U.S. Housing Starts Declined in March as Interest Rates Weigh

By Ed Frankl

U.S. housing starts tumbled more than expected in March, reflecting high interest rates that are weighing on construction. Here are the main takeaways from the Commerce Department's report released Tuesday.

--Housing starts, a measure of U.S. home building, dipped 14.7% to a seasonally adjusted rate of 1.32 million.

--Economists polled by The Wall Street Journal had expected starts to decrease 2.7% to 1.48 million.

--Starts were 4.3% lower than the same month last year.

--February's housing starts were revised upward to 1.55 million from 1.52 million.

--Monthly housing starts data are volatile. March data came with a margin of error of 9.9%.

--Residential permits, which can hint at future home construction, fell 4.3% on month to 1.46 million. Economists had expected permits to tick down to 1.51 million.

--The data come after sentiment held steady among home builders in April, as prospective purchasers were more hesitant due to greater expectations that the Federal Reserve would wait before cutting interest rates, according to the National Association of Home Builders on Monday.

Write to Ed Frankl at edward.frankl@wsj.com

(END) Dow Jones Newswires

04-16-24 0903ET