Photographer: Luke Sharrett/Bloomberg

Homebuilding Is Hot Again. And Not Nearly Hot Enough

U.S. housing starts surged in October, but new units are still being added at the slowest rate in half a century.

New residential construction rose to a nine-year high in October, according to census data published today. Builders started new homes at an annualized rate of 1.32 million, the most since August 2007 and the largest month-over-month increase since July 1982. That's good news for a housing market struggling with low inventory in recent years, driving up prices and forcing prospective buyers to delay purchases, even as the vaunted millennials age into their prime homebuying years.

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