We still don’t understand why we need to be starting any houses, save for one-off or custom homes. MarketWatch declares that housing starts PLUNGED to record lows of a 550,000 annual run rate in December. Plunged is typically a negative adjective, but not in this case.
Permits to build single-family homes fell 12.3% to a record-low 363,000 in December, while total permits including apartments dropped 10.7% to a 549,000 annual rate, also a record low. The report was much worse than expected for the second consecutive month.
Again, why is this much worse, rather than much better than what economists had expected? It’s not like homebuilders or homeowners actually benefit from more empty houses out there.