Construction of new homes tumbles. - KWWL - Eastern Iowa Breaking News, Weather, Closings

Construction of new homes tumbles.

Posted:

WASHINGTON, D.C. (KWWL) - Builders have slashed construction of new homes to the slowest pace since early 1991, when the country was in a deep recession.

The 6.3%  last month was much bigger than the 1.6% decrease that had been expected. The decline was steepest in the Northeast where construction dropped nearly 21%. Construction slipped to around 17% in the West, with single familybuilding hitting a record low. The Midwest saw a gain of 5.6%, reflecting strength in apartment construction.

The building industry is on pace to construct the fewest new homes and apartments this year since the end of World War II.

The housingindutstry is suffering its worst decline in decades after a five-year boom, triggering severe economic troubles throughout the larger economy.

Powered by Frankly