Mortgages

US home building falls as developers start fewer apartments

U.S. builders broke ground on fewer homes last month, led by a drop in apartment construction.

The number of new housing starts declined 2.6 percent in January to a seasonally adjusted annual rate of 1.25 million, the Commerce Department said Thursday . The drop came after a much larger gain the previous month. Single family housing starts rose 1.9 percent, while apartment building dropped 7.9 percent.

Even with the decline, new home construction has increased 10.5 percent in the past year. That gain has been fueled by rising demand for homes as more Americans are looking to buy. Most economists saw Thursday's report as a sign that higher mortgage rates aren't yet dragging...

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