New-Home Market Posts Big Gains as Permits Surge


Housing permits for home construction reached a five-and-a-half-year high in October, signaling a strong uprise in new-home construction, the Census Bureau reports...

Single-family home permits -- which make up the largest part of the market -- rose 0.8 percent, following a 1.9 percent drop in September...

Housing permits in the West and South posted some of the strongest gains with permits rising to the highest levels in those regions since January 2008. Permits fell in the Midwest and stayed flat in the Northeast....

"Permits are often a harbinger of future housing activity and the strong showing in the multifamily sector along with stable numbers on the single-family side bode well for a continuing, gradual upturn in housing over the coming months," says Robert Denk, a senior economist with the National Association of Home Builders...

Source: “Housing Permits Hit 5-Year High,” Reuters (Nov. 26, 2013) and National Association of Home Builders