The number of housing starts in the U.S. rose to a seasonally adjusted rate of 1.2 million in November, or 16.5 percent growth above November 2014, for a seven-year high.
Single-family production increased 7.6 percent to a seasonally adjusted annual rate of 768,000 units, its highest reading since January 2008, according to data from the U.S. Department of Housing and Urban Development and the Commerce Department. Multifamily construction starts grew to 405,000, an increase of 16.4 percent.
“The November gains in both single and multifamily starts show that the overall market continues to move forward,” Tom Woods, chairman of the National Association of Homebuilders (NAHB), says. “As builders anticipate more consumer demand for housing, they should continue to add inventory.”
The number of building permits issued for single-family homes increased 1.1 percent from October to November.
“Single-family production this month has reached levels last seen before the Great Recession, an indicator that we are making gradual headway back to a normal housing market,” NAHB chief economist David Crowe says.