Home building sees biggest increase of year

December 4, 2017 4:00 pm

Home building has risen strongly, with the number of new houses up 13.7% in October, the biggest jump in a year.

The seasonally adjusted annual rate hit 1.29million units, according to the U.S. Census Bureau and the U.S. Department of Housing and Urban Development data.

Housing starts rise

Housing starts rose 2.4% in 2017, largely because fewer apartment complexes are being built. Single-family house construction has driven much of the growth this year in a sign of greater demand from buyers amid a healthy job market.

But in October, the trend reversed with most of the momentum coming from apartment construction. The building of multi-family properties jumped 37.4% in October. While construction of single-family houses increased 5.3%.

Construction in the South rose 17.2% last month, a sign the region is regaining its footing after damage from Hurricanes Harvey and Irma.

Building permits, an indicator of future construction, rose 5.9% in October to 1.29 million.

Source: https://www.census.gov/construction/nrc/pdf/newresconst.pdf