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New Home Construction Hits 17-Year Low in U.S.

Atlanta, Ga. 10/17/2008 8:44:05 PM

The construction of new homes and apartments in the United States has hit a 17-year low as the Commerce Department released figures noting September numbers were down 6.3% compared to the same month one year ago.

 

Much of the fall has been attributed to the banking crisis that has essentially frozen any access to credit for first-time homebuyers. The current banking situation has also made it difficult for construction companies to secure financing for building, resulting in the slowdown.

 

Experts are predicting the slide will continue through 2009 until the banking sector recovers from its current slide.

 

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