WASHINGTON (MNI) - The U.S. November housing data show strength in building that probably will be sustained ahead.
November housing starts jumped 10.5% to 1.173 million units, and permits were up 11.0% to 1.289 million. These were both better than expected and signal housing growth.
Most of the gains in the numbers stemmed from seasonal adjustment. Still, permits are above the 1.13 million average in Q3 and are suggesting additional activity is coming.
Single-family starts were up 7.6% to 768,000, compared to a 1.1% gain to 723,000 in single family permits. These are about in balance.
Starts were up strongly in the South and West, down 8.5% overall in the Northeast on multi-family weakness, and unchanged in the Midwest. Weather conditions were not too severe in November, so the regional moves probably reflect underlying demand and correction to the earlier up-movement in building of rental units.
Completions fell 3.2% to 947,000 units, well off peak and an indication that work will continue ahead -- a good end-note to a healthy report.
