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

4-Traders Homepage  >  News


Latest NewsCompaniesMarketsEconomy & ForexCommoditiesHot NewsMost Read NewsRecomm.Business LeadersVideosCalendar 

US April Housing Starts Up 2.6%

05/16/2012 | 08:46am US/Eastern
 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 

React to this article
Latest news
Date Title
11:31a ATLANTIC CAPITAL BANCSHARES : Regulation FD Disclosure, Financial Statements and Exhibits (form 8-K)
11:31a NOVARTIS : Foundation and the London School of Hygiene & Tropical Medicine Join Forces to Put Hypertension Care and Management on the Global Health Agenda
11:31a BELLWAY : Director/PDMR Shareholding
11:31a Aerojet Rocketdyne Completes Build of 3-D Printed Parts for Orion Spacecraft
11:31a LAURENT PERRIER : -Perrier posts enhanced first-half 2015-2016 performance
11:30a FIRST GLOBAL DATA : Restructures Its Debt, Secures Financing and Releases Quarterly Financials
11:30a Toshiba Enhances Image Quality, Throughput and Patient Experience with Vantage Titan 3T Upgrades
11:29a SCANIA : Show of Fuel-Efficient-Driving Skill by 400+ Drivers
11:29a Ecommerce Sites See Record-Breaking Shopping Traffic and Sales on Cyber Monday, HookLogic Finds
11:28a LONDON STOCK EXCHANGE : Voya Financial Inc. - Form 8.3 - Equinix Inc.
Latest news
Hot News 
UBS : House View 2016 & Beyond: A world in transition
Giga-tronics Signs Software Agreement With Lockheed Martin
ISG : Expects Loss For UK Construction Arm, Other Units In Line
MINCO : 2015 Q3 Interim Financials
PLUTUS POWERGEN : Placing of shares in Plutus Powergen plc
Most Read News
03:08a ROBECO NV : builds presence in the UK
11/30 ANCHOR CAPITAL CORPORATION : Announces Proposed Qualifying Transaction
10:35a TSX gains as energy, financials stocks move higher
05:30a EPIGENETICS MARKET WORTH $16.31 BILLION BY 2022 : Grand View Research, Inc.
11/30DJAustralia Current Account Deficit Narrows
Most recommended articles
11:25aDJAuto Sales Gain in November, Boosted by Black Friday Deals--2nd Update
11:24a DEUTSCHE BETEILIGUNGS : Voith attracts private equity interest for services unit - sources
11:20aDJVale Cuts Iron-Ore Production Guidance
11:17a Wall Street pares gains after weak manufacturing data
11:15aDJPuerto Rico Avoids Default