Single-family housing starts, which account for the bulk of homebuilding, increased 2.8% to a seasonally adjusted annual rate of 939,000 units last month, the Commerce Department’s Census Bureau said on Tuesday. Permits for future single-family homebuilding edged up 0.5% to a rate of 870,000 units.
Overall residential project starts, including apartments, jumped 5.2% to a rate of 1.428 million units and permit issuance fell 2.8% to 1.354 million units.
The average rate on the popular 30-year fixed-rate mortgage, the most common U.S. home loan, fell to 6.58% last week, the lowest level since October, data from mortgage finance agency Freddie Mac showed. That rate is down by nearly half a percentage point since January.