Skip to comments.U.S. housing starts jump 15%, hit 17-month high
Posted on 10/19/2011 6:11:19 AM PDT by Free Vulcan
Housing starts surged 15% in September to the highest level in 1 1/2 years, according to government data...
...The Commerce Department said starts rose to a seasonally adjusted annual rate of 658,000, which also is 10.2% above the September 2010 reading and the best level since April 2010 the month the homebuyer tax credit expired. The figures were well ahead of the 590,000 forecast in a MarketWatch-compiled economist poll.
The rise was led by a 53% surge in starts of buildings with five or more units to 227,000, the best reading in three years; single-family starts rose a more modest 1.7% to 425,000...
(Excerpt) Read more at marketwatch.com ...
Anyone with good credit and a down payment can get a mortgage. Try again. If you built five homes last month, and you built ten homes this month how much would be the increase.
We add 2 million more immigrants to our population each and every year. That is a LOT!! of people. They all gotta live somewhere.
Unfortunately right now the pool of those with good credit and a down payment plus able to sell their previous home as getting smaller and smaller, thanks to our illustrious Dear Reader.
Yessiree, it's just as simple as that. Everything is just great out there.
Here’s the direct report with regional breakdowns:
Do the recent moves to rent govt-financed foreclosures, making the zer0 regime and Big gov now a Big landlord have something to do with this?
That’s actually bad news for home prices. The last thing the housing market needs is a larger inventory.
I am sure many of those buying those new homes are buying them with cheap credit, balloon financing and they are overpriced.
Don’t forget, this news came from the obama Commerce Department.
Bet they have some really rosy news througout next year.
I invested in housing construction in Nevada 6-7 years ago. Lost every penny. Same with natural gas drilling in the Gulf. I wish I’d never heard of the stock market. I wish I’d bought bank CDs with my hard-earned savings; even at 1% interest I’d be way ahead of where I am now. I’m teaching my niece and nephews to stay out of the stock market—government interference in the market makes it too risky.
I think there’s plenty of demand for rentals. We’re being Euro-ized.
You can bet on the fact they are custom builds, no bank I know would make a loan on a speck home, except for the area around DC. And the government employee retirement communities.< /p>
In my neighborhood, a community by D.R. Horton that’s about 5 years old, they’re suddenly building on the dozen or so empty lots in the 150+ development. Don’t know if they suddenly have buyers, but there was no building going on for the last couple of years, so it’s just odd.
Mrs. Prince of Space
They give NO breakdown of activity by region. They hide the fact that CA, NV, FL new home construction is virtually nonexistent. Where are the new homes and the qualified purchasers located?
My apologies. I guess I just wasn't aware that the state of the U.S. economy was directly linked to your personal economic status. Thanks for clearing that up.
Maybe they are building ghost cities, like the Chinese are.
Seems like the economic news lately has been strong enough to suggest we are not going into a double dip recession. At least for the last few weeks, the economic reports seem to be routinely better than expected much of the time.
I have a hunch the unemployment rate is going to start dropping as well. As people begin exhausting their 99 weeks of benefits, they will finally be forced to get jobs - and that is going to lower the rate. Gallup is showing unemployment dropping off fairly significantly, so my guess is we get under 9% when the October numbers come out - maybe as low as 8.8% or so.
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Exactly! What has changed economically to account for this demand? Nothing. Absolutely nothing. Fact is, things are getting worse not better.
This is just another phoney baloney government number that will be “surprisingly” and unexpectedly” revised or otherwise disproved by next week.