Posted on 08/16/2007 5:50:32 AM PDT by Hydroshock
NEW YORK (CNNMoney.com) -- Housing starts and permits both fell to the lowest levels in more than a decade, as the latest reading on the battered housing and home building markets both came in below expectations Thursday.
Housing starts fell to an annual rate of 1.38 million in July from a revised 1.47 million rate in June. Economists surveyed by Briefing.com had forecast starts would fall to a 1.41 million pace in June.
Housing starts and permits are at the lowest level in more than a decade.
The latest reading is the lowest level of starts since January 1997.
Building permits, which are often seen as a snapshot on builders' view on the state of the market, fell to an annual rate of 1.37 million from the June figure of 1.41 million, marking the lowest level since October 1996. Economists had been forecasting a rate of 1.4 million.
The report comes the day after a survey of members by the National Association of Home Builders showed builders' confidence in the market at a 16-year low.
(Excerpt) Read more at money.cnn.com ...
No, proof teh market is saturated adn we need to ride this out. The risk of rising inflation is to great.
Isn’t this just the natural result of a boom/bust cycle? Why does everyone panic? The world’s not ending, as far as we know. It’s like gorging at the buffet, then complaining cuz there’s no more food, when you know they’ll make more. Just not until people walk off what they already ate. What’s the big deal?
It’s a natural thing for sure.
When anyone can buy a 700 000 $ house without additional securities and no own money it’s time for a cycle to end.
Unfortunalty the money printers shelled out so much money in the past, that the next downcycle might cost a lot of jobs, wealth and last but not least the ability to pay for war.
Bushonomics.
We've been running a tab on the war, haven't we?
POP goes the bubble...
Somehow I managed to sell two homes that I owned in the past 4 four months. I even got almost two grand at closing on a huge house I built just 2 1/2 years ago. Many in th is situation are bringing checks to closing. I got lucky.
I thought Clinton/Gore were going to end the cycle. Did I hear them right? You know the ups and downs etc.
oops sorr foregt that it’s not allowed to speak about it’s costs.
Nooooo everything is fine with the war. Best war ever.
all real estate is local
Not when the concern is no money to lend for it.
Houses are still selling well in places like Charlotte, Seattle, Louisville and Salt Lake City.
Other boom markets such as Phoenix, Las Vegas and Florida are overbuilt and tanking.
Detroit and Cleveland are probably the worst places in the country.
The Lumber Broker
it’s not the fed’s job to prop up the housing market or the stock market. the economy remains fundmentally sound (hint, the economy does not equal to the stock makret index or housign start), unemployment rate is low, corporate profits are good, productivity is up, there is no need to cut interest to stimulate the economy. if anything, the upward movements of food and energy cost may even suggest inflationary pressure - and cutting rates is not a good idea. the only thing cutting rates right now will do is to goose the housing and stock market, again, not the fed’s job ....
Yup Time for the press to start beating the “the horrible republicans are tanking the economy” drum again.
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