Housing Starts Dip in August

Housing starts decreased to a seasonally adjusted annual rate of 1.180 million in August, according to the U.S. Department of Commerce. The decline was 0.8% below the upwardly revised July rate of 1.190 million but is 1.4% below the August 2016 rate. Single-family home starts, however, grew 1.6% from last month.

Housing activity increased in two of the four regions as the Midwest and West grew 22.0% and 4.0%, respectively. The Northeast and South both saw declines, falling 8.7% and 7.9%, respectively.

New building permits increased during the month, growing 5.7% to 1.300 million, the highest monthly total since January. Multifamily permits led the growth, rising 19.6%. New building permits were up 8.3% from the August 2016 rate.

Housing completions were at a seasonally adjusted annual rate of 1.075 million, down 10.2% from the revised July estimate but 3.4% above the August 2016 rate.

Read the Census release.

About Stephen Newton

Stephen Newton is an economic research associate at ABA.
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