After several months of decline, residential construction showed signs of recovery in November, according to the latest data from the U.S. Census Bureau. Housing starts, building permits, and housing completions all posted strong gains, signaling renewed momentum as the sector heads into the new year.
Housing starts in the South rose to a seasonally adjusted annual rate of 727,000 in November, a 10.2% increase from October and the highest level since September.
- Building permits climbed to 798,000, up 5.7% from October and the highest level since August. H
- Housing completions reached 871,000, marking an 8% increase and also the highest rate since August.
The South continued to dominate construction activity, accounting for 48.2% of all housing starts and 53% of building permits nationwide. The South now represents 54.4% of housing completions nationwide.
Mixed Month Nationally: While building permits jumped 6.1%, exceeding economists’ expectations of 0.7%, they also fell 1.8% on a broader scale, countering the anticipated 2.1% increase. This mixed data suggests both progress and lingering caution in the housing market.
Bottom Line: After a challenging stretch, residential construction is showing signs of a rebound. The surge in November’s activity could set the stage for stronger growth in the sector as we enter 2025.
