The US Department of Commerce has released housing starts and building permits statistics for November. Accordingly, housing starts decreased by 0.5 percent compared to the previous month in November and decreased to 1 million 427 thousand.
Housing starts, which decreased below market expectations, were expected to be 1 million 400 thousand. Housing starts, which carried its decline to the third month, decreased by 2.1 percent in October and was realized at the level of 1 million 434 thousand.
Housing starts decreased by 16.4 percent year-on-year in November.
Building permits at 2-year low
Construction permits decreased by 11.2 percent on a monthly basis in November and decreased to 1 million 342 thousand.
The construction permits, which decreased more than expected in this period, were expected to be 1 million 485 thousand. Recording the lowest level since June 2020, construction permits decreased by 3.3 percent to 1 million 512 thousand in October.
Building permits in the US decreased by 22.4 percent year-on-year in November
Analysts said the continued decline in housing starts and building permits reflected rising material prices and rising mortgage interest rates, while housing demand was hurt by higher borrowing costs combined with inflation.