Housing starts fell 0.3% in March to an adjusted rate of 1.14 million units, according to the U.S. Department of Housing and Urban Development and Census Bureau. The rate is 14.2% below March 2018 housing starts.
Housing starts have been showing signs of stabilizing since having a rocky start to the year, according to the National Association of Home Builders (NAHB), but multiple concerns remain for home builders.
"Several factors are negatively affecting the housing market, including excessive regulations, a lack of buildable lots and ongoing labor shortages,” NAHB Chief Economist Robert Dietz said in a statement. “Recent declines in mortgage rates should help support the market in future months, however."
Housing starts declined 27.1% in the West, 14.2% in the Northeast and 10.9% in the Midwest. Housing starts in the South increased 1.5%.
March building permits declined 1.7% to a rate of 1.27 million, a 7.8% decrease year-over-year. Housing completions dropped 1.9% to a seasonally adjusted annual rate of 1.3 million, 6.8% above the March 2018 rate.
