Here we are, the end of the week, and with fresh news on the U.S. housing market. It is burning brightly.
The Commerce Department told us on Friday that building permits, the leading indicator in the monthly U.S. housing report, rose +2.7% in July to an annual rate of 943,000.
Apartment permits increased +13.5%.
Single-family permits decreased +1.9%.
The coincident indicator, construction on new U.S. homes, rose +5.9% in July to a seasonally adjusted annual rate of 896,000.
Apartment starts rose +25.5%,
Single-family starts declined +2.2%.
That’s up +20.9% from a year ago.
Consensus looked for overall housing starts in July to hit +915,000. The June starts rate of +836,000 was revised to +846,000.
Homebuilder's haven't blinked yet in the face of a September taper.
Thursday’s homebuilder reports showed us a gauge of homebuilder confidence hit the highest level in almost eight years!
The NAHB/Wells Fargo housing market index rose 3 points to 59 yesterday, marking the fourth rise in a row. Forecasters expected a 55 reading. July’s level was downwardly revised by a point to 56. Any reading above 50 is solid.
Current sales conditions rose 3 points to 62,
Sales expectations in the next six months rose a point to 68, and
Traffic of prospective buyers was unchanged at 45.
My RTI Question: Can U.S. Homebuilders Shrug Off the September Taper?