April 2009 Housing Starts Down Sharply; Single-family Housing Starts Increase

The Commerce Department recently reported that April 2009 U.S housing starts declined to a seasonally adjusted annual rate of 494,000 units. This represents a 50.2% decrease over the revised April 2008 estimate of 991,000 units. Economic analysts were expecting housing starts of 519,000 units in April 2009.

Despite the sharp decline in housing starts, the Commerce Department report can actually be viewed as positive news. The decline in April housing starts was wholly the result of a sharp drop in ground-breaking for apartment buildings and other multifamily dwellings. Single-family home construction actually rose 2.8% to 368,000 in April, after rising slightly in March as well. Many economists believe that builders breaking ground for new homes is a reliable sign that prices have fallen to appropriate levels and that there are people able to get financing.

However there still there remains a huge inventory of vacant unsold homes on the market. If there was ever a buyer's market in Chicago the time is now. If you are a Chicago real estate buyer or investor, you can receive $1,000s in real estate rebates using our Buyer Rebate Plan. By purchasing an MLS-listed home, you can receive up to 50% of our commission at closing. MLS listings include short-sales and foreclosures so call us today at 312-329-9596 for a free consultation.

Closing Cash Realty provides full-service discount real estate brokerage programs to buyer and listing clients in Chicago and the suburbs.