Home building rises to key milestone It's Heating Up Again
NEW YORK (CNNMoney)
The annual pace of housing starts topped 1 million for the first time in nearly five years in March, another sign of the rebound in the sector.
The pace of housing starts came in at an annual rate of 1.04 million in the month, up 7% from February and 47% from a year earlier. It marked the first time since June 2008 that the pace of building crossed the 1 million benchmark.
Even with the recent gains in the sector, the reading was much stronger than forecasts.
After years of depressed activity, home building and real estate have turned around in recent months, helped by a combination of near record low mortgage rates, lower unemployment and a drop in foreclosures that has lifted home prices.
As a result, sales of both previously owned homes and new homes are both up. The rebound in building, sales and home values has helped to lift overall economic growth