The Associated Press
Province
WASHINGTON — Construction of new single-family homes in the U.S. surged to an all-time high in 2005 but construction activity fell sharply in December, sending a signal that the long housing boom could be cooling.
The Commerce Department reported that construction of new homes and apartments fell by 8.9 per cent last month, the biggest decline in nine months.
Even with the December weakness, construction was started on 2.064 million single-family homes and apartments last year, the second-highest level on record, exceeded only by 2.356 million units built in 1972. Construction of just single-family homes set a record last year of 1.714 million units, up 6.4 per cent from the previous record set in 2004.
In another report, the Labour Department said that the number of Americans filing for unemployment benefits fell to 271,000 last week, the lowest level in nearly six years and an unexpectedly sharp drop of 36,000 claims.
© The Vancouver Province 2006