My finance view

Home building is picking up once again in the St. Louis region.

The number of permits for new single-family homes jumped 69 percent in November from the same month last year, according to new figures from the Home Builders Association of St. Louis.

The sharp jump was due in part to better weather, and to an exceptionally slow November last year, but it was the fifth consecutive month of year-over-year gains and echoed a national increase reported last week.

The numbers add to the growing sentiment that the market for new homes has bottomed out and that the supply of new construction is coming back into line with demand, after overbuilding in recent years. That has some market-watchers predicting a home building rebound in the spring.

Still, the market has a long way to go to return to past heights. For the year through November, local permits were running 17 percent behind last year’s pace and two-thirds off their peak in 2005.

Source