Housing Industry Sets New Record
I don’t think I saw any headlines heralding the new milestone in the home construction sector. For the first time in 48 years the number of housing permits issued in a given month hit a low of 616,000. The previously closest low was in March of 1975 when it was 709,000.
Depending upon your view this could be good news, or bad news. It’s good if you consider that number means we’re that much closer to the bottom. It’s bad if you consider the rest of the economy to be in such a mess that this number represents a new high relative to things to come.
Between the construction “fear”casts, and the construction horror headlines there are few places to run for cover. I read where the Michigan builders are now looking for federal help and right below that a headline announced a “painful” 2009 for construction. California is putting construction projects on hold because of the state’s deficit and GM just delayed the construction of a plant that was going to build an alternative fuel vehicle, the Chevy Volt.
But all was not gloom. Volkswagen announced it is about to begin construction on a paint facility for its Chattanooga plant. Meanwhile Washington state says it’s going ahead with a $16 million highway project in the spring. Perhaps in a month or so, we’ll be seeing more headlines like that.
Lively Discussion