Can real estate in America get its comeback
A slow rise in construction lets some investors hope for a turnaround.

Even if there weren't many bright spots of economic hope during the coronavirus pandemic, the start of US residential construction in July could give cause for some optimism. Housing starts in the US reached a seasonally adjusted annual rate of 1.496 million in July, according to the Census Bureau and the Department of Housing and Urban Development. The construction start rate in July was up 22.6% on the previous month. In addition, housing starts in July increased 23.4% compared to July 2019. The number of housing starts rose in July to its highest level since January 2020, reaching a seasonally adjusted annual rate of 1.536 million units. The number of construction starts for single-family homes was 940,000, 8.2% higher than in June. The July rate for units in buildings with five or more units reached 547,000. The northeast of the region saw a boom in construction start-up activity, increasing by 35% month over month and 63.5% year over year. In other regions, the number of housing starts in the south rose 33.2% in July compared to the previous month. Meanwhile, activity in the West and the Midwest rose 5.8%. Meanwhile, home completions reached a seasonally adjusted annual rate of 1.28 million. Completions in July marked an increase of 3.6% compared to the previous month. Completions also rose by 1.7% year-on-year. Building permits for privately owned residential units reached a seasonally adjusted annual rate of 1.495 million. The approval rate for July increased by 18.8% compared to the previous month. In addition, the rate rose 9.4% year over year. The single-family home permits rate hit 983,000, an increase of 17.0% from the revised June figure of 840,000. Unit approvals in buildings of five or more units were at a rate of 467,000 in July.
