Last Update: 18-Jun-19 09:27 ET
- Housing starts dipped 0.9% m/m in May to a seasonally adjusted annual rate of 1.269 million (Briefing.com consensus 1.240 million) from an upwardly revised 1.281 million (from 1.235 million) in April.
- Permits increased 0.3% m/m in May to a seasonally adjusted annual rate of 1.294 million (Briefing.com consensus 1.295 million) from an upwardly revised 1.290 million (from 1.269 million) in April.
- Single-family starts fell 6.4% m/m to 820,000 and were down 12.5% yr/yr with declines seen across all regions. Multi-unit starts increased 10.9% m/m in May.
- In May, single-family starts were down 25.8% in the Northeast, down 5.8% in the Midwest, up 3.3% in the South, and down 19.9% in the West.
- Building permits for single-family units were up 3.7% m/m to 815,000 but were down 3.3% yr/yr, pressured by declines across all regions with the exception of the South (+1.1%). Multi-unit permits fell 5.0% m/m in May.
- In May, single-family permits were down 2.0% in the Northeast, down 0.9% in the Midwest, up 7.7% in the South, and down 1.0% in the West.
- The key takeaway from the report was that the number of units under construction at the end of the period held at a seasonally adjusted annual rate of 1.131 million for the third straight month. That left the second quarter average 1.5% below the first quarter average, which will be a negative input for Q2 GDP forecasts.