by However, building permits and housing starts decreased during the same period, indicating continued softness in some new development
WASHINGTON — May housing completions rose slightly in May from May of last year, but contracted in areas that included the issuing of building permits and housing starts.
The number of building permits issued totaled 1,386,000, down 9.5% from 1,532,000 in May last year and 3.8% below the revised April rate of 1,444,000. Meanwhile, housing starts totaled 1,277,000, 19.3% below 1,583,000 in May 2023 and 5.5% below the revised April estimate of 1,352,000.
Housing completions rose 1% to 1,514,000, up 1% from the May 2023 rate of 1,499,000 but 8.4% below the revised April estimate of 1,652,000.
Single-family building permits continue to represent the largest number of units, with 949,000 building permits issued in May, 2.9% below the revised April estimate of 977,000. Single-family housing starts totaled 982,000 in May, 5.2% below the revised April estimate of 1,036,000, and single-family housing completions totaled 1,027,000 in May, 8.5% below the revised April rate of 1,122,000.
The figures provide the industry a glimpse into an area of the economy that drives furniture sales. However, much of new home construction is also dependent on the sale of existing homes, which also have been down in recent months.
By region, the activity was as follows for the month of May compared to May last year and May to April of this year:
+ In the Northeast, there were 118,000 permits issued, down 25.3% from the 158,000 issued in May 2023 and down 22.4% from the 152,000 issued in April. There were 77,000 units started, down 19.8% from the 96,000 started in May 2023 and down 2.5% from the 79,000 started in April. There were 84,000 units completed, down 28.2% from the 117,000 completed in May 2023 and down 46.2% from the 156,000 completed in April.
+ In the Midwest, there were 180,000 residential building permits issued, down 7.2% from the 194,000 issued in May 2023, and up 8.4% from the 166,000 issued in April. There were 149,000 units started, down 43.1% from the 262,000 started in May 2023 and down 19% from the 184,000 started in April. There were 215,000 units competed, down 10.8% from 194,000 in May 2023 and down 4.9% from the 226,000 completed in April.
+ In the South, there were 773,000 permits issued, down 6.6% from the 828,000 issued in both May 2023 and April. There were 733,000 units started, down 16.1% from the 874,000 started in May 2023 and down 8.5% from 801,000 started in April. There were 836,000 completed, down 2.7% from the 859,000 completed in May 2023 and down 8.7% from the 916,000 completed in April.
+ In the West, there were 315,000 permits issued, down 10.5% from the 353,000 issued in May 2023 and up 7.1% from the 294,000 issued in April. There were 318,000 started in May, down 9.4% from the 351,000 started in May 2023 and up 10.4% from the 288,000 started in April. There were 379,000 units completed, up 15.2% from the 329,000 completed in May 2023 and up 7.1% from the 354,000 completed in April.
