Home Construction at Fastest Pace Since 2008

ABC News Blogs
Home Construction at Fastest Pace Since 2008

View photo

Home Construction at Fastest Pace Since 2008 (ABC News)

New home construction jumped in December to its fastest pace since June 2008, the Commerce Department reported today.

"We're about halfway back so there's still plenty of room to grow, but we do think the underlying strength is there," said National Association of Homebuilders senior economist Robert Denk.

Related story: White House Value Rose Since Obamas Moved In

The boost in new home building was spread throughout the country but the largest gains were in the South and West. This matches the pace of home prices, which are now rising fastest in areas hit the hardest by the sub-prime lending crisis.

According to another report released this morning by CoreLogic, 1.4 million homeowners who were underwater on their mortgage are now in "positive equity" thanks to rising home prices. Though there are still 10.7 million homeowners, or 22 percent of the country's total, who owe more on their homes than they are worth.

The housing market appears to be in an increasingly convincing recovery, which is good news for construction jobs and an important ripple effect for the entire economy.

"2012 was a great year for the housing market and we should see that continue in 2013," said Molly Boesel, senior economist at CoreLogic.

ABC Radio News' Richard Davies contributed to this report.

View Comments (0)

Recommended for You

  • ‘GMA’ Tries Video Doorbells to See How Well They Work

    Doorbells equipped with video cameras are on homes across the country. The commercial for Ring says the doorbell allows homeowners to see and speak to whomever is at their front door from their smartphone. “GMA” Investigates tried two video doorbells –- from Ring and its main competitor, SkyBell…

    Good Morning America15 mins ago
  • 'Dancing' Winner Nyle DiMarco 'Touched' by Carrie Ann Inaba's Sign Language Message

    Nyle DiMarco made history Tuesday night as the first deaf contestant to win “Dancing With the Stars.” The actor-model said it was an action by one of the show’s judges that “really touched” him. “DWTS” judge Carrie Ann Inaba delivered her remarks to DiMarco after his final dance with pro partner…

    Good Morning America15 mins ago
  • Ginger Zee Says She's 'So Much Stronger, More Confident' After Her 'DWTS' Journey

    It’s hard to believe just 12 weeks ago, Ginger Zee was headed West to start her journey in the “Dancing With the Stars” ballroom. On Tuesday night, day two of the two-night season finale, model and actor Nyle DiMarco was chosen as the winner of season 22 edging out Zee and UFC fighter Paige VanZant.

    Good Morning America20 mins ago
  • 'Game of Thrones' Showrunners Apologize for Sunday's Episode

    So, the creators of "Game of Thrones" are sorry about Sunday's episode, but not the way you would think.D.B. Weiss and David Benioff created a video for Tuesday night's "Jimmy Kimmel Live" and explained what they were sorry about.SPOILERS AHEADRead: 'Game of Thrones' Reveals Character's…

    Good Morning America27 mins ago
  • Pink Opens Up About Return to Music With 'Alice Through the Looking Glass' Song

    “A lot of bake sales,” said Pink, the mother of a 4-year-old daughter, Willow Sage, with husband Carey Hart. Pink said she celebrates “uniqueness” with her husband and daughter, and it was the uniqueness in “Alice Through the Looking Glass” that drew her to the film.

    Good Morning America51 mins ago
  • Tornadoes, Severe Weather Sweep Across Plains, With 2 Injured in Kansas

    Two people were critically injured in Kansas Tuesday evening after severe weather swept through the Plains, according to The Associated Press.In a statement issued by the Kansas Adjutant General's Office, the two injured people were taken to a hospital in Dodge City. It also said that the storms…

    Good Morning America
  • Obama Fields Most Colorful Town Hall to Date in Vietnam

    President Obama arrived to enthusiastic crowds at his final event in Vietnam today, a town hall with young leaders in Ho Chi Minh City, where the president fielded some of the most colorful questions he has ever taken. "Your generation can look at the world with fresh eyes without some of the old…

    Good Morning America
  • Chaotic Scene Erupts Outside Donald Trump Rally in New Mexico

    A protester was arrested after a chaotic scene erupted outside a Donald Trump rally in New Mexico overnight, which left several officers injured after being pelted by rocks. Throngs of protesters gathered outside the rally in Albuquerque and several protesters were escorted out of the rally…

    Good Morning America
  • Suspect in Arizona Highway Shootings Taken Into Custody

    The suspect, whose name was not released, is in his mid-30s and a resident of Phoenix, according to Department of Public Safety Public Information Officer Damon Cecil. Cecil said it would remain closed for several hours.

    Good Morning America
  • Ariana Grande, Bob Dylan, Eric Clapton, Mudcrutch and More Music Reviews

    This week Ariana Grande returns with a more mature image, Bob Dylan drops another collection of standards, Eric Clapton hints at a goodbye, Tom Petty reforms his pre-Heartbreakers band Mudcrutch for their second outing, Blake Shelton sings about falling-apart relationships and blossoming new ones,…

    Good Morning America
  • ‘Dancing With the Stars’ Finale 2016: Nyle DiMarco Wins Mirror Ball Trophy in Season 22

    Model/actor Nyle DiMarco won season 22 of “Dancing With the Stars” tonight, beating out UFC fighter Paige VanZant and “GMA” meteorologist Ginger Zee to take the coveted mirror ball trophy. DiMarco jumped when the results were revealed before being quickly engulfed in hugs from supporters and his…

    Good Morning America
  • Craig Sager to Receive Jimmy V Perseverance Award at ESPYS

    It wouldn't be the ESPYS without the Jimmy V Perseverance Award, and this year's recipient couldn't be more deserving. Craig Sager, 64, was diagnosed with leukemia just two years ago and has shared his battle with the sports world while still working on the sidelines at TNT. Sager -- who has…

    Good Morning America
  • Unnerving Video Shows Lions Licking Tent With Camper Still Inside

    A camper in Africa experienced a too-close-for-comfort encounter with nature when she recorded three lionesses licking her tent while she was still inside. Francie Lubbe was camping at the Kgalagadi Transfrontier Park in Botswana on May 9 when she recorded the lionesses licking water on the tent…

    Good Morning America
  • Brad Pitt Helps Save Young Fan From Being Crushed in Crowd

    While shooting his upcoming World War II film, "Allied," in Spain's Canary Islands, the actor took a break to greet fans. In a video of the incident, Pitt can be seen pointing to the girl before rushing over to help her.

    Good Morning America
  • Sophisticated Burglary of NYC Bank Through Roof Is the Latest in Series of Heists by 'Pros,' Police Say

    Thieves robbed a New York City bank over the weekend, apparently by cutting a wide hole in the roof, police said, noting that the sophisticated heist at the Maspeth Federal Savings branch in Rego Park, Queens, is the tenth of its kind across New York City. A bank employee first saw the gaping hole…

    Good Morning America
  • Feds Seeking Death Penalty Against Alleged Charleston Church Shooter Dylann Roof

    The Justice Department is seeking the death penalty against Dylann Roof, who allegedly opened fire inside a Charleston, South Carolina, church last year, killing nine people. "Following the department’s rigorous review process to thoroughly consider all relevant factual and legal issues, I have…

    Good Morning America
  • Chelsea Handler Doesn’t Care What People Think of Her New Show

    Chelsea Handler has made a career out of being unapologetic, unafraid and sometimes half-naked. On "Chelsea," Handler has done everything from having dinner parties with movie stars to trips to Japan so she can learn how to become a geisha and a Harajuku girl. And while it's a late-night talk…

    Good Morning America