Housing Starts and Building Permits Start Another Leg Down

Today the Department of Urban Housing and Development, in conjunction with the U.S. Census Bureau, released its July 2011 residential construction report, showing both improvement in certain areas over June’s figures, particularly in housing completions, while others showed month-to-month contraction.

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Housing Starts Were Mixed

Privately-owned housing units authorized by building permits in July were at a seasonally adjusted annual rate of 597,000. This is 3.2 percent (±1.2%) below the revised June rate of 617,000, but is 3.8 percent (±2.2%) above the July 2010 estimate of 575,000.

Single-family authorizations in July were at a rate of 404,000; this is 0.5 percent (±0.9%) above the revised June figure of 402,000. Authorizations of units in buildings with five units or more were at a rate of 171,000 in July.

Building Permits Declined from June

Privately-owned housing starts in July were at a seasonally adjusted annual rate of 604,000.  This is 1.5 percent (±10.7%)  below the revised June estimate of 613,000, but is 9.8 percent (±10.8%) above the July 2010 rate of 550,000.

Single-family housing starts in July were at a rate of 425,000; this is 4.9 percent (±8.9%) below the revised June figure of 447,000. The July rate for units in buildings with five units or more was 170,000.

Housing Completions Increased

Privately-owned housing completions in July were at a seasonally adjusted annual rate of 636,000.  This is 11.8 percent (±13.7%) above the revised June estimate of 569,000 and is 9.5 percent (±13.8%) above the July 2010 rate of 581,000.

Single-family housing completions in June were at a rate of 436,000; this is 0.0 percent (±14.5%)* equal to the revised May rate of 436,000. The June rate for units in buildings with five units or more was 89,000.