NAHB Estimates Housing Starts Approach 900,000 Units in SeptemberOctober 17th, 2013 by DWM Magazine
As a result of the partial shutdown of the federal government preventing the U.S. Census Bureau from releasing a housing starts estimate for September, the National Association of Home Builders (NAHB) has prepared its own.
NAHB estimates that the seasonally adjusted annual rate of construction for single-family homes was between 620,000 and 630,000 units in September. The association estimates that the pace of construction of multifamily units was an additional 255,000 to 270,000, bringing the anticipated pace of total housing starts in September to between 875,000 and 900,000 units.
“The NAHB estimate of 875,000 to 900,000 total housing starts is based on continuing improvement in single-family starts and ongoing volatility in multifamily construction,” says David Crowe, NAHB chief economist.
“Single-family starts dipped in July but rebounded in August, and we expect continued strength in September,” Crowe adds. “The Fed meeting in mid-September provided additional relief to builders and buyers that interest rates would remain near historic lows for the immediate future, encouraging consumers back into the housing market.
“Meanwhile, multifamily starts have been unusually volatile since the beginning of the year, swinging between 250,000 and 400,000 units from month-to-month. We expect some bounce back from the August pace of 263,000 as multifamily starts continue to trend around 300,000 units.”