Housing Starts, Permits, Up in November

Washington, DC, Dec. 16, 2009--Housing starts in November increased 8.9 percent to a seasonally adjusted annual rate of 574,000 units, according to the Commerce Department.

The number was less than expected as analysts forecast a rise to 580,000 units. However, the percentage increase last month was the largest since May, indicating housing remained on a steady recovery path

October's housing starts were revised downwards to 527,000 units from the previously reported 529,000 units. Compared to the same period a year-ago, housing starts were down 12.4 percent, but way off the 54.9 percent decline seen in January.

Groundbreaking for single-family homes rose 2.1 percent last month to an annual rate of 482,000 units, after falling sharply in October.

Starts for the volatile multifamily segment surged 67.3 percent to a 92,000 annual pace, reversing the previous month's drop.

New building permits, which give a sense of future home construction, rose 6 percent to 584,000 units last month, the highest since November 2008. That compared to analysts' forecasts for 570,000 units.