Shrabana Mukherjee Zacks
Construction of new U.S. homes reached its highest level in 13 years in December 2019, according to a report from the Commerce Department. The latest spike depicts the strength of the U.S. housing market, attributable to low mortgage rates, solid job market and resilient consumer confidence.
According to the Department of Housing and Urban Development and Department of Commerce, housing starts jumped 16.9% in December to a seasonally adjusted annual rate of 1.608 million, exceeding market expectation by 17%. The data for November was revised upward to 1.375 million units from 1.365 million units reported previously. Exceptionally warm December, a rise in multi-family construction (mainly in the Midwest) and seasonal adjustments led to the surge. Housing starts soared 40.8% in December on a year-over-year basis. READ MORE