Single-Family Housing Starts Increased in February, but Coronavirus-Related Challenges Lie Ahead
The economic impact of COVID-19 is putting demand for housing and construction projects at risk.
Total housing starts decreased 1.5% in February from an upwardly revised January reading to a seasonally adjusted annual rate of 1.60 million units, according to a report from the U.S. Housing and Urban Development and Commerce Department. Meanwhile, overall permits declined 5.5% to 1.46 million.
The February reading of 1.60 million starts is the number of housing units builders would begin if they kept this pace for the next 12 months. Within this overall number, single-family starts increased 6.7% to a 1.07 million seasonally adjusted annual rate, the highest level since June 2007. The multi-family sector, which includes apartment buildings and condos, decreased 14.9% to a 527,000 pace.