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Permits down, but new homes up

New home construction climbed by 9 percent in February, after three months of steady declines, although building permits – considered a better predictor of housing market performance – fell nearly 3 percent. The seasonally adjusted annual rate for new home construction was pegged at 1.525 million units, slightly higher than the expected 1.450 million units. Applications for new permits fell to an annual rate of 1.532 million units.

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