Housing Starts, Building Permits Miss Forecasts in February

Volatile New Residential Construction Report Comes in Weak

The mixed new residential construction report for February finds housing starts missed their respective forecasts.

(Correction: A previous version stated building permits slightly beat the forecast. This was not accurate as that was the low end range. It has been updated to reflect a slight miss.)

Housing Starts

Privately‐owned housing starts in February came in at a seasonally adjusted annual rate of 1,162,000. This is 8.7% (±10.3%)* below the revised January estimate of 1,273,000 and is 9.9% (±11.5%)* below the February 2018 rate of 1,290,000.

The consensus forecast for housing starts was 1,201,000 million, ranging from a low of 1,141,000 million to a high of 1,250,000 million.

Single‐family housing starts in February were at a rate of 805,000; this is 17.0% (±11.2%) below the revised January figure of 970,000. The February rate for units in buildings with five units or more was 352,000.

Building Permits

Privately‐owned housing completions in February were at a seasonally adjusted annual rate of 1,303,000. This is 4.5% (±17.8%)* above the revised January estimate of 1,247,000 and is 1.1% (±18.6%)* above the February 2018 rate of 1,289,000.

The consensus forecast for building permits was 1,300,000 million, ranging from a low of 1,290,000 million to a high of 1,320,000 million.

Single‐family housing completions in February were at a rate of 816,000; this is 10.0% (±11.0%)* below the revised January rate of 907,000. The February rate for units in buildings with five units or more was 473,000

Housing Completions

Privately‐owned housing completions in February were at a seasonally adjusted annual rate of 1,303,000. This is 4.5% (±17.8%)* above the revised January estimate of 1,247,000 and is 1.1% (±18.6%)* above the February 2018 rate of 1,289,000.

Single‐family housing completions in February were at a rate of 816,000; this is 10.0% (±11.0%)* below the revised January rate of 907,000. The February rate for units in buildings with five units or more was 473,000.