Housing Starts Off 2.6% in August
Washington, DC, September 19, 2007—Housing starts dropped 2.6% in August to an annual rate of 1.33 million, according to the Commerce Department.
Starts hit a 12-year low during the month as building permits dropped 5.9% to a 1.307 million pace, also the lowest in 12 years.
July permits were revised up to a 1.389 million pace from a previously reported 1.373 million.
Analysts had forecast starts to fall to a 1.35 million pace, from an originally reported 1.381 million in July. Permits in August were forecast to fall to 1.348 million.
Construction of single-family homes dropped 7.1% to a 988,000 rate, the fewest since March 1993. Multifamily starts rose 13% to an annual rate of 343,000.
Starts declined 38% in the Northeast and 18% in the West. They increased 11% in the South and 4.2% in the
The number of homes under construction fell 1.2% to a 1.132 million pace. Housing completions decreased 0.2% to an annual rate of 1.523 million.