Macro glossary

Housing Starts

Privately-owned housing units whose foundations were begun in a given month.

Definition

Housing starts lag permits by roughly 1 month. They are an early, cyclical signal because residential investment contracts sharply during monetary tightening cycles.

Related indicators

Housing Starts

Track U.S. housing starts — a key leading indicator. Residential investment leads the business cycle

Building Permits

Track U.S. residential building permits in real time. Declining permits are the most critical recess

Related terms

Building Permits

Authorizations issued by local jurisdictions for private housing units to be built.

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