**MNI: 5 Things We Learned From The Residential Construction Data>

By Kevin Kastner, Sara Haire, and Holly Stokes

     WASHINGTON (MNI) - The following are the key points from the 

November new residential construction data released Tuesday by the 

Commerce Department: 

     - November housing starts added to the October gain on a sharp rise 

in sales in the South and West, while permits growth slowed, but 

remained relatively strong. The 4Q average for starts and permits 

through the first two months were much higher than in the previous 

quarter, and positive for residential fixed investment. 

     - Housing starts rose by 3.3% to 1.297 million rate, well above 

expectations for 1.250 million and the highest in a year. Permits fell 

1.4% to 1.298 million rate, ahead of expectations for 1.273 million. 

     - Starts were up 11.1% in the South to the highest level since 

August 2007, adding to the post-hurricane rebound seen in October, while 

starts in the West rose by 19.0%. Starts plunged 39.6% in the Northeast 

and 12.9% in the Midwest, providing some offset. 

     - Single-family housing starts rose 5.3% in November, multi-family 

down 1.6%. For permits, single-family were up 1.4%, multi-family down 

6.4%. 

     - Homes permitted but not started rose 0.6%, so starts could rise 

further in the near future. Homes under construction were up 1.0%, but 

completions fell 6.1% after a 10-year high in October. 

     ** MNI Washington Bureau: 202-371-2121 ** 

[TOPICS: MAUDS$,M$U$$$,MAUDR$]