This morning, the Census Bureau released its New Residential Construction Report for August.
Building Permits
Privately-owned housing units authorized by building permits in August were at a seasonally adjusted annual rate of 1,229,000. This is 5.7 percent below the revised July rate of 1,303,000 and is 5.5 percent below the August 2017 rate of 1,300,000.
Single-family authorizations in August were at a rate of 820,000; this is 6.1 percent below the revised July figure of 873,000. Authorizations of units in buildings with five units or more were at a rate of 370,000 in August.
Housing Starts
Privately-owned housing starts in August were at a seasonally adjusted annual rate of 1,282,000. This is 9.2 percent above the revised July estimate of 1,174,000 and is 9.4 percent above the August 2017 rate of 1,172,000.
Single-family housing starts in August were at a rate of 876,000; this is 1.9 percent above the revised July figure of 860,000. The August rate for units in buildings with five units or more was 392,000.
Housing Completions
Privately-owned housing completions in August were at a seasonally adjusted annual rate of 1,213,000. This is 2.5 percent above the revised July estimate of 1,183,000 and is 11.2 percent above the August 2017 rate of 1,091,000.
Single-family housing completions in August were at a rate of 923,000; this is 11.6 percent above the revised July rate of 827,000. The August rate for units in buildings with five units or more was 285,000.
Starts and Permits 1960-Present
January 1962
- Starts: 1,361,000
- Permits: 1,122,000
August 2018
- Starts: 1,282,000
- Permits: 1,229,000
There were more starts in 1962 than today. People cannot afford houses.
Mike “Mish” Shedlock
I would think its either affordability or labor shortages. Send thank you’s to Janet and Ben.
Florence will give a boost to permits and starts over the next few months.
I believe you are correct