{"id":2128831,"date":"2023-12-19T11:06:02","date_gmt":"2023-12-19T16:06:02","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/us-single-family-housing-starts-jump-to-more-than-1-1-2-year-high\/"},"modified":"2023-12-19T11:13:01","modified_gmt":"2023-12-19T16:13:01","slug":"us-single-family-housing-starts-jump-to-more-than-1-1-2-year-high","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/us-single-family-housing-starts-jump-to-more-than-1-1-2-year-high\/","title":{"rendered":"US single-family housing starts surge to highest level in over 18 months"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">24<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fus-single-family-housing-starts-jump-to-more-than-1-1-2-year-high%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=2128831&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><p><!DOCTYPE html PUBLIC \"-\/\/W3C\/\/DTD HTML 4.0 Transitional\/\/EN\" \"http:\/\/www.w3.org\/TR\/REC-html40\/loose.dtd\"><br \/>\n<?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><html><body><\/p>\n<div class=\"entry-content\">\n<p><strong>December 19, 2023 \u2013\u200c 6:53 AM PST<\/strong><\/p>\n<p><strong>U.S. <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/us-housing-starts-surge-in-boost-to-economy\/\" title=\"US Housing Starts Surge in Boost to Economy\">single-family homebuilding surges<\/a> to a 1-1\/2-year high in November<\/strong> and\u2062 the momentum is expected to continue. With declining mortgage rates and\u200c incentives from builders, potential buyers\u2064 are being drawn back\u200c into the housing market.<\/p>\n<div id=\"div-gpt-ad-1663871513696-art-3\" style=\"min-width: 320px; min-height: 50px; text-align: center;\">  \t<script>  \t\tgoogletag.cmd.push(function() { googletag.display('div-gpt-ad-1663871513696-art-3'); });  \t<\/script>  <\/div>\n<div class=\"ad-slot__ad-label\">Advertisement<\/div>\n<\/p>\n<p>The Commerce Department&#8217;s\u2062 report on Tuesday revealed that permits for future construction of \u2064single-family\u2062 housing reached the highest level since May \u20622022. The recent\u2064 increase in mortgage \u2064rates had slowed down new construction activity, but the \u2064shortage of previously owned\u200b homes available\u200d for \u2062sale is still driving the demand for new housing.<\/p>\n<p>Conrad DeQuadros, senior economic advisor at Brean Capital in New York, stated,\u200b &#8220;New residential construction activity continues to show resilience, and this\u200d is \u2063likely the result of an underlying shortage of housing units relative to the demand\u2062 for housing.&#8221;<\/p>\n<p>The Commerce \u2063Department&#8217;s Census Bureau reported that single-family housing starts, which make up the majority of homebuilding, rose by 18.0% \u2062to a seasonally \u200dadjusted\u2062 annual rate of\u200d 1.143 million units \u200cin November. This is the highest level since April 2022.<\/p>\n<p>Warmer temperatures and dry conditions also contributed to the increase\u2064 in activity. October&#8217;s data was slightly revised to show starts rising\u200b to a \u200drate of\u2063 969,000 units instead of\u2062 the previously reported 970,000 \u2064units.<\/p>\n<p>While single-family homebuilding soared in \u200bthe \u2063Northeast, Midwest, and the\u2063 densely populated South, it declined in the West.<\/p>\n<p>The rate on the popular 30-year fixed mortgage \u2064averaged 6.95% \u200blast week, the lowest level since August, from \u20627.03% in the prior week. This decline in mortgage rates is\u200c in line with the decrease in U.S. \u2063Treasury yields.<\/p>\n<p>The Federal Reserve&#8217;s decision to \u2062hold\u200b interest\u200d rates steady and \u200dthe anticipation\u200d of lower borrowing costs in 2024 have also contributed to the positive\u200c outlook for the\u2063 housing market.<\/p>\n<p>A survey conducted on Monday showed that confidence among single-family builders rebounded\u2064 from an 11-month \u2062low in December. The \u200cNational Association of \u2062Home Builders noted that &#8220;many builders continue to reduce home prices \u2064to boost sales.&#8221;<\/p>\n<h2 class=\"wp-block-heading\">BUILDING PERMITS RISE<\/h2>\n<p>Permits for future\u200d construction of single-family homes increased by 0.7% to a pace of 976,000 units last month, the highest in 1-1\/2 years. This increase in housing starts and\u2063 permits is a\u200c positive sign for residential \u2064investment, which saw a rebound in the\u2063 third quarter \u2064after nine\u200d consecutive\u200b quarterly decreases.