WASHINGTON Construction of new homes fell slightly in October after a big September surge, but weakness was largely driven by the volatile apartment sector.

Builders started construction at a seasonally adjusted annual rate of 1.009 million last month, the Commerce Department reported Wednesday. That was a drop of 2.8 percent from September, when construction had jumped 7.8 percent to 1.038 million.

The weakness stemmed from a 15.4 percent plunge in apartment construction, a category that tends to have big swings from month to month. Construction of single-family homes was up 4.2 percent, the third gain in the past four months.

Applications for building permits, a good sign of future activity, rose 4.8 percent in October to 1.08 million.

Although overall construction was down in October, analysts said the weakness was confined to apartment building, which had seen a huge increase in September. They noted upward revisions to overall activity in September and August and forecast further gains in the months ahead.

The improving trend should continue, supported by generally low rates ... and strong job growth, said Jennifer Lee, senior economist at BMO Capital Markets.

Showing strength in October was the South, which posted a 10.1 percent jump on construction starts. All other regions of the country recorded declines. Construction fell 18.5 percent in the Midwest, 16.4 percent in the Northeast and 10.9 percent in the West.

Solid employment gains, lower mortgage rates and easier lending standards are likely to boost housing in coming months. At the same time, economists are concerned about price gains, which have been outpacing wage increases.

Price increases have cut into affordability for would-be buyers, limiting sales growth for new homes and cutting into sales for existing homes.

But in an encouraging sign, U.S. homebuilders confidence rebounded in November as both sales expectations and buyer traffic improved. The National Association of Home Builders/Wells Fargo index rose to 58 this month, up from 54 in October.

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Homebuilding declines slightly in October

Published: Wednesday, 11/19/2014 - Updated: 14 hours ago

ASSOCIATED PRESS

WASHINGTON Construction of new homes fell slightly in October after a big surge in the previous month, but the weakness was largely driven by the volatile apartment sector.

Builders started construction at a seasonally adjusted annual rate of 1.009 million last month, the Commerce Department reported today. That was a drop of 2.8 percent from September when construction had jumped 7.8 percent to 1.038 million.

The weakness stemmed from a 15.4 percent plunge in apartment construction, a category that tends to have big swings from month to month. Construction of single-family homes was up 4.2 percent, the third gain in the past four months.

Applications for building permits, a good sign of future activity, rose 4.8 percent in October to 1.08 million.

While overall construction was down in October, analysts said the weakness was confined to apartment building, which had seen a huge increase in September. They noted upward revisions to overall activity in September and August and forecast further gains in the months ahead.

The improving trend should continue, supported by generally low rates ... and strong job growth, said Jennifer Lee, senior economist at BMO Capital Markets.

Showing strength in October was the South, which posted a 10.1 percent jump on construction starts. All other regions of the country recorded declines. Construction fell 18.5 percent in the Midwest, 16.4 percent in the Northeast and 10.9 percent in the West.

Solid employment gains, lower mortgage rates and somewhat easier lending standards are likely to boost housing in coming months. At the same time, economists are concerned about price gains, which so far have been outpacing wage increases.

Read the rest here:
Home construction drops 2.8% in Oct.

Construction of new homes fell slightly in October after a big surge in the previous month, but the weakness was largely driven by the volatile apartment sector.

Builders started construction at a seasonally adjusted annual rate of 1.009 million last month, the Commerce Department reportedWednesday. That was a drop of 2.8 percent from September when construction had jumped 7.8 percent to 1.038 million.

The weakness stemmed from a 15.4 percent plunge in apartment construction, a category that tends to have big swings from month to month. Construction of single-family homes was up 4.2 percent, the third gain in the past four months.

Applications for building permits, a good sign of future activity, rose 4.8 percent in October to 1.08 million.

While overall construction was down in October, analysts said the weakness was confined to apartment building, which had seen a huge increase in September. They noted upward revisions to overall activity in September and August and forecast further gains in the months ahead.

"The improving trend should continue, supported by generally low rates ... and strong job growth," said Jennifer Lee, senior economist at BMO Capital Markets.

Showing strength in October was the South, which posted a 10.1 percent jump on construction starts. All other regions of the country recorded declines. Construction fell 18.5 percent in the Midwest, 16.4 percent in the Northeast and 10.9 percent in the West.

Solid employment gains,lower mortgage rates and somewhat easier lending standards are likely to boost housing in coming months. At the same time, economists are concerned about price gains, which so far have been outpacing wage increases.

Price increases have cut into affordability for would-be buyers, limiting sales growth for new homes and cutting into sales for existing homes.

But in an encouraging sign, U.S. homebuilders' confidence rebounded in November as both sales expectations and buyer traffic improved. The National Association of Home Builders/Wells Fargo index rose to 58 this month, up from 54 in October.

