— See Separate Table For Details of Individual Forecasts
TOKYO (MNI) – Japanese housing starts are expected to have declined
5.0% in November, which would be a third straight monthly year-on-year
drop, according to the median forecast of analysts surveyed by Market
News International.
The Ministry of Land, Infrastructure, Transport and Tourism will
release the data at 1400 JST (0500 GMT) on Tuesday, Dec. 27.
Masao Okayama, economist at Norinchukin Research Institute, said,
“Uncertainties about domestic economic outlook are growing, and job
conditions remain severe.”
But Akiyoshi Takumori, chief economist at Sumitomo Mitsui Asset
Management, forecast y/y fall in housing starts is expected to have
improved in November from -5.8% in October, as housing permits issued by
the ministry, which is seen as a leading indicator of housing starts,
fell only 2.5% on year in October, with the pace of decline slowing from
-6.7% in September.
Meanwhile, the government has revived its temporary reward program
for buying energy-saving houses but economists said it is not having a
major positive impact on November housing starts as yet.
Reward points will be given to owners of greener homes under
construction or those being renovated to save energy consumption,
effective from Oct. 21. The program will end on Oct. 31, 2012.
On a seasonally adjusted annualized basis, housing starts are
forecast by economists to have totaled 806,000 units in November, up
from 774,000 in October.
skodama@marketnews.com
** Market News International Tokyo Newsroom: 81-3-5403-4838 **
[TOPICS: M$J$$$,M$A$$$,MAJDS$]