Is The Bust In The Economy About Over?

For the last two months, the media has reported that certain key indicators would identify when the economic challenges have bottomed out and the tide has turned to brighter days.  One key would be when construction of new homes has started up once again. After reaching a record low in January, construction of new homes in the U.S. surged in February according to the U.S. Commerce Department.  

In their report issued this week the Commerce Department indicated that, after falling for eight months, housing starts rose to a seasonally adjusted annual rate of 583,000 in February, up 22 percent from a revised January total of 477,000. It was the first time housing starts had increased since June, when they rose 11 percent.

New-home construction surged in the Northeast, jumping nearly 89 percent last month. Starts also increased in the Midwest and the South.

February’s increase was driven by a nearly 80 percent increase in construction of multifamily homes. New construction of buildings with five or more units increased surged 80 percent, from 118,000 in January to 212,000.

More positive news came in the form of building permits — considered a reliable sign of future construction activity. Residential building permits rose 3 percent in February, to a seasonally adjusted annual rate of 547,000.

(source: Phoenix Business Journal)

So this might be the time to consider moving forward with plans for building your new home or even just a remodel or renovation when the best of the best qualified and experienced labors are still available.  We have already seen a movement with a couple of projects, once on hold, now getting the green light.  That’s good news for everyone.