Starts fell 14.8%, way more than the flat reading expected by economists. Permits fell 1.5%, in line with estimates.

“A home building revival is coming, but it didn’t arrive in January,” said Robert Frick, corporate economist at Navy Federal Credit Union. “High mortgage rates, with maybe a dash of cold weather, caused starts and permits to fall from December. We know that builders are ready to ramp up when rates fall, which could be as soon as spring.”