Housing Starts Surge in February 2022

In February 2022, privately owned housing begins elevated by 6.8% from January on a seasonally adjusted annual foundation, the U.S. Census Bureau reported on March 17, 2022. In the meantime, privately owned housing completions rose by 5.9% from January, however constructing permits for privately owned constructing items declined by 1.9%. In comparison with February 2021, these figures had been up by 22.3%, down by 2.8%, and up by 7.7%, respectively.

The February 2022 housing begins determine was larger than the consensus estimate amongst economists by 4.7%. The constructing permits determine was 0.5% larger.

Housing Begins Element

Privately owned housing begins in February had been at a seasonally adjusted annual fee of 1,769,000. This was 6.8% above the revised January estimate of 1,657,000 and 22.3% above the February 2021 fee of 1,447,000.  

Single‐household housing begins in January had been at an annual fee of 1,116,000. This was 5.6% beneath the revised December determine of 1,182,000.

Housing Completions Element

Privately owned housing completions in February had been at a seasonally adjusted annual fee of 1,309,000.  This was 5.9% beneath the revised January estimate of 1,236,000 however 2.8% beneath the February 2021 fee of 1,347,000.  

Single‐household housing completions in February had been at a fee of 1,034,000. This was 12.1% above the revised January fee of 922,000. The February fee for items in buildings with 5 items or extra was 266,000.

Constructing Permits Element

Privately owned housing items licensed by constructing permits in February had been at a seasonally adjusted annual fee of 1,859,000.  This was 1.9% beneath the revised January fee of 1,895,000 however was 7.7% above the February 2021 fee of 1,726,000.  

Single‐household authorizations in February had been at a fee of 1,207,000. This was 0.5% beneath the revised January determine of 1,213,000. Authorizations of items in buildings with 5 items or extra had been at a fee of 597,000 in February.

Deciphering the Knowledge

The brand new residential development report for February 2022 contains explanatory notes. Amongst them is that this advisory: “In decoding adjustments within the statistics on this launch, notice that month‐to‐month adjustments in seasonally adjusted statistics typically present actions which can be irregular. It could take three months to ascertain an underlying pattern for constructing allow authorizations, six months for complete begins, and 6 months for complete completions.”

Concerning preliminary month-to-month estimates and later knowledge revisions, the notes point out: “On common, the preliminary seasonally adjusted estimates of complete constructing permits, housing begins and housing completions are revised 2.2 % or much less.”