MetroIntelligence Economic Update by P. DUFFY
Housing starts edge up 0.1 percent in January but down 27.3 percent year-on-year
Privately‐owned housing units authorized by building permits in January were at a seasonally adjusted annual rate of 1,339,000, which is 0.1 percent above the revised December rate of 1,337,000, but 27.3 percent below the January 2022 rate of 1,841,000. Single‐family authorizations in January were at a rate of 718,000; this is 1.8 percent below the revised December figure of 731,000. Authorizations of units in buildings with five units or more were at a rate of 563,000 in January.
Housing starts fall 4.5 percent in January and 21.4 percent year-on-year
Privately‐owned housing starts in January were at a seasonally adjusted annual rate of 1,309,000. This is 4.5 percent below the revised December estimate of 1,371,000 and is 21.4 percent below the January 2022 rate of 1,666,000. Single‐family housing starts in January were at a rate of 841,000; this is 4.3 percent below the revised December figure of 879,000. The January rate for units in buildings with five units or more was 457,000.
Builder confidence rises 7 points to 42, strongest level since last September
Builder confidence in the market for newly built single-family homes in February rose seven points to 42, according to the National Association of Home Builders (NAHB)/Wells Fargo Housing Market Index (HMI). This is the strongest reading since September of last year. The HMI index gauging current sales conditions in February rose six points to 46, the component charting sales expectations in the next six months increased 11 points to 48 and the gauge measuring traffic of prospective buyers increased six points to 29.