Economy
Housing starts drop again in January
Written by Ethan Bernard
February 19, 2024
US housing starts fell for the second consecutive month in January, according to the most recent data from the US Census Bureau.
Total housing starts stood at a seasonally adjusted annual rate (SAAR) of 1,331,000 units in January, off 14.8% from the revised December estimate of 1,562,000. This is also 0.7% below the January 2023 rate of 1,340,000, Census said.
Single‐family housing starts in January were 1,004,000, down 4.7% from the revised December figure of 1,054,000.
“Moderating mortgage interest rates in 2024 will ultimately lead to gains for single-family home building this year,” Alicia Huey, chairman of the National Association of Home Builders (NAHB), said in a statement.
“However,” she added, “tighter lending conditions and higher costs for construction and development loans are holding back some construction at the start of the year.”
Regionally, combined single-family and multi-family starts were down across the nation month over month (m/m). They fell 20.6% in the Northeast, 30% in the Midwest, 9.7% in the South, and 15.7% in the West.
At the same time, the overall number of privately owned housing units authorized by building permits in January was at a SAAR of 1,470,000. While down 1.5% from a revised December rate of 1,493,000, tha was 8.6% higher than the January 2023 rate of 1,354,000.
Ethan Bernard
Read more from Ethan BernardLatest in Economy
Fed Beige Book: Economy improves, but manufacturing weak
While general economic conditions across the US improved slightly over the last six weeks, activity in the manufacturing sector was weak, according to the Fed’s latest Beige Book report.
SMU Community Chat: Simonson with the latest on construction
A lot of economists were predicting a recession last year. Ken Simonson, chief economist for The Associated General Contractors of America (AGC), wasn’t one of them.
Housing starts slip to seven-month low in March
Following a strong February, US housing starts eased through March to a seven-month low, according to the most recent data from the US Census Bureau.
Manufacturing activity in New York state continues to soften
New York state saw a continued decline in manufacturing activity in April, according to the latest Empire State Manufacturing Survey from the Federal Reserve Bank of New York
Worldsteel projects steel demand to grow 1.7% this year
Global steel demand will reach roughly 1.793 million metric tons (1.976 million short tons) this year, an increase of 1.7% over 2023, the World Steel Association (worldsteel) said in its updated Short Range Outlook report. The gain will come after a 0.5% contraction in steel demand in 2023. Demand is forecasted to increase another 1.2% […]