After reaching a 12-year high in August, U.S. new-home construction fell 9.4% in September to a seasonally adjusted annual rate of 1.256 million units, according to cnbc.com.
Economists had expected housing starts to drop to a pace of 1.320 million units in September. The September rate increased 1.6% compared with September 2018.
Single-family starts rose 0.3% to 918,000 units, and building permits decreased 2.7% to a 1.387 million annualized rate after reaching the highest level since May 2007 in August.
Data for August was revised up to show homebuilding rising to a pace of 1.386 million units instead of the 1.364 million units previously reported.
Builders reportedly “continue to remain cautious due to ongoing supply-side constraints and concerns about a slowing economy.”
