Construction of new homes edged up slightly in July but applications for building permits tumbled to the lowest point in 14 months, a sign of continued stress in housing, The Associated Press reports.
The Commerce Department says construction of new homes and apartments rose 1.7 percent in July but applications for building permits, considered a good sign of future activity, fell 3.1 percent.
A rebound in housing is considered critical for a sustained economic recovery. But builders continue to struggle with weak demand for new homes caused by high unemployment and a glut of foreclosed homes on the market.
