US home construction jumps, led by more apartment building
WASHINGTON — U.S. builders ramped up home construction in December, led by a surge of apartment building, while single-family houses lagged.
Housing starts jumped 11.3 per cent last month, to a seasonally adjusted annual rate of 1.2 million, the Commerce Department said Thursday . The figures are volatile month to month: Starts plummeted in November after a big gain in October. Apartment construction soared 53.9 per cent last month, while single-family housing starts fell 4 per cent.
The figures cap a solid 2016 for home construction: Developers started work on the most new houses and apartments since 2007, the year the Great Recession began. Single-family home building increased 3.9 per cent and apartment building was 10.3 per cent higher.
The report adds to other recent evidence that home sales and construction have largely weathered an increase in mortgage rates since the fall. Steady job creation and some early signs of wage gains have made it possible for more Americans to afford to buy.