Following a decline in December 2005, the annual rate for privately owned housing starts rose in January, according to a report released by the U.S. Dept. of Commerce. The January construction level was up 4% from a year ago. Single-family housing starts increased 2.8% from January 2005, while starts for buildings with five or more units increased 15.1%. The number of building permits issued, which can be an indicator of future building activity, also edged up last month, climbing 3.8% from one year earlier.

Regionally, the Northeast posted the largest increase in housing starts at 32.3%, followed by an 11.7% increase in the Midwest. The rate for privately owned housing starts rose 3.4% in the South and fell by 7.8% in the West.