MNI DATA ANALYSIS:US November Starts Pace Rises To 1.256m SAAR>

--November Building Permits Rise 5.0% To 1.328m SAAR

By Harrison Clarke and Shikha Dave

     WASHINGTON (MNI) - The pace of housing starts rose by 3.2% to a 

1.256 million seasonally adjusted annual rate in November, slightly 

above expectations for a 1.220 million rate, data reported by the 

Commerce Department Tuesday morning indicated. 

     Effects from the California wildfires could be seen in the data, 

with starts posting a 14.2% decline in the West. This region should see 

a boost in permits and starts in the coming months, as rebuilding 

efforts begin.  

     Housing starts rose by 37.8% in the Northeast and 15.1% in the 

South, but fell by 14.2% in the West and 19.2% in the Midwest. 

     Housing starts of single-family homes fell by 4.6% in November 

after a 1.7% decrease in the previous month, while multi-family starts 

rose by 22.4% in November, based on an MNI calculation. This followed a 

1.4% decline in the previous month. 

--BUILDING PERMITS RISE

     Building permits rose by 5.0% in the month to a 1.328 million 

rate after a 0.4% decline to 1.265 million in October. 

     This increase was driven by gains in both single-family and 

multi-family permits. Homes permitted but not started rose by 3.5% in 

November. 

     The October and November starts average was slightly above the 

1.234 million third quarter average after all revisions were included. 

The October and November permits pace was above the 1.274 million third 

quarter average. 

     Homes under construction rose by 0.7%, and completions were up 

0.4%, suggesting a rise in new home supply in the near term. 

Additionally, the rebuilding efforts in West should add to home building 

in the near term. 

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

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