U.S. housing starts fell in June, but remained resilient. The previous month saw a sharp increase of 15.7%.
Key point U.S. housing starts fell 8% month-on-month to 1.434 million units per year, falling below the median forecast of 1.48 million units. 1.44 million, down 3.7% month-on-month
The decline in the number of construction starts in June shows signs of stabilization rather than a weakening again, partly due to the unexpectedly large increase in the previous month.
While borrowing costs remain high, a shortage of existing home inventory combined with builders’ promotional efforts is driving demand for new homes. Although June saw a decline, it is still on pace with pre-coronavirus trends.
Single-family home starts fell 7%, but are still at their second-highest level this year. On the other hand, the number of apartment construction starts decreased by nearly 10%. Multi-family construction approvals fell by the biggest drop since November last year.
By region, single-family home construction declined in all but the western region.
Despite solid demand for housing, uncertainty over the direction of U.S. monetary policy remains cautious about housing construction.
See table for detailed statistics.
Original title:US Housing Starts Fell in June After Surging in Prior Month (2)(Excerpt), US June Housing Starts Fell to 1,434k Annualized, Below Est. (Excerpt)
(Updates with additional stats details)
2023-07-19 12:39:25
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