Seth Perlman, Associated Press
Groundbreaking for single-family homes rose in May for the third consecutive month, pointing towards recovery in the residential real estate market amid economic slowdown, according to Bloomberg.
Builders have begun construction on 516,000 single-family homes last month, up 3.2 percent from the month prior. May’s figures were the most homes started this year.
Building permits issued also rose to the highest levels since September 2008, increasing 7.9 percent to a 780,000 annual rate, according to Bloomberg. This shows that low prices and mortgage rates are encouraging new projects.
“We saw a very strong number in new permits, indicating builders are seeing improving demand,” Russell Price, senior economist at Ameriprise Financial Inc. in Detroit, told Bloomberg. The report “was a lot better than the headline number would suggest.”
Though single-family homes rose in May, construction of apartments hit a slump causing the total housing starts to take an unexpected drop.
Total housing starts fell 4.8 percent to 708,000 in May after a strong month prior when 744,000 units were added.
- International tax competitiveness report: See...
- Q-and-A with Vale Hale: a 'pretty...
- Rebate or tax credit? Clean air proposal...
- Remembering the most brilliant man in the room
- Study: Apple's new iPhones score big in...
- NASA's Maven spacecraft enters Mars orbit
- Yellen says US families need to boost savings
- Review: Larger iPhones eliminate reason to...
- Yellen says US families need to boost... 10
- Financial interventions don't work 7
- Customers wait all night, get new iPhone 6 5
- PepsiCo latest sponsor to voice NFL... 4
- Rebate or tax credit? Clean air... 4
- FedEx to add 50,000 seasonal jobs 2
- Where’s the app for an earthquake... 2
- Bus ads bringing thousands of dollars... 2