The slow growth of home construction

Don’t expect a rebound in home construction anytime soon.

New building permits for single-family homes fell 3% in September, the Commerce Department said today. Builders are likely anticipating a drop in demand with the expiration of the $8,000 first-time home buyer credit on Nov. 30 and are planning accordingly.

The good news is that single-family home starts increased 3.9% in September. And the annual rate for all starts, including apartment construction, has remained relatively steady since June, rising just 0.5% last month to a seasonally-adjusted annual rate of 590,000 units.