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Home construction slows nationwide on heels of apartment-building surge

WASHINGTON (MarketWatch) A decline in construction started on apartments led to a slower pace of home building last month, according to government data released Wednesday.

Housing starts fell 2.8% in October to an annualized pace of 1.01 million from 1.04 million in September, the U.S. Commerce Department reported. The October starts rate in buildings with at least five units dropped 15.5%. Meanwhile, construction starts for single-family homes rose 4.2%, reaching the highest pace since November 2013.

Economists polled by MarketWatch had expected the overall starts rate to tick up to 1.03 million from an originally reported rate of 1.02 million in September.

Economists advised investors not to read too much into a single monthly home-construction report. A confidence interval of plus or minus 10% for Octobers overall starts drop of 2.8% shows that the government isnt sure whether the pace of construction rose or fell last month.

Longer-term trends signaled that the home-construction market continued to rebound: The pace of Octobers overall construction was up 7.8% from the year-earlier period.

All told, the report looks far more upbeat given positive revisions and favorable building permit issuance figures, said Michael Dolega, senior economist at TD Economics.

While we dont expect housing to improve at breakneck speed, we continue to feel positive about the prospects for housing market with a continued gradual recovery the most likely outcome. The pace of homebuilding remains well shy of demographic fundamentals. With mortgage rates likely to remain favorable, this gap should close over the medium term as the labor market heals, he added.

The annual pace of permits for new construction, a sign of future demand, rose 4.8% in October to 1.08 million the highest rate since June 2008 from 1.03 million in September. The permits rate rose 1.4% for single-family homes, and 8% for apartments.

Home building and sales have faced setbacks this year in the form of bad weather, rapid changes in interest rates and prices, and lending standards that some analysts say remain overly restrictive.

Wednesday afternoon, the Federal Reserve will release the minutes of its late October meeting, and officials there have been keeping a close watch on housing, trying to avoid disrupting the markets rebound. The central banks most recent policy statement said the housing sectors recovery remains slow.

Read more from the original source:
Economic Report: Housing starts slip in October as apartment construction slows

PLANS to build a multi-storey apartment building on Mackay's riverfront have been resurrected.

Mackay Regional Council has received a development application for The Pier, a luxury residential and commercial complex on the old Seafresh site boasting 54 apartments and ground floor commercial space.

The development was given the green light four years ago but approval lapsed because construction on the $87million proposal had not commenced.

Brothers David, Graham and Brian Caracciolo are the people behind the project.

David Caracciolo said it could be some time before the first residents moved in.

"It would be nice to see it eventuate in the next five years," he said.

"But no date has been set for construction. All we are doing is renewing the application to keep the project on the drawing board."

Mr Caracciolo said he was considering the possibility of a joint venture.

"The Pier will be built entirely on pilings over the Pioneer River," he said.

"It's an excellent location. The Pier will be totally suspended."

Continued here:
Pier project back on horizon

WASHINGTON (AP) Construction of new homes fell slightly in October after a big surge in the previous month, but the weakness was largely driven by the volatile apartment sector.

Builders started construction at a seasonally adjusted annual rate of 1.009 million last month, the Commerce Department reported Wednesday. That was a drop of 2.8 percent from September when construction had jumped 7.8 percent to 1.038 million.

The weakness stemmed from a 15.4 percent plunge in apartment construction, a category that tends to have big swings from month to month. Construction of single-family homes was up 4.2 percent, the third gain in the past four months.

Applications for building permits, a good sign of future activity, rose 4.8 percent in October to 1.08 million.

While overall construction was down in October, analysts said the weakness was confined to apartment building, which had seen a huge increase in September. They noted upward revisions to overall activity in September and August and forecast further gains in the months ahead.

The improving trend should continue, supported by generally low rates ... and strong job growth, said Jennifer Lee, senior economist at BMO Capital Markets.

Showing strength in October was the South, which posted a 10.1 percent jump on construction starts. All other regions of the country recorded declines. Construction fell 18.5 percent in the Midwest, 16.4 percent in the Northeast and 10.9 percent in the West.

Solid employment gains, lower mortgage rates and somewhat easier lending standards are likely to boost housing in coming months. At the same time, economists are concerned about price gains, which so far have been outpacing wage increases.

Price increases have cut into affordability for would-be buyers, limiting sales growth for new homes and cutting into sales for existing homes.

But in an encouraging sign, U.S. homebuilders confidence rebounded in November as both sales expectations and buyer traffic improved. The National Association of Home Builders/Wells Fargo index rose to 58 this month, up from 54 in October.

More:
Home construction drops 2.8 percent in October

CLIFFSIDE PARK, N.J. (CBSNewYork) A fire broke out late Tuesday in a multi-story apartment building that was under construction in Cliffside Park, New Jersey, and spread to other buildings.

