The U.S. Commerce Department reported this morning that U.S. housing starts fell a greater-than-expected 6% in August.
Specifically, single-family housing starts dropped 5.9% to their lowest level since February 2003.
Across the country, housing starts are down 19.8% from the August 2005 pace.
The report came a day after a building industry survey showed that home builder optimism sank for the eighth-straight month in September to its lowest level in more than 15 years.
I am hearing comments on the street that builders are not buying lots and avoiding starting spec homes as they attempt to build on the lots they already own.
Two years ago, builders were buying up every Treasure Valley lot they could find at any price developers asked.
Stay tuned for a future posting about builder incentives in the Treasure Valley!