Housing Starts Hit Stimulus Hangover

September new housing starts missed expectations, rising 0.5% to a seasonally-adjusted annual rate of just 590,000 vs. an expected 610,000. Starts were strongest in the South and West, while weakest in the Mid-West.

Building permits fell 1.2% vs. August, to a seasonally-adjusted annual rate of 573,000.

Slightly worse than expectated data shows that the housing market could be approaching a hangover, once home-buyer tax-credits disappear on November 30th.

Check out the release below. The chart below comes from Calculated Risk.

Housing Starts Sep 2009


NOW WATCH: Money & Markets videos

Want to read a more in-depth view on the trends influencing Australian business and the global economy? BI / Research is designed to help executives and industry leaders understand the major challenges and opportunities for industry, technology, strategy and the economy in the future. Sign up for free at research.businessinsider.com.au.