Housing Starts Steady in June, Building Permits Fall to Lowest Level in More than Two Years

New Residential Construction Report Steady, But Lagging Builder Confidence

New residential construction was mixed in June, with housing starts steady and building permits falling to more than a two-year low. The U.S. Census Bureau report has lagged builder confidence levels.

Housing starts came in at a seasonally adjusted annual rate of 1,253,000, 0.9% (±7.9%) below the revised May estimate of 1,265,000. That’s still 6.2% (±7.8%) above the June 2018 rate of 1,180,000.

Single‐family housing starts in June were at a rate of 847,000; this is 3.5% (±9.6%) above the revised figure for May at 818,000. For June, the rate for units in buildings with five units or more was 396,000.

Building permits came in at a seasonally adjusted annual rate of 1,220,000, which is 6.1% (±1.2%) below the revised May rate of 1,299,000 and is 6.6% (±1.1%) below the June 2018 rate of 1,306,000.

Single‐family authorizations in June were at a rate of 813,000; this is 0.4 percent (±1.0%) above the revised figure of 810,000 for May. Authorizations of units in buildings with five units or more were 360,000.

Housing completions came in at a seasonally adjusted annual rate of 1,161,000, which is 4.8% (±12.8%) below the revised May estimate of 1,220,000 and 3.7% (±10.5%) below the June 2018 rate of 1,205,000.

Single‐family housing completions in June were at a rate of 870,000; this is 1.8% (±11.5%) below the revised rate of 886,000 for May. For June, the rate for units in buildings with five units or more was 283,000.

The NAFB Housing Market Index (HMI) reported builder confidence held solidly at 65 in June.