Housing Starts Seen Rising to 3-Year High With Boost for Jobs

Federal Reserve Chairman Ben S. Bernanke may be about to get help in his attempt to boost the economy, from an industry at rock-bottom: housing.

Job growth, even with unemployment at 9.4 percent or higher since May 2009, and an increasing U.S. population mean home construction probably will improve in 2011 from its near-record low, said Charles Lieberman, chief investment officer at Advisors Capital Management LLC in Hasbrouck Heights, New Jersey. Mortgage rates are less than 5 percent, further supporting affordability.

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