For the third time this year, U.S. housing starts surpassed a million-starts annual pace, according to September estimates by the U.S. Department of Housing and Urban Development and the U.S. Census Bureau. Total housing production rose 6.3% to a seasonally adjusted annual rate of 1.017 million units.
“These numbers show starts returning to levels we saw earlier this summer, where they hovered around one million units,” said National Association of Home Builders (NAHB) Chairman Kevin Kelly, a home builder and developer from Wilmington, Del. “We are hopeful this pattern of modest growth will continue as we close out the year.”
“I expect we will see a continued recovery as job creation grows and consumers gain more confidence in the housing market,” said NAHB Chief Economist David Crowe.
Single-family housing starts were up 1.1% to a seasonally adjusted annual rate of 646,000 units in August, while multifamily production climbed 16.7% to 371,000 units.
Starts increased in all regions of the country. The Northeast, Midwest, South and West posted respective gains of 5.3%, 3.5%, 4.2% and 13.9%.
Issuance of building permits registered a 1.5% gain to a seasonally adjusted annual rate of 1.018 million units in September. Multifamily permits rose 4.8% to 394,000 units while single-family permits decreased 0.5% to 624,000 units.
Regionally, the Northeast, Midwest and West registered overall permit increases of 12.3%, 8.2% and 5.9%, respectively. The South posted a 4.7% loss.