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Adding 412,000 new jobs over the next four years probably won't meet what builders will need if starts hit 1.6 million again.
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Builders rank their concerns about the housing industry in a recent NAHB survey.
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The year is off to a good start in terms of housing data. According to the U.S. Census Bureau and HUD, new residential construction permits, starts, and completions all grew more than expected in January.
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Multifamily is trending upward, but when it will peak depends on whom you talk to.
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Housing permits continued to inch up last month, reaching the highest level seen since July 2008.
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Starts, however, did poorly, led by a significant drop in single-family.
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NAHB economists report a bright outlook for housing, while warning of several possible headwinds on the horizon.
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September's strong showing may be evidence that pent-up demand is finally showing signs of release, one economist says.
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Economists polled by the National Association for Business Economics see home starts hitting 850,000 units in 2013.
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The lackluster pace of improvement, however, points to problems in underlying factors, one economist says.
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One investment firm argues that demand would support annual housing starts at 1.16 million by December.
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To match the population-to-starts ratio from 1930 to 1945, housing would have to average 800,000 starts annually for the next 15 years, says one economist.
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Starts were down in July due to sagging single-family activity.
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The multifamily rental segment is still showing better performance than the home buying segment.
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The more volatile multifamily sector registered mixed performance in June.
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Housing permits rose to the highest level seen in nearly four years.
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Single-family permits were also up, while multifamily permits retreated from March’s surge.
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Things were definitely moving in the right direction for multifamily starts last year.
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Leaders expect builders to seek prefab solutions as framers could be in short supply.
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Local improvement, however, will depend on how quickly foreclosures dissolve.