January housing starts down 14.3 percent
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The pace of U.S. home construction fell 14.3 percent in January, the sharpest drop since October that bucked two months of increases and that was much worse than economists had expected, a government report on Friday showed.
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Down 3.3 percent in the past year, median US home values are still 7.6 percent above 2004 levels.
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The nation's manufacturing sector contracted in January, surprising many economists and signaling a shaky start to the new year for industry amid weakness in housing and autos.
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Home building projects started in December fell by a sharper-than-expected 14.2 percent to their lowest level in more than 16 years, while permits for future building hit a 14-year low, a government report on Thursday showed.
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The average asking price of homes up for sale has fallen for a third month in a row, Rightmove says.
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House prices fell for the third month in a row during January, the Nationwide building society says.
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The home builder said on Tuesday declining home values would lead to its first quarterly loss since it listed on the New York Stock Exchange in 1995, sending its shares to a three-year low.
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January starts data throws cold water on hopes for recovery.
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WASHINGTON -- The prolonged slump in housing pushed construction of new homes in 2007 down by the largest amount in 27 years with the expectation that the downturn has further to go.
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Mortgage lending has declined by a quarter since last year, according to new figures, providing further evidence of a slowdown in the housing market.
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Business & money: House prices fell in January for the third month in a row, according to a report by Rightmove
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Payments to Social Security recipients and most federal retirees will increase 2.3 percent in January. It is the smallest cost-of-living adjustment since 2003, reflecting a lower rate of inflation.
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Housing starts fell 3.7 percent in  November, with construction of single-family homes sliding to  the lowest level in more than 16 years as builders scrambled to  cope with a deep drop in sales.
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The economy turned in a much weaker performance in the final quarter of 2006 than initially thought, and new-home sales tumbled in January by the most in 13 years, suggesting more business lethargy ahead.
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Housing starts nationwide sank to a 14-year low last month as concern grew about the effects the faltering industry could have on the U.S. economy.
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UK house prices fell in the three months to January, the Royal Institution of Chartered Surveyors says.
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Forecasters expect the median price of  U.S. homes to fall between 1 percent and 2 percent this year in  what would be the first such decline since 1950, when federal  agencies began tracking such statistics, the New York Times  reported on Sunday.