As a new package of measures to boost the housing sector to be unveiled this week, construction continues on the other hand its slow but inexorable decline, still a little away from the goal of 500,000 new housing.
Construction is still stuck a little more
If you believe the government, the economic recovery is a prerequisite for recovery of housing. However, if the executive has made this objective one of its priorities, it is clear that the construction industry still fails to take the path of a possible recovery. According to statistics of the Ministry of Housing published this Tuesday, Aug. 26, only 73,468 new homes have been initiated between the months of May and July, a decrease of 13.3% compared to the same period a year earlier. If professionals have enough gray to mine, these figures however show less depressing than those published in late May (-21.4% for building ordinary homes against 16% today, up 9.7% for residential accommodation against 35% today). This is however not enough to reverse a decidedly stubborn downtrend. Indeed since August 2013 and until last July, the volume starts lagging therefore decline -10.8%, thus standing at 305,079 units (against -8.5% between June 2013 and May 2014).
A still bleak future for housing
The hope is it found on the side of the building permit? If they are presented as indicators of starts coming professionals will still be prepared to experience hangovers. Indeed, with only 101,885 counted license between May and July, the Department notes that this statistic fell by -1.1%. Solely because of “satisfaction”, this decline could legitimately be considered a most remarkable progress against the 22.8% observed in late April and 16.1% recorded in late May.
Housing new struggle to sell
On the front of transactions, while the government is preparing to reform the tax exemption scheme Duflot to restart the acquisition of rental housing, the Department made for its part reported a decline of 12.1% in the number of new home sales in the second quarter 2014 (compared to the second quarter of 2013.)