News Article From: 11-20-2006
The article, Construction of housing falls to lowest rate since "00,
from the Arizona Republic, reports that housing construction of
single-family homes and apartments fell 14.6 percent in October to an annual
rate of 1.486 million units, the slowest pace since July 2000. Building
permits fell 6.3 percent to an annual rate of 1.535 million units, the
slowest pace in nine years. "A tornado hit the housing sector in October,"
said Joel Naroff, chief economist at Naroff Economic Advisors,a private
forecasting firm. "Builders have seen the light from the housing market
meltdown and are now moving as rapidly as possible to reduce supply." With
inventories of unsold new and existing homes near record levels, many
analysts said the slump was likely to last for many months, possibly until
the middle of next year. However, some analyst found hints of a turnaround.
A monthly survey of builder sentiment conducted by the National Association
of Home Builders was up in November for the second straight month, the first
back to back gains since mid 2005.