<\/p>\n<p>Economists may revise\u2063 their\u200b gross domestic product growth estimates for the fourth quarter, as the\u200d current range is\u200b from as low as a 1.0% annualized rate to as high as \u200da 2.6% pace. The \u2063economy grew at a\u200d 5.2% rate in the third quarter. The expected\u2062 slowdown in growth\u2062 this quarter \u200bis likely to be influenced by moderate consumer spending, inventories, and a wider trade \u2064deficit.<\/p>\n<p>In November, starts for housing projects with five units or more rose by 8.9% to a rate \u200cof 404,000 units. However, activity \u2063is moderating as builders work through a large stock of apartment buildings \u2064under construction.<\/p>\n<p>Demand for rental accommodation is also cooling, as the rental vacancy rate\u2062 rose to a two-year high in the third quarter. The increased supply of rental housing is \u2062expected to contribute to lower inflation next\u2063 year.<\/p>\n<p>On the other hand,\u200c multi-family building permits dropped by 9.6% to a\u200b rate of 435,000 units last month.<\/p>\n<p>Overall, housing starts soared by 14.8% to a \u2063rate \u2063of 1.560 million units \u2062in November.\u200b Building\u200c permits\u200b as a whole fell by \u20632.5% to a rate of 1.460 million units last month.<\/p>\n<p><sup>Reporting by\u2062 Lucia\u2062 Mutikani; \u200dEditing by \u2062Paul Simao<\/sup><\/p>\n<\/p>\n<div id=\"rc-widget-10bad2\" data-rc-widget data-widget-host=\"habitat\" data-endpoint=\"\/\/trends.revcontent.com\" data-widget-id=\"278641\"><\/div>\n<p class=\"dpsp-share-text\" style=\"margin-bottom:10px\"> \t\t \t\tShare this post!\t<\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p><strong>Ashley Biden owes\u200b back taxes, Jonathon Majors is\u2064 found\u200b guilty, and \u200cJohn Fetterman wants US\u2062 Steel\u200d to stay American.<\/strong><\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p><strong>Former National Security \u200bCouncil \u2064Special Advisor Kash Patel warns that President Joe Biden&#8217;s foreign policy is putting Americans at risk when traveling abroad.<\/strong><\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p><strong>There are still \u2062eight American hostages \u2063held by \u2062Hamas terrorists, and despite President\u200c Joe\u2063 Biden meeting with\u2063 their families, \u200bthere has been no progress in bringing them \u200dhome safely.<\/strong><\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p><strong>There seems \u2062to be \u200ca battle \u2063against cattle in D.C., from concerns about the climate crisis linked \u2062to beef production to a reevaluation \u2063of whole milk in school cafeterias.<\/strong><\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p><strong>Google will pay \u200c$700 million and make changes to its Play app \u2063store to promote greater competition as part of an antitrust settlement with U.S. states and \u2063consumers.<\/strong><\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p><strong>Apple has paused sales of\u2064 its smartwatches due to a patent dispute over \u2063the technology that enables \u2063the blood oxygen feature on the devices.<\/strong><\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p><strong>The \u200dSEC has denied \u200ba petition \u200dby Coinbase Global, the country&#8217;s largest crypto exchange, requesting new rules for the digital asset industry.<\/strong><\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p><strong>OpenAI CEO Sam Altman reaffirms his vision for Worldcoin, following reports that the company is \u200cseeking\u2064 $50 million in funding.<\/strong><\/p>\n<\/p><\/div>\n<p> rnrn  <\/p>\n<h2> How are declining mortgage rates \u2062impacting\u200d the demand for new housing?<\/h2>\n<p><span>  U.S. single-family\u2062 homebuilding surged to\u200b a \u20641-1\/2-year high \u200din November, indicating that the housing market is experiencing a\u2064 positive momentum. This growth can be attributed to declining\u200c mortgage rates and incentives from builders, which are drawing potential buyers back \u2063into the market.<\/p>\n<p>The Commerce Department&#8217;s report on Tuesday revealed that permits for future construction of single-family housing reached the highest level since May 2022. Despite a recent increase in mortgage rates,\u2062 the\u2062 shortage of previously owned homes available for sale is still driving the demand for new \u2064housing.<\/p>\n<p>Conrad DeQuadros, senior economic advisor at Brean Capital in New York, stated, &#8220;New\u2063 residential construction activity \u200dcontinues to show resilience, and this is likely the result of an underlying shortage of housing units relative to the demand\u200c for housing.&#8221;<\/p>\n<p>The\u2063 Commerce Department&#8217;s Census Bureau reported that single-family housing starts, which make up the majority of homebuilding, rose by 18.0% \u200bto a\u200c <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/housing-starts-increase-as-housing-market-sends-mixed-signals\/\" title=\"Housing starts rise amidst conflicting housing market signals.