Home construction spending falls 53% from peak
Spending on residential, commercial projects drops 5% in '08
By Inman News, Monday, February 2, 2009.Spending on residential construction dropped 27.2 percent in 2008 to $358.4 billion, the U.S. Census Bureau reported today, and was down 52.8 percent from a record peak of $676.4 billion in March 2006.
The monthly rate of spending on private residential construction projects fell for the fourth straight month in December 2008 to $319.2 billion, the lowest level since April 1999.
Total construction spending -- including public and private residential and commercial projects -- amounted to an estimated $1.08 trillion in 2008, down 5.1 percent from 2007.
The pace of new-home sales and housing starts hit the lowest levels on record in December, the Census Bureau and U.S. Department of Housing and Urban Development reported last month (see Inman News).
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Submitted by Jose Lopez on February 2, 2009 - 6:37pm.
It was bound to happen. I did not think that anyone was building anything new. Brand new homes have been sitting on the market for a couple of years trying to be sold, so how would anyone think of building new??
Jose Lopez
www.sellsarasota.com
www.fl-repos.com
Submitted by Ned Carey on February 2, 2009 - 9:22pm.
I am with you Jose. I am surprised every time I see new constuction starting.
Ned Carey
http://baltimorerealestateinvestingblog.com/