The Census Bureau, Washington, D.C., reported that privately owned housing starts in March were at a seasonally adjusted annual rate of 1,321,000 14.7% below the revised February estimate.
Permits were also down 4.3% in March.
“Builders are grappling on several fronts as the inflation fight continues,” says Carl Harris, chairman of the National Association of Home Builders and a custom home builder from Wichita, Kansas. “Higher interest rates are increasing the cost of housing for prospective home buyers and raising the development and construction cost for builders of homes and apartments. At the same time, shelter inflation is rising faster than overall prices due to supply-side challenges.”
