Tag Archives: Housing Permits

Leading economic indicators in the United States experienced a sharp increase in July, signaling what analysts hope will be a stronger second half of 2014. The Conference Board's Leading Economic Index (LEI) rose 0.9 percent last month to 103.3, building on improvements of 0.6 percent in both May and June.

According to figures released Tuesday by HUD and the Commerce Department, privately owned housing starts last month were at a seasonally adjusted annual rate of 1.09 million, a 15.7 percent spike from June's upwardly revised rate of 945,000 and a 21.7 percent gain over the same month last year. While most of last month's improvement came from a surge in multifamily building, single-family starts posted a solid gain, rising 8.3 percent to 656,000.

Of the nearly 350 metro markets survey in the National Association of Home Builders (NAHB)/First American Leading Markets Index (LMI), the group reports 56 have returned to or exceeded their previous normal levels of economic and housing activity based on housing permits, home prices, and employment. While unchanged from NAHB's June survey, the latest index reflects a yearly increase of seven markets.

The Conference Board's Leading Economic Index (LEI) edged up 0.3 percent last month to 102.2, flattening out slightly after May's 0.7 percent pickup. Conference Board economist Ataman Oxyildirim attributed the increase to ongoing positive trends in the labor market and an improved outlook for new manufacturing orders, which have helped offset some of the weakness observed in housing so far this year.

According to a joint report from HUD and the Census Bureau, groundbreaking on new homes was at a seasonally adjusted annual rate of 893,000, a drop of 9.3 percent below May's revised annual rate of 985,000. Declines came on both sides of the market: Single-family starts came to a rate of 575,000, down 9.0 percent, according to the report, while multifamily starts fell 9.9 percent to a 318,000 rate.

According to figures released by the Census Bureau and HUD, privately owned housing starts last month were at an estimated seasonally adjusted annual rate of just more than 1 million, down 6.5 percent from April's slightly revised estimate of 1.07 million. The government's report presented mixed news on the single-family front: While starts were down nearly 6 percent to a rate of 625,000, April construction was stronger than originally reported.

According to the National Association of Home Builders' Leading Markets Index (LMI), 59 metros have fully returned or even exceeded their last normal levels of both economic and housing activity. Overall, the nationwide economic score rose slightly to 0.88 from a revised April reading. "This means that based on current permit, price and employment data, the nationwide average is running at 88 percent of normal economic and housing activity," the group said.

Homebuilding across the country lifted slightly in March but still fell short of expectations, while permits for new housing tumbled. According to figures released Wednesday by the Census Bureau and HUD, March housing starts were at a seasonally adjusted annual rate of 946,000, 2.8 percent above February’s revised estimate but below a consensus forecast of 970,000 predicted in a survey of economists.

The National Association of Home Builders (NAHB) delivered some good news Monday in that 59 of the 350 metro markets have returned to or exceeded their last normal levels of economic and housing activity. In the NAHB/First American Leading Markets Index (LMI), the national average is running at 88 percent, with 11 metros gained year-over-year.

The Conference Board reported its Leading Economic Index (LEI) increased 0.5 percent last month to 99.8, inclining steeper after a 0.1 percent gain in January. “The U.S. LEI increased sharply in February, suggesting that any weather-related volatility will be short lived and the economy should continue to improve into the second half of the year,” said Ataman Ozyildirim, economist at the Conference Board.