Housing Starts Up, Permits Down

Housing Starts Up, Permits Down

U.S. home construction unexpectedly rose in April but permits for future building sank to the lowest pace in nearly a decade according to a government report, pointing to extended troubles in the housing market.

The Commerce Department said housing starts hit a seasonally adjusted annual pace of 1.528 million units, a 2.5 percent increase from the prior month.  However, building permits, which signal future construction plans, dropped in April by 8.9 percent to a pace of 1.429 million units.

Even though housing starts increased in April to the highest pace since December 2006, they were down 16 percent from a year ago and, in a sign the troubled housing market may not be turning the corner as quickly as hoped, building permits were off 28.1 percent from a year ago.

All of this news about how bad the housing market is can actually make it a GREAT time to think about buying a home.  Builders are making more deals than ever to move homes, and it could be the best time in many years to get a great deal on a house.

Contact us to schedule a time to help you decide if now is the right time for you to think about buying real estate.