Last Update: 18-Sep-19 09:18 ET
- Total housing starts surged 12.3% m/m in August to a seasonally adjusted annual rate of 1.364 million units (Briefing.com consensus 1.255 million) while total permits jumped 7.7% to 1.419 million (Briefing.com consensus 1.300 million).
- Single-family starts increased 4.4% m/m and were up 3.4% yr/yr. By region, August single-family starts were down 1.7% m/m in the Northeast, up 8.7% in the Midwest, up 3.6% in the South, and up 5.3% in the West.
- Single-family permits rose 4.5% m/m and were up 4.5% yr/yr. By region, August single-family permits were flat in the Northeast, up 2.8% in the Midwest, up 7.4% in the South, and flat in the West.
- The number of units under construction at the end of the period stood at 1.144 million units. That left the third quarter average about 6% above the second quarter average, which is a positive input for Q3 GDP forecasts.
- The key takeaway from the report is that the growth wasn't entirely a multi-unit story. Single-family starts and permits both increased nicely month-over-month. The permits increase is especially notable, because that is a leading indicator that should support the market's improved attitude toward the U.S. growth outlook.