April housing starts came in 1.7% below the April 2015 rate, reaching just 1,172,000. That's 6.6% above the revised March estimate of 1,099,000 but still off from last year's April numbers of 1,192,000, according to the Census Bureau report.
As of yet, no one is panicking.
“Overall, we doubt that this soft patch in homebuilding activity will continue,” said Matthew Pointon, property economist at Capital Economics.
“From a longer-term perspective homes are still selling relatively quickly," he added. "And, with housing demand rising at the same time as the inventory of existing homes has stayed low, buyers are having to look more closely at the new-build sector.”
Single-family housing starts in April were at a rate of 778,000, which is 3.3% above the revised March figure of 753,000. The April rate for units in buildings with five units or more was 373,000.
Building permits followed a similar pattern, with permits for privately owned housing units April at a seasonally adjusted annual rate of 1,116,000. This is 3.6% above the revised March rate of 1,077,000, but 5.3% below the April 2015 estimate.
Of the building permits, single-family authorizations in April were at a rate of 736,000, which is 1.5% above the revised March figure of 725,000. Authorizations of units in buildings with five units or more were at a rate of 348,000 in April.
Privately-owned housing completions in April were at a seasonally adjusted annual rate of 933,000. This is 11% below the revised March estimate of 1,048,000 and is 7.4% below the April 2015 rate of 1,008,000.
Single-family housing completions in April were at a rate of 691,000, which is 3.6% below the revised March rate of 717,000. The April rate for units in buildings with five units or more was 232,000.
