Thanks to a steep jump in multifamily production, nationwide housing starts rose 9.8 percent to a seasonally adjusted annual rate of 1.174 million units in June, according to newly released data from the U.S. Department of Housing and Urban Development and the Commerce Department. Multifamily production was up 29.4 percent to a seasonally adjusted annual rate of 489,000 units while single-family starts edged down 0.9 percent to 685,000 units.

“While builders are reporting overall confidence in the housing market, they continue to note difficulties accessing land and labor,” says National Association of Home Builders chief economist David Crowe. “These headwinds appear to be affecting production gains in the single-family sector.”

Regionally in June, combined single- and multifamily starts rose by 35.5 percent in the Northeast and 13.5 percent in the South. The Midwest and West posted respective losses of 0.7 percent and 6.0 percent.

Multifamily permits rose 15.3 percent to a rate of 656,000. Single-family permits inched 0.9 percent to 687,000.

All four regions posted permit gains in June. The Northeast, Midwest, South and West posted respective permit gains of 2.8 percent, 2.9 percent, 10.4 percent and 9.5 percent.

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