The fire broke out around 5:45 p.m. in the building at Walker Street and Cliff Lane, fire officials told CBS2.

Witnesses watched as windows flew off the building.

I was in my house and I heard two explosions. I jumped and looked out the window and I saw this building behind us engulfed in flames, Rick Ferrer told CBS2s Hazel Sanchez.

Nearby residents said explosions could be felt blocks away.

We just heard a big bang and shook kind of the whole house, Justin Martone said.

Strong winds fueled the flames which could be seen several miles out. Burning debris flew to neighboring apartment buildings, forcing several families to be evacuated.

Ive never in my life seen flames spread so fast, one witness said.

Multiple fire departments from the surrounding area, including the North Hudson Fire Department, were dispatched to the scene.

Fire officials said the gusting winds late Tuesday caused flying embers to spread the fire.

Follow this link:
Bitter Winds Blamed In Fire That Spread To Multiple Buildings In Cliffside, N.J.

November 18, 2014, 6:18 PM Last updated: Tuesday, November 18, 2014, 11:42 PM

Marko Georgiev/Staff Photographer

A secondary fire ignited by burning embers engulfed a multifamily house at 375 Palisade Ave. in Cliffside Park

Marko Georgiev/Staff Photographer

A three-alarm fire at a multistory building being constructed on Walker street in Cliffside Park was brought under control Tuesday night, but not before the fire spread to at least one occupied building nearby.

Firefighters battled into the late evening Tuesday to quell an intense five-alarm blaze in a four-story residential building under construction in Cliffside Park, struggling against high winds that sent burning embers over a wide area, setting at least one three-story row house ablaze.

Photos: Firefighters battle multiple Cliffside Park fires

The entire block was evacuated along Palisade Avenue adjacent to the initial blaze at the corner of Walker Street. But there were no immediate reports of any serious injuries, said Thomas Calabrese, a borough councilman. As miodnight neared, one fireman had been injured, suffering minor smoke inhalation.

Neighbors who rushed out of their homes in the area said they heard three loud explosions, then saw flames erupt from the roof of the new building, a three-story wood frame structure over a concrete-walled ground floor.

More:
3-alarm fire in Cliffside Park spreads to nearby building; block evacuated

November 18, 2014, 6:18 PM Last updated: Tuesday, November 18, 2014, 11:53 PM

Marko Georgiev/Staff Photographer

A secondary fire ignited by burning embers engulfed a multifamily house at 375 Palisade Ave. in Cliffside Park

Firefighters battled into the late evening Tuesday to quell an intense five-alarm blaze in a four-story residential building under construction in Cliffside Park, struggling against high winds that sent burning embers over a wide area, setting at least one three-story row house ablaze.

Marko Georgiev/Staff Photographer

A three-alarm fire at a multistory building being constructed on Walker street in Cliffside Park was brought under control Tuesday night, but not before the fire spread to at least one occupied building nearby.

Photos: Firefighters battle multiple Cliffside Park fires

The entire block was evacuated along Palisade Avenue adjacent to the initial blaze at the corner of Walker Street. But there were no immediate reports of any serious injuries, said Thomas Calabrese, a borough councilman. As midnight neared, one fireman had been injured, suffering minor smoke inhalation.

Neighbors who rushed out of their homes in the area said they heard three loud explosions, then saw flames erupt from the roof of the new building, a three-story wood frame structure over a concrete-walled ground floor.

Calabrese said the initial fire, at the intersection of Walker Street and Palisade Avenue, was brought under control within about two hours after it was reported about 5:30 p.m., but wind-whipped embers set fire to one of the older three-story row houses along Palisade Avenue.

Excerpt from:
3-alarm fire in Cliffside Park spreads to nearby building; area evacuated

CLIFFSIDE PARK, N.J. (CBSNewYork) A fire broke out late Tuesday in a multi-story apartment building that was under construction in Cliffside Park, New Jersey, and spread to other buildings.

The fire broke out around 5:45 p.m. in the building at Walker Street and Cliff Lane, fire officials told CBS2.

Witnesses watched as windows flew off the building.

I was in my house and I heard two explosions. I jumped and looked out the window and I saw this building behind us engulfed in flames, Rick Ferrer told CBS2s Hazel Sanchez.

Nearby residents said explosions could be felt blocks away.

We just heard a big bang and shook kind of the whole house, Justin Martone said.

Strong winds fueled the flames which could be seen several miles out. Burning debris flew to neighboring apartment buildings, forcing several families to be evacuated.

Ive never in my life seen flames spread so fast, one witness said.

Multiple fire departments from the surrounding area, including the North Hudson Fire Department, were dispatched to the scene.

Fire officials said the gusting winds late Tuesday caused flying embers to spread the fire.

Go here to see the original:
Bitter Winds Blamed For Fire That Spread To Multiple Buildings In Cliffside, N.J.