US housing remains under pressure from high mortgage rates as construction outlook weakens

🏠 Census data released on October 20 showed September housing starts fell an estimated 5.2% from August to a seasonally adjusted annual rate of 1.221 million, below expectations of around 1.30 million.

📉 Single-family building permits dropped 4% to an annual rate of 845,000, the lowest in about 3½ years. This indicator of future construction suggests a recovery may take time.

🏦 The average 30-year fixed mortgage rate stood at 7.40% in the week ending October 15, constraining affordability and weighing on demand and new projects.

🔎 The figures raise concerns that residential investment could weigh on US growth. However, the monthly decline in starts carries a wide margin of error, making further reports necessary to assess the trend.

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