Posted on 05/17/2008 4:31:23 AM PDT by expat_panama
ASSOCIATED PRESS - Construction of new homes posted the biggest increase in more than two years in April. While it was a rare bit of good news for the housing market, analysts said it's far too soon to declare an end to the extensive slump. The Commerce Department reported yesterday that housing construction rose by 8.2 percent in April to a seasonally adjusted annual rate of 1.03 million units. Building of single-family homes continued to weaken, however. The growth came from a big jump in apartment construction. Analysts predicted the surprising rebound in April would be temporary given the headwinds builders are still confronting, from slumping sales to soaring home foreclosures. "It is definitely too early to uncork the champagne on the long and winding road to more healthy housing market conditions," said Brian Bethune, an economist at Global Insight. He does not expect housing activity to stabilize until the end of this year. The prolonged slump in housing has been a major drag on the overall economy, raising worries that the country is in danger of falling into a recession. A second report yesterday showed that consumer confidence as measured by the University of Michigan/Reuters survey fell to a 28-year low ...[snip]
(Excerpt) Read more at washingtontimes.com ...
More bad news ping....
The MSM is having a VERY hard time talking the economy into recession.
How many people will buy a $300 electronic gadget this weekend and complain about putting money in their gas tank and the price of food?
Construction of single-family homes--which is what most people think of when the phrase "home-building" is used, "continues to weaken." The surge is in apartment construction, perhaps to house the people who have lost, or can't afford, homes.
That’s the spirit!
Exactly!
What we've got here is more than the fact that consumer confidence is a lagging indicator, iow everyone's glum until all they got more money than they can stand. We've got a dem press with an agenda. The reverse was true in '00 where we had a big time collapse with a fawning press that was indignant that anyone would dare to "talk down" the economy by noticing the market crash and failing businesses.
While the Democrats are using this as their main issue, the fact remains that the housing market, in bubble areas, remains in a free fall.
Yet, much like the War On Terror, these same Democrats, who are so critical, have NO answers to the problem.
I certainly understand that negatives will be emphasized and overstated by the MSM when there is a Republican administration. But inferring the wrong message from the data and publicizing it will blow up in our faces.
“Construction of single-family homes—which is what most people think of when the phrase “home-building” is used, “continues to weaken.” The surge is in apartment construction, perhaps to house the people who have lost, or can’t afford, homes.”
They built 60,000 units in San Antonio.
As a former San Antonian for 15 years, I say hurrah. But there must have been 60,001 less units built somewhere else.
Or did I misunderstand? Did you mean houses and apartments?
Aaaaaauuuugggggghhhhhhhhhh!!!!!!!!!!!!!!!!!!!!!
We’re doomed.
“Analysts predicted the surprising rebound in April would be temporary”
Let’s see how the left spins it if there is another surprising rebound in May!
The banks are starting to lend again and the housing industry is beginning to rebound. Look for more “suprising” months.
Pray for W and Our Troops
Apartments. They are putting up complexes everywhere. The city is exploding.
I think it is good that we have cheap electronic gadgets, it takes people away from their problems. My wife and I just bought a WII system and the cost was equal to maybe a hundred gallons of gas total. The WII game is not consumed as soon as we use it so it represents greater value. We can’t afford to buy gas to travel much now so we can stay home and get up on our feet to do VR bowling, golf, tennis and such. It is somewhat like the cheap movies people went to during the depression, they couldn’t afford anything else. I consider the WII to be well worth its cost!
We all have our “outs”...I do a lot of historical work in the field and at home.
Note that the author, in true journalistic form, immediately called an economist to help him find the ‘bad news’ in this bit of good news! The author also doesn’t properly cite the source: the commerce department and the census department (that released the info)...
“The U.S. Census Bureau and the Department of Housing and Urban Development jointly announced the following new residential construction statistics for April 2008:
BUILDING PERMITS
Privately-owned housing units authorized by building permits in April were at a seasonally adjusted annual rate of 978,000.
This is 4.9 percent (±1.2%) above the revised March rate of 932,000, but is 34.3 percent (±1.4%) below the revised April 2007 estimate of 1,489,000.
Single-family authorizations in April were at a rate of 646,000; this is 4.0 percent (±1.4%) above the March figure of 621,000.
Authorizations of units in buildings with five units or more were at a rate of 294,000 in April.
HOUSING STARTS
Privately-owned housing starts in April were at a seasonally adjusted annual rate of 1,032,000. This is 8.2 percent (±14.5%)* above the revised March estimate of 954,000, but is 30.6 percent (±6.7%) below the revised April 2007 rate of 1,487,000.
Single-family housing starts in April were at a rate of 692,000; this is 1.7 percent (±11.7%)* below the March figure of 704,000. The April rate for units in buildings with five units or more was 326,000. “
Their Internet site is: http://www.census.gov/newresconst
“Single-family authorizations in April were at a rate of 646,000; this is 4.0 percent (±1.4%) above the March figure of 621,000.” The potential for the bottom having been March is there if you wish to see it!
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