Housing Starts Slide In May, Despite Plunging Rates

Despite the hype of soaring mortgage applications (refis, not purchases) and homebuilder stocks, housing starts tumbled 0.9% MoM in May (drastically missing expectations for a 0.3% rise), and while permits rose a better than expected 0.3% MoM, it remains very flat for the last six months.

 

Multi-family permits fell in May (to 820k) as single-family rose modestly (to 449k)…

 

The better than expected print for overall starts (at 1.294mm), was thanks to a massive spike in rental units…

Breakdown

  • Housing Starts 1-Unit: -6.4%, from 876K, to 820K

  • Housing Starts Multi Unit: +13.8%, from 383K to 436K 

Not exactly a picture of health for the future of millennial homeownership as rental nation remains front and center, despite plunging mortgage rates.

via ZeroHedge News http://bit.ly/31EVj3N Tyler Durden

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