Housing Starts Surge 25% in October to 1.323 Million; More Moderate Growth Likely

Privately-owned housing starts in October were at a seasonally adjusted annual rate of 1,323,000, which is 25.5% above the revised September estimate of 1,054,000 and is 23.3% above the October 2015 rate of 1,073,000. Single-family housing starts in October were at a rate of 869,000. This is 10.7% above the revised September figure of 785,000. The October rate for units in buildings with five units or more was 445,000.

Don Leavens, chief economist of the National Electrical Manufacturers Association (NEMA), Rosslyn, Va., cautioned NEMA members at the association’s annual meeting this week that although this monthly increase is the largest in years, it more important to watch the overall trend. He expects moderate housing growth in 2017.