\">seasonally adjusted annual \u200brate<\/a>\u2063 of 1.143 million units in November. This is \u200bthe highest level since April 2022.<\/p>\n<p>Warmer temperatures and dry conditions also contributed to the increase in activity. October&#8217;s data was slightly \u2063revised to show starts rising to a rate of 969,000 units instead\u200d of the previously reported 970,000 \u200dunits.<\/p>\n<p>While single-family homebuilding \u200dsoared in the Northeast, \u200bMidwest, and the\u200d densely populated South, it declined in the West.<\/p>\n<p>The rate on \u200dthe popular 30-year fixed mortgage averaged 6.95% last week, the lowest level since August, from 7.03% in \u2064the prior week. This \u2063decline\u2063 in mortgage rates is in line with the decrease in U.S. Treasury\u200b yields.<\/p>\n<p>The \u2064Federal Reserve&#8217;s decision to <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/sp-500-nasdaq-futures-rise-as-investors-pin-hopes-on-fed-pause\/\" title=\"S&#038;P 500 and Nasdaq futures up on hopes of Fed pause.\">hold interest rates steady<\/a> and the anticipation \u2064of lower borrowing costs in 2024 have also contributed to \u200dthe positive outlook for the housing market.<\/p>\n<p>A survey conducted on Monday showed that confidence among single-family builders rebounded from an 11-month low in December. The National\u2062 Association \u2063of \u200bHome Builders noted \u2064that &#8220;many builders continue to reduce home prices to boost sales.&#8221;<\/p>\n<p>Permits for future construction of single-family homes increased \u200cby 0.7% to a pace of 976,000 units last month, the highest in 1-1\/2 years. This increase in housing starts and permits is a\u2063 positive sign for residential investment, which saw\u2062 a rebound\u200d in the third quarter after nine consecutive quarterly decreases.<\/p>\n<p>Economists\u2062 may revise \u200ctheir gross domestic product growth estimates for the fourth quarter, as \u2062the current range is from as \u2064low as a 1.0% annualized rate to as \u2063high as a 2.6% pace. The economy grew at a 5.2% rate in the third quarter. The \u200bexpected slowdown in growth this quarter is likely to be influenced by moderate consumer spending, inventories, and a wider trade\u200d deficit.<\/p>\n<p>In November, starts\u200b for housing projects \u200bwith five units or more rose by\u2064 8.9% to\u2063 a rate of 404,000 units. However,\u200c activity is moderating as builders work through a \u2064large stock of apartment buildings under construction.<\/p>\n<p>Demand \u2062for rental accommodation is also cooling, \u200das the rental vacancy rate rose to a two-year high in the third quarter. The increased\u2062 supply of rental housing is expected to contribute to lower inflation next year.<\/p>\n<p>On the other hand, multi-family \u200bbuilding permits dropped\u2064 by 9.6% \u2062to \u2062a rate of 435,000 units last month.<\/p>\n<p>Overall,\u200c housing\u200d starts soared by 14.8% to a rate of\u200d 1.560 million units in November. Building \u200cpermits as a \u200dwhole fell by 2.5% to a rate of 1.460 million units last month.<\/p>\n<p>In conclusion, the U.S. single-family \u2063homebuilding industry is experiencing a \u2063significant surge in activity. With declining mortgage rates, incentives from builders, and a shortage of previously owned homes, potential buyers are being \u200cdrawn back\u2062 into the market. This \u200bpositive momentum is \u2064expected to continue, providing a boost\u200b to the overall housing market and the economy as a\u2064 whole.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Revealed that building permits, a sign of future construction, rose to their highest level in over a year. This positive trend indicates a potential boost in the housing market, as lower mortgage rates and incentives offered by builders attract more buyers<\/p>\n","protected":false},"author":1911,"featured_media":2128832,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","fifu_image_alt":"","footnotes":""},"categories":[542],"tags":[],"class_list":["post-2128831","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-oann"],"fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2128831","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/1911"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=2128831"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2128831\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2128832"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=2128831"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=2128831"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=2128831"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}