Though October housing starts only fell marginally from the September figures, analysts predict lower levels going forward, and if mortgage rates continue to trend up this may be a cause of real concern for a thus-far robust housing sector.

According to experts, the housing sector typically falls off drastically by about 15% to 20% or more in a recession. However, that has not really happened in the current economic downturn, in large part because mortgage rates have continued to drop.

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