MNI DATA ANALYSIS:US April Housing Starts Slip To 1.287m SAAR>

--April Building Permits Down 1.8% To 1.352 Mln SAAR

--March Starts Revised Up To 1.336 Mln From Previous 1.319 Mln

By Kevin Kastner

     WASHINGTON (MNI) - The pace of housing starts fell by 3.7% to a 

1.287 million seasonally adjusted annual rate in April, below 

expectations for a 1.313 million rate after jump to an upward revised 

1.336 million pace in March, data reported by the Commerce Department 

Wednesday morning showed.  

     Annual revisions were included in the data. 

     Housing starts fell by 8.1% in the Northeast, by 16.3% in the 

Midwest, and by 12.0% in the West regions. These declines were partially 

offset by a 6.4% rise in the large South region. 

     Housing starts of single-family homes rose by 0.1% in April after a 

0.8% decline in the previous month, so the bulk of the headline decline 

came from multi-family starts, which fell 11.3% in the month, based on 

an MNI calculation. This followed a 13.6% rise in the previous month. 

--OUTLOOK STILL STRONG FOR NEAR-TERM BUILDING 

     Building permits fell by 1.8% in the month to a 1.352 million rate 

after rising to 1.377 million in March. Homes permitted but not started 

rose 1.9% in April. 

     As a result, starts could see a rebound in the coming months, 

particularly for single-family homes. Single-family permits authorized 

rose 0.9%, while multi-family permits were down 6.3%. Additionally, the 

NAHB index for April reported on Tuesday showed an improvement in 

builder confidence after declines in recent months. 

     The April housing starts pace was down from the 1.320 million first 

quarter average after all revisions were included. The April permits 

pace was slightly behind the 1.355 million first quarter average. Some 

improvement is possible as the second quarter progresses. 

     Homes under construction were flat, while completions rose by 2.8%, 

suggesting increased new home supply in the coming months. 

     ** MNI Washington Bureau (202) 371-2121 ** 

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