TOKYO (MNI) – Housing starts in Japan rose 7.5% in December from a
year earlier to 74,517 units, posting the seventh consecutive
year-on-year rise, the Ministry of Land, Infrastructure, Transport and
Tourism said Monday.
The increase in December was stronger than the consensus call of a
4.7% rise. It followed +6.8% in November, +6.4% in October, +17.7% in
September, +20.4% in August and +4.3% in July.
The government’s expansion of its reward program to cover spending
on greener home purchases and renovations appeared to be providing some
support to housing construction, together with low loan rates.
The rate of growth moderated from +20.4% in August, which was the
largest y/y gain since the +54.2% (the second largest on record) marked
in September 2009.
Housing starts posted double-digit decreases throughout 2009.
In 2010, housing starts rose 3.1%, posting the first rise in two
years, following -27.9% in 2009.
The biggest year-on-year drop on record was -44.0% marked in
September 2007 while the sharpest gain was +67.6% seen in March 1972.
The seasonally adjusted annualized rate of housing starts stood at
861,000 units in December, up from 847,000 units in November.
Housing starts hit a recent low of 775,000 units in fiscal 2009.
The breakdown follows (year-on-year changes in the previous month
in parentheses):
— Owner-occupied houses +11.8% y/y at 26,871 units (vs. +7.1% in
November), the 14th consecutive monthly gain.
— Houses for rent -8.4% y/y at 27,115 units (vs. -9.5% in
November), the third straight monthly fall.
— Condominiums and houses for sale +37.6% at 19,972 units (vs.
+46.3% in November), the tenth consecutive y/y rise.
tokyo@marketnews.com
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