mostlycloudy
Sunday June 24th, 2018 12:16PM

US home building slides 3.7 percent in April

By The Associated Press
Related Articles
  Contact Editor

WASHINGTON (AP) — U.S. builders broke ground on fewer apartment buildings last month, pushing overall home construction down 3.7 percent from March.

The Commerce Department said Wednesday that housing starts fell to a seasonally adjusted annual rate of 1.29 million in April, lowest since December. Apartment construction tumbled 12.6 percent to 374,000. Construction of single-family homes blipped up 0.1 percent to 894,000.

Still, housing starts are up 10.5 percent from April 2017 on a 7.2 percent increase in single-family homes, and a 19.1 percent surge in apartments.

Home construction has grown steadily since the housing crash hit bottom in 2012. The pace of homebuilding is still below its long-run average of about 1.5 million a year, which has led to a shortage of homes on the market. Home builders are struggling with higher prices for lumber and other building materials and a shortage of skilled laborers.

A healthy job market is giving Americans the confidence to shop for houses. Millennials are increasingly moving out on their own to buy their own homes

Demand for housing is strong despite an uptick in mortgage rates: The rate on the benchmark 30-year, fixed-rate home loan is 4.55 percent, up from 4.05 percent a year ago.

"We expect housing starts to continue to gain ground through 2018, supported by positive fundamentals such as low unemployment and healthy wage increases, which are expected to offset higher mortgage rates," Leslie Preston, senior economist at TD Economics, wrote in a research note. "At the same time, tight inventories and rising prices will continue to support homebuilding."

In April, housing starts fell 16.3 percent in the Midwest, 12 percent in the West and 8.1 percent in the Northeast. They rose 6.4 percent in the South.

Building permits, an indicator of future construction, fell 1.8 percent in April to a seasonally adjusted 1.35 million.

  • Associated Categories: Associated Press (AP), AP Business, AP Business - Economy, AP Business - Personal Finance, AP Business - Real Estate
© Copyright 2018 AccessWDUN.com
All rights reserved. This material may not be published, broadcast, rewritten, or redistributed without permission.
Wedding practice: Rehearsal of royal nuptials due in Windsor
Royal wedding organizers prepare rehearsal of the proceedings to take place in Windsor
5:11AM ( 30 minutes ago )
Asian stocks mostly lower as investors digest US, Japan data
Asian stocks mostly lower as investors digest US, Japan data
5:08AM ( 33 minutes ago )
AP Interview: Anwar wants Malaysia to scrap race policies
Pardoned Malaysian politician Anwar Ibrahim says decades-old affirmative action policies for the country's Malay majority must be discarded in favor of a new program to help the poor regardless of race
4:47AM ( 55 minutes ago )
Associated Press (AP)
Alaska dive fishermen plead for relief from sea otters
Sea otters have come back from the brink of extinction along Alaska's Panhandle but fishermen who target shellfish are seeking relief from their voracious appetites
12:40AM ( 5 hours ago )
Returning otters to undersea world failing in their absence
Despite decades of government protection, southern sea otters on West Coast still only occupy about a fraction of their historic range.
12:38AM ( 5 hours ago )
US births hit a 30-year low, despite good economy
Last year saw the lowest number of U.S. births in 30 years, with birth rates declining not only for women in their teens and 20s but also women in their 30s
12:22AM ( 5 hours ago )
AP Business
In veiled shot at Trump, Tillerson warns democracy at risk
In veiled shot at Trump, Tillerson warns American freedom, democracy at risk
11:39PM ( 6 hours ago )
Macy's sees robust mobile, online sales as profits soar
Macy's sees robust mobile, online sales as it beats profit and revenue expectations for the first quarter
6:53PM ( 10 hours ago )
Trump says 'no folding' in trade negotiations with China
President Donald Trump says there has been "no folding" in his trade negotiations with China, as he addresses his efforts to help a Chinese telecommunications company that violated U.S. sanctions
5:52PM ( 11 hours ago )
AP Business - Economy
The Latest: Pence reports pension plan, football tickets
Vice President Mike Pence has released his annual financial disclosure, reporting a pension plan from the state of Indiana worth between $500,000 and $1 million
6:38PM ( 11 hours ago )
The Latest: Trump Jr. says WikiLeaks asked for tax returns
Donald Trump Jr. says he received direct messages via Twitter from WikiLeaks asking if he would leak his father's tax return
11:03AM ( 18 hours ago )
US home building slides 3.7 percent in April
US home building slides 3.7 percent in April on drop in apartment construction
10:21AM ( 19 hours ago )
AP Business - Personal Finance
US key mortgage rate steady at 4.55 percent
The key long-term U.S. mortgage rate held steady this week, providing a lure for potential homebuyers. Mortgage buyer Freddie Mac says the average rate on 30-year, fixed-rate mortgages was 4.55 percent, unchanged from last week.
11:21AM ( 6 days ago )
US consumer borrowing up $11.6 billion in March
US consumer borrowing up $11.6 billion in March despite biggest drop in credit card debt in 5 years
3:12PM ( 1 week ago )
US key mortgage rate declines slightly to 4.55 percent
The key long-term U.S. mortgage rate declined slightly this week, after a steady rise for most of April that pushed the rate to its highest level in more than four years. The average rate on 30-year, fixed-rate mortgages slipped to 4.55 percent.
10:43AM ( 1 week ago )
AP Business - Real Estate
Wedding practice: Rehearsal of royal nuptials due in Windsor
Royal wedding organizers prepare rehearsal of the proceedings to take place in Windsor
5:11AM ( 30 minutes ago )
Asian stocks mostly lower as investors digest US, Japan data
Asian stocks mostly lower as investors digest US, Japan data
5:08AM ( 33 minutes ago )
AP Interview: Anwar wants Malaysia to scrap race policies
Pardoned Malaysian politician Anwar Ibrahim says decades-old affirmative action policies for the country's Malay majority must be discarded in favor of a new program to help the poor regardless of race
4:47AM ( 55 minutes ago )
EU demands an end to Trump tariff threats
The European Union is calling for an end to U.S. President Donald Trump's threats to slap tariffs on EU steel exports as a new deadline looms for the duties to enter force
4:41AM ( 1 hour ago )
On eve of anniversary, Giuliani says time for probe to end
Trump attorney Rudy Giuliani urges special counsel's team to wrap up investigation on eve of anniversary
4:21AM ( 1 hour ago )