Log in
Forgot password ?
Become a member for free
Sign up
Sign up
Dynamic quotes 

4-Traders Homepage  >  News


Latest NewsCompaniesMarketsEconomy & ForexCommoditiesInterest RatesHot NewsMost Read NewsRecomm.Business LeadersCalendar 

US April Housing Starts Up 2.6%

share with twitter share with LinkedIn share with facebook
share via e-mail
05/16/2012 | 02:46pm CEST
 U.S. Housing Starts       Apr     Mar   ! Consensus:    ! 
 Total Starts:            +2.6%   -2.6%r !       +4.7%   ! 
 Single-Family:           +2.3%   +2.3%r ! Actual:       ! 
                                         !       +2.6%   ! 
   By Eric Morath and Alan Zibel 

U.S. home building grew in April, the latest sign that the recovery may be strengthening in the long-struggling market.

Home construction increased 2.6% from March to a seasonally adjusted annual rate of 717,000, the Commerce Department said Wednesday. Year-over-year, starts were up nearly 30%.

Economists surveyed by Dow Jones Newswires had forecast April's housing starts would grow to a seasonally adjusted annual rate of 685,000. That would have been a 4.7% jump from the prior month's previously reported figures. March starts, however, were revised significantly upward to a rate of 699,000 starts from a previously reported 654,000. The newly stated data reflects a 2.6% decline from February.

Construction of single-family homes, which made up 69% of housing starts last month, grew 2.3% in April and was up 18.8% from a year ago. Meanwhile, multifamily homes with at least two units increased by 3.2% in April.

In a speech Tuesday, Federal Reserve Gov. Elizabeth Duke cited several positive signs for the housing market, including stabilization in home prices and a decline in newly delinquent borrowers. In addition, she said that readings of housing construction activity have been "somewhat encouraging" as housing starts and building permits have increased from the depths of the bust.

This year's home construction figures, while up from a low of 478,000 in April 2009, are still well below the historical average. Builders have started construction on about 1.5 million new homes per year since 1959.

The number of new housing permits, an indication of future construction, fell by 7.0% to annualized level of 715,000 in April after reaching 769,000 the prior month, the highest rate since September 2008. Economists had forecast permits to drop to 730,000.

Still, builders' confidence in the market is growing. The National Association of Home Builders' May housing market index, released Tuesday, reached the highest level in five years as more potential buyers appeared confident that the housing market has hit bottom. The Commerce data showed that new building was mixed across four U.S. regions. Starts were up 11.6% in the South and grew 6.7% in the Midwest. Starts fell by 20.7% in the Northeast and were down 8.1% in the West. Actual housing starts, calculated without seasonal adjustments, increased to 64,200 in April from an upwardly revised 57,400 in March. Lumber and commodities markets watch those numbers closely to gauge demand.

The Commerce report can be found at http://www.census.gov/construction/nrc/pdf/newresconst.pdf

-By Eric Morath and Alan Zibel, Dow Jones Newswires; 202 862 9279; eric.morath@dowjones.com 

share with twitter share with LinkedIn share with facebook
share via e-mail
React to this article
Latest news
Date Title
09:47a APC TECHNOLOGY : Smartwave Signs UK Distribution Deal With Webthings
09:47a SAFECHARGE : Trading Strong In First Half And Confident On Outlook
09:47a SIEMENS : Wind Turbine Market Analysis with In-Depth Analysis of 12 Countries Covering Regions period from 2009 to 2020
09:46aDJNet trade balance at SEK -2.1 billion in May
09:45a BIXOLON : America Releases the Only POS Receipt Printer with an Unlimited 4 Year Warranty
09:45a MARSTON : Analyst Site Visit
09:45a WORLD ECONOMIC FORUM : In the Fourth Industrial Revolution, Overcome Fears and Embrace Inclusion for Innovation
09:45a TRI STAR RESOURCES : Capital Budget Update
09:45a EAST CAPITAL EXPLORER : (ECEX) Notification of major holdings of own shares
09:45a Plus500 Appoints Compliance Veteran Judd As Non-Executive
Latest news
Hot News 
VP : Annual Report and Notice of Annual General Meeting
INVESCO ASIA : Annual Financial Report
SHAWBROOK : British bank Shawbrook to take $12 million charge, CFO Wood to leave
HOME BANCORP : Named To Russell 3000® Index
DIASORIN : Webinar Spotlights Evolution of PTH and Vitamin D Testing
Most Read News
06/27 Global equities sell off for second day, safe-havens up in Brexit aftermath
06/27 Brexit vote, UK political confusion keep world markets on edge
Most recommended articles
03:40a Fastjet to raise funds as African aviation market remains tough
03:35aDJRolls-Royce Results to Reflect Currency Swings
03:33a REDROW : sees profit above expectations on steady housing demand
03:31a FTSE rebounds after Brexit vote slump
03:31aDJChina Shanghai Rubber Futures Closing Prices, Volume