Equipment Finance News
  • News
  • Event
  • Data
  • Features
  • Lender Directory
  • PodcastNew
  • WebinarsNew
    • Webinar Library
Log In
No Result
View All Result
  • Dealers
  • Lenders
  • Transportation
  • Agriculture
  • Construction
  • Materials Handling
  • Rentals
  • Compliance
  • Data Analysis
Equipment Finance News
  • News
  • Event
  • Data
  • Features
  • Lender Directory
  • PodcastNew
  • WebinarsNew
    • Webinar Library
No Result
View All Result
Equipment Finance News
No Result
View All Result

US housing starts fall in broad pullback after December surge

New residential construction declined nearly 10% in January

Bloomberg NewsbyBloomberg News
February 19, 2025
in Construction
Reading Time: 2 mins read
0
Share on FacebookShare on LinkedIn

US housing starts slowed in January as builders pulled back on single- and multifamily home construction amid growing worries over mortgage rates and unsold homes.

New residential construction decreased 9.8% to an annualized pace of 1.37 million last month, slipping after a nearly 16% surge in December, according to government data released Wednesday. That trailed the median estimate of economists surveyed by Bloomberg, who expected an annualized 1.39 million pace.

The slowdown followed an abnormally large gain the previous month which some economists attributed to seasonal adjustments. Single-family starts fell 8.4% to an annualized rate of 993,000 in January amid exceptionally cold weather across the country, marking the first drop since October. Multifamily starts, meantime, declined 13.5% to an annualized 373,000.

Economists and publicly-traded home builders expect the new-home market to see only modest growth this year, dragged down by mortgage rates near 7% and median prices that are 30% higher than in December 2019. Meantime, the prospect of 25% tariffs on goods from Mexico and Canada, a major source of US lumber, and a 10% tariff already in place on Chinese goods have reversed the jolt of confidence builders felt after President Donald Trump’s election in November.

Home contractors thus far have kept luring customers with sales incentives, including mortgage rate buydowns, where they make upfront payments on customers’ behalf to lower financing costs. However, builders increasingly are worried about the supply of new homes on the market — which is currently the highest since December 2007 — and have been slowing construction. Atlanta-based builder PulteGroup Inc. last month told investors it plans to adjust prices to sell off its spec homes, which have reached higher-than-normal levels.

What Bloomberg Economics Says…

“Ground-breaking on new homes slowed dramatically in January after December’s surge, with exceptionally cold weather playing a role. Starts may rebound in February as delayed projects resume. Still, with permit issuance stabilizing, new-home completions accelerating, and inventories of new single-family homes for sale already mounting, we expect construction activity to remain on a slowing trajectory.”

— Stuart Paul, economist

The number of new homes under construction fell 1.4% in January, continuing a downward trend over the past year. Home completions, meantime, rose in January for the first time since August.

Building permits, a leading indicator of future construction, edged higher in January, while single-family permits were unchanged.

Across the US, starts fell in the South, Midwest and Northeast, while the West registered an increase. The new residential construction data are volatile, and the government report showed 90% confidence that the monthly change ranged from a 22.3% decline to a 2.7% gain.

The National Association of Realtors will provide a look at the previously owned home market on Friday, when it releases monthly data on existing-home sales.

Tags: bloombergconstructionHomebuilding
Previous Post

InCharge Energy and DLL partner for charging finance solutions

Next Post

Northpoint Commercial, Yanmar America partner on dealer financing

Related Posts

US homebuilder sentiment drops to lowest level since end of 2022
Construction

US homebuilder sentiment drops to lowest level since end of 2022

June 17, 2025
A worker uses a Volvo AB excavator to build a road during construction in Saratoga Springs, Utah, U.S., on Tuesday, March 12, 2019. The National Association of Home Builders (NAHB) released housing market index figures on March 18.
Construction

Volvo CE invests $260M to expand excavator production

June 10, 2025
US jobs report points to gradual moderation in labor market
Construction

US jobs report points to gradual moderation in labor market

June 6, 2025
Next Post
Northpoint partners with Yanmar for financing

Northpoint Commercial, Yanmar America partner on dealer financing

Proud Member Of

Check Out Our Industry Event

Stay Informed With Our 8 Newsletters

The Dig Podcast

Dealer Operations

Listen: How Anderson Equipment is managing and protecting data

Financial stability brightens Anderson Equipment’s 90th anniversary

June 13, 2025
Tech investment set to grow in 2024

IronConnect launches DealerFlow platform to maximize returns

June 12, 2025
John Deere signage at a United Ag and Turf dealership in Colchester, Connecticut, US, on Friday, Nov. 3, 2023. Deere & Co. is expected to release earnings figures on November 22.

Deere, Toro opportunistic with capital during market slowdown

June 10, 2025
  • About Us
  • Advertise
  • Contact Us
  • Privacy Terms
  • ADA Compliance

 Manage Cookie Consent

Connect with us

© 2025 Royal MediaRoyal Media

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In
No Result
View All Result
  • News
    • All News
    • Dealers
    • Lenders
    • Transportation
    • Agriculture
    • Construction
    • Material Handling
    • Rentals
    • Compliance
    • Data Analysis
  • Event
  • Data
  • Features
  • Lender Directory
  • Podcast
  • Webinars
    • Webinar Library

© 2025 Royal MediaRoyal Media

THIS WEBSITE USES COOKIES

We use cookies on our website to give you the most relevant experience by remembering your preferences and repeat visits. By clicking “I CONSENT”, you consent to the use of ALL the cookies.

Cookie settingsI CONSENT

Review our Cookie Policies
.
Manage Cookie Consent

Privacy Overview

This website uses cookies to improve your experience while you navigate through the website. Out of these cookies, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. We also use third-party cookies that help us analyze and understand how you use this website. These cookies will be stored in your browser only with your consent. You also have the option to opt-out of these cookies. But opting out of some of these cookies may have an effect on your browsing experience.
Necessary
Always Enabled
Necessary cookies are absolutely essential for the website to function properly. These cookies ensure basic functionalities and security features of the website, anonymously.
CookieDurationDescription
cookielawinfo-checkbox-analytics11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Analytics".
cookielawinfo-checkbox-functional11 monthsThe cookie is set by GDPR cookie consent to record the user consent for the cookies in the category "Functional".
cookielawinfo-checkbox-necessary11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookies is used to store the user consent for the cookies in the category "Necessary".
cookielawinfo-checkbox-others11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Other.
cookielawinfo-checkbox-performance11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Performance".
viewed_cookie_policy11 monthsThe cookie is set by the GDPR Cookie Consent plugin and is used to store whether or not user has consented to the use of cookies. It does not store any personal data.
Functional
Functional cookies help to perform certain functionalities like sharing the content of the website on social media platforms, collect feedbacks, and other third-party features.
Performance
Performance cookies are used to understand and analyze the key performance indexes of the website which helps in delivering a better user experience for the visitors.
Analytics
Analytical cookies are used to understand how visitors interact with the website. These cookies help provide information on metrics the number of visitors, bounce rate, traffic source, etc.
Advertisement
Advertisement cookies are used to provide visitors with relevant ads and marketing campaigns. These cookies track visitors across websites and collect information to provide customized ads.
Others
Other uncategorized cookies are those that are being analyzed and have not been classified into a category as yet.
Save & Accept