TOKYO (MNI) – Housing starts in Japan rose 4.3% in July from a year
earlier to 68,785 units, the second consecutive y/y rise, the Ministry
of Land, Infrastructure, Transport and Tourism said on Tuesday.
The latest figure came in stronger than the consensus call of a
2.9% rise (forecast range: +0.2% to +8.8% y/y),
The government’s expansion of its reward program to cover spending
on greener home purchases and renovations appears to be providing some
support to housing construction.
July’s rise followed +0.6% in June, -4.6% in May and +0.6% in
April, the latter being the first y/y rise in 17 months. Housing starts
fell -9.3% in February and -8.1% in January and posted double-digit
decreases throughout 2009.
The biggest drop on record was -44.0% marked in September 2007.
The seasonally adjusted annualized rate of housing starts stood at
772,000 units in July, up from 750,000 units in June.
The breakdown follows (on-year changes in the previous month in
parentheses):
— Owner-occupied houses +4.4% y/y at 27,181 units (vs. +4.4%), the
ninth consecutive monthly gain.
— Houses for rent -5.9% y/y at 25,673 units (vs. -10.9%), down for
the 20th straight month.
— Condominiums and houses for sale +27.3% at 15,201 units (vs.
+24.6%), the fifth consecutive y/y rise.
tokyo@marketnews.com
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