The news is good and may be getting better still.
According to the latest statistics, nationwide housing starts increased 20.2 percent to a seasonally adjusted annual pace of 1.14 million units in April. This is the highest level of housing production since November 2007 and the largest month-over-month increase since February 1991.
New construction for single-family homes — which make up the largest share of the market — rose to its highest level since January 2008. In addition, multi-family units also rose significantly registering a 27.2 percent increase in April.
Finally – and possibly the best news of all – housing permits, a key barometer for future home construction, increased to a near seven-year high at a 1.14 million unit rate.
Analysts cited a continue rise in employment for young adults – “millennials” – as a prime factor as they move out on their own and prepare to enter the housing market.
The forecast for the second quarter is for a substantial increase in housing.