U.S. Housing Starts Dropped More Last Month Than Expected

Home building south of the border took a few bruises in April.

Figures released Tuesday morning by the U.S. Commerce Department showed building decreased to a five-year low in April, underlining fears that the novel coronavirus crisis would lead to the deepest economic contraction in the second quarter since the Great Depression.

Housing starts tumbled 30.2% to a seasonally-adjusted annual rate of 891,000 units last month, the lowest level since early 2015. House building data for March was revised up to show home building declining to a pace of 1.276 million units instead of dropping to 1.216 million units as previously reported.

Economists had forecast housing starts falling to a pace of 927,000 units in April.