Privately owned housing starts declined 5.3 percent in September, falling to a seasonally adjusted annual rate of 1.20 million, compared with 1.27 million in August, according to the U.S. Census Bureau and the U.S. Department of Housing and Urban Development.
The rate is 3.7 percent above September 2017 rates and follows a 9.2 percent jump in housing starts in August 2018.
“Housing starts are in line with builder sentiment, which shows that builders are overall confident in the housing market but continue to face supply-side challenges,” National Association of Home Builders Chair Randy Noel said in a statement. “Though lumber prices have declined recently, builders remain concerned about labor shortages, especially as the number of unfilled construction jobs has reached a post-recession high.”
NAHB Chief Economist Robert Dietz stated that the growing economy and positive demographics should keep the demand for housing moving forward at a “modest pace” in the upcoming months.
Building permits issued dropped 0.6 percent compared with August, and housing completions fell 4.1 percent.
The full report can be found here.
