New Home Building at 17-Year Low

A drop in building permits indicates that tough times will continue.

ByABC News
April 16, 2008, 8:48 AM

April 16, 2008— -- WASHINGTON (AP) -- The construction of new homes in the U.S. plunged in March to the lowest level in 17 years, the Commerce Department reported Wednesday.

Housing construction dropped by 11.9 percent to a seasonally adjusted annual rate of 947,000 units, a much bigger decline than economists had been forecasting.

Building permits also fell in March, signaling even more problems ahead for the beleaguered housing industry.