Housing Starts Are Tumbling as Completions Soar, It’s Very Recessionary

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by Mike Shedlock

The discrepancy between housing starts and completions is the largest since 1980. Let’s discuss.

Data from the Census Department, calculation and chart by Mish

The DotCom bust was unrelated to housing. Most recessions impact housing or housing busts lead to recession.

The single-family stats aren’t good, but they aren’t as bad.

Single Family Housing Starts Minus Completions

The next chart puts the discrepancy into proper perspective.

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Housing Starts and Completions

Housing Starts Minus Completions Detail

The Strong Economy?

Fed Chair Jerome Powell put on a strong display during the FOMC press conference.

But if the economy was as strong as Powell let on, the Fed arguably should have not cut rates at all.

On September 19, I noted Existing Home Sales Decline for the 24th Time in 31 Months

From a year ago sales are down 2.5 percent. Sales are down 39 percent from the January 2022 high.

The Ominous Reason Continued Unemployment Claims Have Improved

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Also, please note The Ominous Reason Continued Unemployment Claims Have Improved

The brief synopsis is unemployment benefits are expiring rapidly.