Housing starts rise in December 2012

Housing starts rose 12.1 percent from November 2012 to December 2012, according to USA Today. Construction increased to a seasonally adjusted annual rate of 954,000 compared with 851,000 in November 2012.

Additionally, single-family construction starts rose 8.1 percent. And building permit applications, which are viewed as a barometer of future construction, rose 0.3 percent in December 2012 to 903,000, which is the most since July 2008.

Steady growth in home construction is the latest sign that the housing recovery is strengthening. And single-family home starts have been improving as job growth has lowered unemployment, fueling more housing demand.

Housing starts are far above the annual rate of 478,000 in April 2009, which was the recession low. Housing starts also were 36.9 percent higher in December 2012 than in December 2011. However, a 1.5 million annual rate still is needed to be considered healthy.

Date : 1/18/2013