unadjusted starts are up 9.4% over last year.
**Market News International Washington Bureau: (202)371-2121**
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