–1-Family Starts +3.2%; Areas Mixed With NE and MW Singles Lower
By Joseph Plocek
WASHINGTON (MNI) – The U.S. May housing starts data show continued
housing recovery.
May housing starts printed -4.8% to 708,000, below expectations,
but permits rose 7.9% to 780,000, suggesting a pickup ahead.
Starts are in a seesaw but remain up 28.5% over the year. The May
starts drop reflects continued erratic moves in 5+ units at -24.2%;
these were elevated from February through April.
April starts were revised to 744,000 units, a high since October
2008.
Single starts continue to improve and posted +3.2% in May. Singles
are at their best levels since early 2010. So underlying data are better
than the headlines.
By region, starts printed -20.3% in the Northeast, -13.3% in the
Midwest, -6.1% in the South, and +14.4% in the West. Single-family
starts were up in the South and West, the two largest regions; they fell
in the Northeast and Midwest.
Single-family housing permits continue rising; one exception is
they were steady in the Northeast.
May housing completions were 598,000 and units under construction
467,000. Overall these data show continued housing improvement, although
this sector remains about at half-strength compared to the prior cycle’s
peak.
**MNI Washington Bureau: (202)371-2121**
[TOPICS: MAUDS$,M$U$$$,MT$$$$,MAUDR$]
