U.S. housing picture remains bleak in November

[marmar]

from the CBC (Canadian Broadcasting Corp.) News:



U.S. housing picture remains bleak in November
Last Updated: Tuesday, December 18, 2007 | 10:02 AM ET
CBC News


Bad news continues to come out of the U.S. housing market as construction of new homes tumbled in November, the U.S. Commerce Department reported Tuesday.

New construction of homes and apartments dropped by 3.7 per cent last month, led by a 5.5 per cent drop in single-family home construction. It's the weakest annual rate since April 1991.

The U.S. government said home building activity is more than 24 per cent below the same period last year.

The outlook for the home construction sector does not appear to be bright.

Applications for building permits fell in November for a sixth consecutive month to a seasonally adjusted annual rate of 1.15 million units. That is the lowest level since June 1993.

The U.S. housing market has been hurting from weak sales and prices, and from rising defaults and foreclosures stemming from the subprime mortgage sector.

The housing weakness has led economists to curtail their outlook for growth in the U.S. economy this quarter to about one per cent or less. Many are questioning whether the U.S. will be able to avoid recession in early 2008.

The Federal Reserve, in a move to buoy the economy, last week cut interest rates in the U.S. by 0.25 of a percentage point.

http://www.cbc.ca/money/story/2007/12/18/ushousingnov.html

[glowing]

1. Perhaps if the housing sector focused on building energy-efficient,

whether proofed, affordable housing.. they would get some takers... The days of monster homes is over... I'd rather have more land for growing things on and enjoying with my family, than super home, that no one leaves because you can get lost looking for the front door.