Commercial property in slump as housing booms

The US building and construction sector is running at two speeds. The housing sector is buoyant as homebuyers take advantage of cheap mortgage rates, while commercial building has slumped due to lack of demand among cash-strapped corporates. Despite disappointing August housing construction start figures, market watchers say residential construction is likely to remain strong in coming quarters. Housing starts were down by 2.2% in August from July, against market expectations of a 1.5% increase. But with mortgage rates around 40-year lows, few expect the figures to constitute more than ...