Builders pulled back on the construction of single-family homes in February but forged ahead with multifamily starts, according to new government figures released Tuesday morning.
The Census Bureau reported that single-family starts fell 10% sequentially in February to a 457,000 seasonally adjusted annual rate. But multifamily construction jumped nearly 30% to a 233,000 rate in February.
A monthly survey by the National Association of Home Builders and Wells Fargo & Co. found that single-family builders remain "cautious" but they also expect to see a pick up in sales in the next six months.
"There is a sense that many local housing markets have started to move in the right direction and that the prospects of future sales are improving," said NAHB chairman Barry Rutenberg.
However, construction executives continue to complain about "persistently tight credit" for builders and home buyers.
