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Economic news
18.12.2024

U.S. housing starts unexpectedly decline in November

The monthly report on new residential construction from the Commerce Department showed on Wednesday that housing starts declined by 1.8 per cent m-o-m in November to a seasonally adjusted annual pace of 1.289 million (the lowest level since July (1.262 million)), while building permits surged by 6.1 per cent m-o-m to a seasonally adjusted annual rate of 1.505 million (the highest level since February (1.563 million)).

Economists had forecast housing starts of 1.340 million units for November and building permits of 1.430 million units.

Data for October was revised to show homebuilding rising at a pace of 1.312 million units, instead of increasing at a rate of 1.311 million units as originally reported.

According to the report, permits for single-family homes, the largest segment of the market, advanced by 0.1 per cent m-o-m in November, while approvals for the multi-family homes segment (includes 2 to 4 and 5 or more housing units) jumped by 19.0 per cent m-o-m.

In the meantime, groundbreaking on single-family homes climbed by 6.4 per cent m-o-m in November, while multi-unit starts tumbled by 24.1 per cent m-o-m. 

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