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Today's Horrific Housing Report Was All About One US Region
Business Insider ^ | 17 July 2014 | Mamta Badkar

Posted on 07/17/2014 2:48:02 PM PDT by Lorianne

Earlier Thursday morning we saw that housing starts unexpectedly plunged 9.3% to an annualized rate of 893,000.

On the face of it, the report was ugly, considering all the talk about the recent housing snapback.

It's important to note that the miss was entirely due to one region: the South.

Housing starts plunged 29.6% in the South, driven by weakness in single-family units. "All the hit is in the south, where starts plunged by 29.6%, the biggest ever monthly drop, despite gains in each other region," wrote Ian Shepherdson at Pantheon Macroeconomics.

(Excerpt) Read more at businessinsider.com ...


TOPICS: Business/Economy
KEYWORDS: economy; housingstarts

1 posted on 07/17/2014 2:48:02 PM PDT by Lorianne
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To: Lorianne

Not in my part of the South. New housing has never slowed down.


2 posted on 07/17/2014 2:50:25 PM PDT by bgill
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To: Lorianne

Hmmmm.... this sounds a bit like yet another Obama apologist making excuses for the Marxist economic sh*t pile we’re in.


3 posted on 07/17/2014 2:51:04 PM PDT by Jack Hammer
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To: Lorianne

Uh, what about Phoenix?


4 posted on 07/17/2014 2:55:36 PM PDT by x1stcav (Leftism is like rust. It corrodes twenty-four hous a day.)
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To: x1stcav
Our good friends moved to Peoria, AZ a year ago, and stay in close touch with the sales manager of their development....the building in their phase continued at breakneck pace until about two months ago -- and he reports that sales came to a screeching halt, rather inexplicably.

I'm guessing that with the arrival of summer, and the departure of the Canadians has a lot to do with the buzzkill.

5 posted on 07/17/2014 3:02:27 PM PDT by ErnBatavia (It ain't a "hashtag"....it's a damn pound sign, number sign, or octothorpe. ###)
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To: Lorianne

ALL housing is entirely a collective of thounsands of local housing markets, each with their own conditions that “national” statistical trends never entirely reflect and
because national statistics do not alone spell good or bad for each independent market, they should be ignored and the only government statitics reported should only be ones that are specific to a state, region in a state or locale.

The rest may be appreciated by nationwide bankers and such, statisticians and economists but not most people, who simply want to know what very specific housing markets are doing.


6 posted on 07/17/2014 3:07:02 PM PDT by Wuli
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To: ErnBatavia

Of course, we’ll see but Phoenix has recent history of predicting housing crashes.

We can also blame it on global warming? Cooling? Harsh winter?

I think it is more fundamental.


7 posted on 07/17/2014 3:07:37 PM PDT by x1stcav (Leftism is like rust. It corrodes twenty-four hous a day.)
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To: Lorianne

how do the housing experts determine when more housing is needed and when their is sufficient housing available for the given population? Could the South have a surplus of housing available?? - just curious.


8 posted on 07/17/2014 3:17:10 PM PDT by elpadre (AfganistaMr Obama said the goal was to "disrupt, dismantle and defeat al-hereQaeda" and its allies.)
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To: elpadre

Builders make a living by building. When houses stop selling they keep on building to keep their crews around. They stop when they are sitting on too many houses and can’t make the payments.

Also:

Never ask a guy who sells tires if you need tires.


9 posted on 07/17/2014 3:21:08 PM PDT by SaxxonWoods (....Let It Burn...)
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To: Wuli
You are correct that all markets are local. In South Carolina the markets are flooded with foreclosures in the Upstate and Myrtle Beach areas. That would kind of put a damper on housing starts, especially since foreclosures depress market values, and the builders often cannot cover their costs.
10 posted on 07/17/2014 3:22:34 PM PDT by buckalfa (Long time caller --- first time listener.)
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To: ErnBatavia

My daughter is a realtor down there and she had the same report. She flips a lot of houses — buys a broken down one and goes in and fixes it up with all the vendors she knows thus bringing up to code and modern looking and then sells it for a big profit.

I know because she did the same with my condo back in February. I have new windows, new floors and carpeting, new appliances, new basic furniture, new light fixtures and lamps, new painting and mopboards, new bathroom fixtures, new water heater, new furnace and new countertops in kitchen and bathrooms.


11 posted on 07/17/2014 3:26:37 PM PDT by Salvation ("With God all things are possible." Matthew 19:26)
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To: Lorianne

12 posted on 07/17/2014 3:28:40 PM PDT by smokingfrog ( sleep with one eye open (<o> ---)
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To: SaxxonWoods

I was curious if these so called experts, as Ian Shepherdson at Pantheon Macroeconomics probably does, looks at the big picture or only counts building permits.


13 posted on 07/17/2014 3:44:15 PM PDT by elpadre (AfganistaMr Obama said the goal was to "disrupt, dismantle and defeat al-hereQaeda" and its allies.)
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To: Lorianne
Starts were actually up in the rest of the country. In the Northeast, housing starts were up 14.1%, driven mostly by multifamily starts.

IOW, apartments.

14 posted on 07/17/2014 3:50:47 PM PDT by TwelveOfTwenty (See my home page for some of my answers to the left's talking points.)
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To: Lorianne

The housing market is very strong. It does us no good to pretend it’s not. Focus on the border to sweep out vulnerable Dems in Novemeber


15 posted on 07/17/2014 5:11:08 PM PDT by montag813
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To: montag813
The housing market is very strong. It does us no good to pretend it’s not.

It is, but not entirely for the right reasons.

Rich Chinese look abroad to preserve wealth

Meanwhile, we have a record number of multi-generational house holds.

16 posted on 07/18/2014 3:34:33 AM PDT by TwelveOfTwenty (See my home page for some of my answers to the left's talking points.)
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