U.S. Housing Starts Hit Six-Month High – December 19, 2023

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Reuters – In an unexpected turn, U.S. housing starts in November 2023 surged by 14.8% month-over-month, reaching an annualized rate of 1.56 million. This marks the highest rate in six months, significantly surpassing the predicted 1.36 million. This growth is attributed to a decrease in mortgage rates and a shortage of available housing. Notably, construction of single-family homes rose sharply by 18% to 1.143 million, the most since April 2022. Additionally, starts for buildings with five units or more increased by 8.9% to 404K.

Regional data show significant variations. In the Northeast, starts doubled to 144K. In the South, there was a notable 16.3% increase to 849K. The West and the Midwest saw modest gains of 2.1% to 347K and 1.4% to 144K, respectively. It’s worth noting that the figures for October were slightly adjusted downward to 1.359 million from the initially reported 1.372 million.