WASHINGTON DC - The Commerce Department reported this week that housing starts in May increased 17.2 percent from April, to an annual rate of 532,000 units. Multifamily homes increased 61.7 percent after diving 49.4 percent in April. New single-family starts rose 7.5 percent in May, the largest gain since January 2006.
This is the third straight month that single-family home starts have risen, indicating that housing investment is growing and, if the trend continues, will be less of a drag on the economy in the months ahead.