B of A said the state’s housing starts rose in April.
California housing starts exceeded 1977’s peak level largely because of declining mortgage rates, Bank of America reported. Starts rose 9.7% above March to an annualized rate of 251,900 units, according to the bank’s monthly California Housing Report newsletter. The peak level in 1977 was 251,571 units. Multifamily construction accounted for most of the April increase, rising 17% to 134,000 units, while single-family construction rose 2.4% to 117,900 units. Since July, 1984, the average fixed-rate mortgage has decreased to 12.01% from 13.47%, and the average adjustable-rate mortgage has inched downward to 10.25% from 11.54%.