U.S. February Housing Starts rebound from bad January weather, Permits maintain gently positive trend
February housing starts have seen a stronger than expected 10.7% increase to 1521k though have still not fully reversed January’s 12.3% decline, which was hit by weather. Permits are also stronger than expected, up a modest 1.9% after a 0.3% decline in January.
Single starts rose by 11.6% to fully reverse two straight declines while multiple starts rose by 8.3% after a 27.9% January decline followed a 30.1% December increase.
Single permits rose by 1.0% which is a thirteenth straight gain, meaning a clear if moderate upwards underlying trend, while multiple permits rose by 4.1% after a decline of 5.3% in January.
Starts were up in there out of four regions, the exception being the Northeast which was the only region to fall in January. The strongest gain came in the Midwest, up 50.7% after a weather-induced 34.3% plunge in January.
Permits data is mixed, strong in the Northeast and Midwest but weak in the South and the West. Overall however the picture looks quite strong.