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Over the past 12 months, the home construction data still look strong: Builders broke ground on 15 percent more single-family homes in July than a year earlier. And including apartments, housing starts have surged 21 percent in the past year. Applications for permits for future home construction also rose in July, though solely because of apartments. Permits rose 2.7 percent to 943,000, thanks to a 13.5 percent jump in apartment permits. Permits for single-family homes dipped 2 percent but are still near the five-year high reached in June. Overall housing starts remain below the 1.5 million-a-year rate that's consistent with a healthy market. Builders are more optimistic than at any time in nearly eight years, and Americans are buying new homes at the fastest pace in five years. Both trends should spur more construction. A measure of homebuilder confidence rose for a fourth consecutive month in August to nearly an eight-year high. The National Association of Home Builders/Wells Fargo builder sentiment index, released Thursday, rose to 59 from 56 in July. That is the highest level since November 2005. A reading above 50 indicates that more builders view sales conditions as good rather than poor. Though new homes represent only a fraction of the housing market, they have an outsize impact on the economy. Each home built creates an average of three jobs for a year and generates about $90,000 in tax revenue, according to NAHB statistics. Despite the lift from housing, the economy has been sluggish this year. It expanded at just a 1.7 percent annual rate in the April-June quarter after a 1.1 percent annual rate in the first three months of the year.
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