Groundbreaking for new U.S. home construction slipped in February, dipping 0.2% to a seasonally adjusted annual rate of 907,000 units as building permits surged 7.7% to an annual rate of 1.018 million units, according to Commerce Department data released Tuesday.
The rate for housing starts missed the 910,000 level predicted by Thomson Reuters' poll of economists. Thomson had projected a 960,000 rate for permits.
The 0.2% decrease in starts follows an 11.2% fall in January to 909,000 units, originally reported as a 16.0% drop to 880,000 units. In January, permits were off 4.6% to 945,000 units, first reported as a 5.4% slide to 937,000.
Year-over-year housing starts were down 6.4% from a year ago, when 969,000 units were started. The permits figure was 6.9% better than the year-ago rate of 991,000.
In the regions, home starts in the midwest surged 34.5% to 78,000. In the northeast sales dropped 37.5% to a 75,000 rate. In the west, starts dipped 5.5% to 225,000 units, while in the south, starts fell 7.3% to 529,000 units.
Meanwhile, permits fell 11.8% in the Midwest to 134,000, in the northeast permits increased 6.3% to a 102,000 rate, in the south permits rose 9.9% to 545,000, while permits were up 17.9% in the west to 237,000.
