US Housing Starts Increased by 1.5% in October, Building Permits Declined
US housing starts increased in October amid growth in multi-family housing projects, but construction of single-family homes fell for a second straight month. The US Commerce Department reported, that housing starts increased 1.5% to a seasonally adjusted annual rate of 1.228 million units last month. Economists had forecast housing starts rising to a pace of 1.225 million units last month. Building permits dropped 0.6% to a rate of 1.263 million units in October.
Meanwhile, data for September was revised down to show starts dropping to a rate of 1.210 million units instead of the previously reported pace of 1.201 million units.
It was also reported, that single-family homebuilding, which accounts for the largest share of the housing market, fell by 1.8% to a rate of 865.000 units in October after declining in September. Permits for building single-family homes fell 0.6% in October to a pace of 849.000 units.
Starts for the multi-family housing segment rose 10.3% in October to a rate of 363.000 units. Permits for the construction of multi-family homes fell 0.5% to a pace of 414.000 units.